EU methane rules face pushback over supply security fears

The core of the dispute centers on Article 28 of the bloc's methane regulation. Starting in 2027, companies must prove that imports meet EU-equivalent standards or face penalties. While the European Commission has floated the idea of waiving these fines for three years to ease concerns, member states argue that a non-binding waiver fails to resolve the underlying legal ambiguity. The Commission has yet to establish which non-EU countries meet its requirements or how independent verifiers will be accredited, leaving energy firms in a difficult position.

Energy lawyers representing major players like Shell and RWE have warned that these unfinished regulatory components complicate contract negotiations. However, recent market activity contradicts the narrative of a total freeze. US exporter Venture Global recently secured a 20-year deal with Italy’s Eni, suggesting that major gas deals are moving forward despite the regulatory climate. Energy Commissioner Dan Jørgensen remains firm against reopening the legislation, though he has promised to address implementation concerns soon. With methane’s climate impact 84 times greater than carbon dioxide over two decades, the Commission is under pressure to balance environmental mandates against the bloc's immediate energy security needs.