EU Ministers Agree to Russian Gas Ban
The Council of the European Union on Oct. 20 largely agreed to a European Commission proposal (see 2506180058) that would ban certain Russian gas imports starting on Jan. 1 "while maintaining a transition period for existing contracts." The council next must negotiate with the European Parliament on the final text for the proposal.
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Short-term contracts concluded before June 17 would continue until June 17, 2026, while long-term contracts would run until Jan. 1, 2028, said the council, which consists of ministers from EU member states. Amendments to existing contracts will be allowed only for "narrowly defined operational purposes" and can't lead to increased volumes, save for "specific flexibilities for landlocked member states affected by recent changes in supply routes."
The council's position alters the European Commission's proposal by streamlining customs obligations by establishing "lighter documentation requirements and procedures for imports of non-Russian gas." Non-Russian gas entries will require only proof of the country of production, while "more information is requested for gas imports from Russia during the transitional phase (including the date and duration of the supply contract, the quantities contracted and any amendments to the contract)."
The council also added the requirement that both Russian and non-Russian gas imports be subject to a prior authorization regime. For Russian gas, authorization must be submitted at least one month before entry, while the proof for non-Russian gas must be submitted at least five days before entry. Where cargo consists of mixed Russian and non-Russian gas, "the documentation must prove the respective shares of Russian and non-Russian gas in the mixture, with only the non-Russian amounts being allowed to enter the EU." This prior authorization procedure won't apply to imports from "countries fulfilling a list of criteria outlined in the proposed regulation."
In addition, the council included monitoring and notification mechanisms to bar Russian gas from entering the EU under "transit procedures," and it required all member states to submit "national diversification plans outlining measures and potential challenges to diversifying their gas supplies." The council's proposal also bolsters the information exchange among member state authorities, the EU Agency for the cooperation of energy regulators and the commission.