EU agrees full ban on all Russian gas imports by 2027

Keep knowledgeable with free updatesSimply signal as much as the EU vitality myFT Digest — delivered on to your inbox.The EU has agreed to a full ban on imports of Russian gasoline virtually 4 years after Moscow’s full-scale invasion of Ukraine.EU diplomats and lawmakers from the European parliament agreed late on Tuesday that each one imports of Russian gasoline could be banned from autumn 2027, with earlier phaseout dates for liquefied pure gasoline and short-term provide contracts.Additionally they agreed that the European Fee ought to desk a proposal early subsequent yr to ban all Russian oil imports from 2027.Russian oil is sanctioned however exemptions have been granted to Hungary and Slovakia which nonetheless obtain gas via the Druzhba pipeline.The 2027 phaseout date represents a compromise between member states and the European parliament, which had pushed for a extra bold timeline. Hungary and Slovakia had lengthy opposed the ban, arguing that they’re liable to provide shortages and worth spikes.“Lastly, and for good, we’re turning off the faucet on Russian gasoline,” stated Dan Jørgensen, the EU’s vitality commissioner. He stated the ban marked Europe selecting “vitality safety and independence” and that the bloc “won’t ever return to our harmful dependence on Russia”.Earlier than Moscow’s full-scale invasion of Ukraine, the EU sourced about 40 per cent of its gasoline from Russia however quickly diversified provides and switched to renewable energy as Moscow started to chop off flows in late 2021.The bloc now sources nearly all of its gasoline from Norway and the US.Regardless of the discount in pipeline provides, imports of shipped LNG from Russia elevated from 2022. Russian LNG imports reached file ranges as merchants focused cheaper spot market costs.EU negotiators agreed that ought to there be future provide shocks, the ban may very well be quickly lifted if a member state declared a “state of emergency”. A “detailed system” of penalties has additionally been agreed, an EU official stated.Gasoline importers should present customs authorities with certificates proving the state of origin to stop circumvention of the ban, though merchants have warned that tracing molecules to show they don’t seem to be Russian may very well be a problem.The Centre for Analysis on Power and Clear Air stated that in October, Russia was incomes €524mn per day from fossil gas exports, the bottom determine for the reason that Ukraine battle started.