The European Union Encircles Russian Gas
European lawmakers and EU member states have reached an agreement to completely ban imports of gas from Russia by the fall of 2027, as announced by both parties late Tuesday into Wednesday.
This agreement represents a compromise between the European Parliament, which sought a quicker ban, and some EU countries that wanted more time.
The ban will apply to long-term contracts for gas imports via pipelines, which are typically more complex due to their potential duration of decades. It will take effect on September 30, 2027, provided that stockpiles are sufficient. The latest deadline for this ban will be November 1 of the same year.
Regarding liquefied natural gas (LNG), the ban on long-term contracts will start on January 1, 2027, aligning with statements made by Ursula von der Leyen, President of the European Commission, as part of sanctions against Russia due to the war in Ukraine starting in 2022.
For short-term contracts, the ban will take effect on April 25, 2026, for LNG and on June 17, 2026, for gas imported via pipelines.
The adoption of these timelines requires final approval from the European Parliament and the member states; however, this agreement paves the way for a decisive vote.
The ban enables European companies to invoke “force majeure” to terminate contracts for Russian gas imports, citing the European decision as justification.
European countries chose to proceed with a legislative proposal instead of imposing sanctions in this domain, as the former can be passed by majority, while the latter requires unanimous agreement among EU members.
This approach allowed the European Union to avoid vetoes from Hungary and Slovakia, who oppose this measure and maintain close ties with Moscow.
The EU asserts that the goal of banning Russian gas imports is to deprive Moscow of essential financial resources to fund its war efforts in Ukraine.
Following the onset of the war with Ukraine, EU countries significantly reduced their imports of Russian gas. Their share of total gas imports fell from 45% in 2021 to 19% in 2024.
