Let us know about free updates
Simply sign up for EU Energy Myft Digest and it will be delivered directly to your inbox.
The European Commission plans to force EU companies to reveal details of Russian gas contracts as they are trying to crack down on fuel imports from the country by 2027.
Companies will need to disclose the amount and duration of their gas contract with Russia to EU enforcement and national energy and security authorities under rules proposed next month, the committee said Tuesday.
“These measures will provide access to relevant information on Russian gas entering the energy system, allowing the EU-wide targets and effective measures to implement, and prepare alternative supplies,” the committee said.
The purpose of this plan is to help the EU phase out Russia’s last fuel in its system by 2027.
By the end of that year, the EU was “completely lacking Russian gas,” said Dan Jorgensen, the EU energy committee member. “This is not a small thing. It’s not without challenges, but it can be done and we provide it in a step-by-step, tailored way,” he added.
Other measures include a ban on spot market contracts by the end of this year and a long-term contract by the end of 2027.
The committee argued that sufficient additional gas capacity will come online elsewhere in the world from next year to compensate for Russian fuel losses. The EU has said it is willing to buy more US liquefied natural gas as a concession to President Donald Trump.
To legislate for the ban, Jorgensen said EU officials have found a way for businesses to invoke “forced” clauses in contracts that do not involve sanctions that require unanimous approval from member states.
Hungary and Slovak pro-Russia governments regularly oppose gas sanctions, citing potential jumps in energy costs.
Slovak Deputy Prime Minister and Economic Minister Denisa Sakova on Tuesday said the country disagreed with the plan and “fundamentally opposed the European Commission and is preparing measures that will damage not only Slovak households but also Europe as a whole.”
Slovakia and Hungary still rely heavily on Russian fuels. Russian oil accounts for about 80% of the supply that goes to both countries.
Russian gas accounts for 13% of the EU’s overall imports despite efforts to cut off efforts to rely on Russian fuel since Moscow’s full-scale invasion of Ukraine in February 2022. Before 2022, these were around 26%.
Gas industry executives said the committee’s documents were more “ambitious” than expected. The overall plan seemed positive, but executives questioned the legal basis for banning spots or long-term gas contracts.
Andreas Guth, executive director of the industrial group Eurogas, said gas companies would “obey, of course.”
The committee also proposes trade measures on the imports of abundant uranium, including tariffs and tax collection, and increases efforts to crack down on the shadow fleet of Russian oil tankers.
It said it would abolish the supply of Russian nuclear fuel, fuel services and spare parts from Russia and urge member states to replace them with “completely European” alternatives.
The industrial group, the core, said “efforts are already being made to reduce Russia’s dependence on fuels and components,” calling for “long-term vision and EU support” to accumulate supply chains in Europe.
