EU Delays Methane Import Rules By a Year

Written by Martin Lynch, European News Editor for IIR News Intelligence (Sugar Land, Texas)

Summary

The European Union (EU) is pushing back the introduction of import rules for methane following sustained pressure from the oil and gas industry and a growing number of  European countries.

The European Union (EU) will delay proposed import rules for methane for a year following pressure from certain European governments and the oil and gas industry. 

The rules are designed to cut methane emissions from the EU energy sector, and in its global supply chains. They call on European oil and gas companies, as well as those that supply Europe, to measure, monitor, report and verify their methane emissions, and take action to reduce them. The European Commission (EC) said that methane was the second biggest contributor to climate change after carbon dioxide (CO2). The law was expected to come into force on January 1, 2027, but this will be delayed until 2028 due to pressure from industry and some EU countries for a reprieve during the current global energy crisis caused by the U.S.-Iran conflict. Europe relies heavily on gas imports to keep the lights on, with liquefied natural gas (LNG) cargoes accounting for approximately 40% of total supply. According to Industrial Info Resources data there are 84 LNG-related projects in Europe worth almost US$10 billion in investment. 

Reasons for The Delay

According to the EC, Europe is preparing for a challenging winter with high energy prices. "The strain on global energy markets linked to the conflict in the Middle East is putting pressure on energy markets in Europe," it stated. "This is driving up energy prices and may cause reduced availability of gas and oil, hampering the EU's competitiveness and security of supply. The European Commission has therefore adopted a proposal to postpone by one year the implementation of specific provisions of the EU Methane Regulation related to importers to alleviate the pressure on European industry and national administrations. The proposed targeted amendment concerns the monitoring, reporting and verification obligations for natural gas, oil and coal importers. It also concerns the provisions related to the reporting on methane-intensity requirements for both importers and Union producers." Industrial Info reported recently that the EU may have to cut winter gas demand by 7% as it heads into the season with gas storage levels at their lowest in 15 years. 

Dan Jørgensen, Commissioner for Energy and Housing, said: "Europe's ambition in the fight against climate change remains unflinching. But as we approach a difficult winter in terms of energy prices, we need to be flexible and pragmatic in the implementation of our rules. The priority now is to shield European citizens from the price volatility we are facing, and avoid any potential additional risk to energy supplies at a time of global constraints."

Growing Pressure

Throughout 2026 the EC has faced growing pressure to delay implementing the rules. In June, 12 EU Member States, including Italy, the Czech Republic, the Netherlands and Sweden, penned an official statement calling for a delay of up to 3 years. They stated that geopolitical instability had made global markets volatile, and that the limited availability of natural gas and crude oil from the Middle East had tightened global energy markets. The signees feared that a strict application of the regulations could lead some producers, especially those without advanced methane monitoring systems, to reduce or temporarily suspend deliveries to the EU, making the energy crisis worse. In the past month, France's President Emmanuel Macron has also supported a delay. 

Mixed Reactions

Support from industry groups was expected but also lukewarm while environmental groups called the delay a backward step. The International Association of Oil and Gas Producers (IOGP), with support from 17 other industry groups, welcomed the delay as a "step in the right direction" but stated that "one year is insufficient to fully mitigate these risks and would leave the EU facing the same implementation challenges in 12 months' time. They are pushing for a three-year postponement. Environmental groups condemned the move, claiming that the methane rules posed no threat to Europe's energy security. Jack Corscadden, senior campaigner at the  Environmental Investigation Agency, told Euronews that there was no demonstrable link between enacting the EU methane rules and the current energy supply challenges. "After a summer of record-breaking heatwaves and wildfires, the Commission is failing European citizens by delaying this vital piece of climate legislation to appease fossil fuel producers and exporters," he said.

Key Takeaways

• The European Union (EU) will delay proposed import rules for methane for a year following pressure from certain European governments and the oil and gas industry. 
• Methane emissions are second only to CO2 emissions in their impact on climate change.
• According to Industrial Info Resources data there are 84 LNG-related projects in Europe worth almost US$10 billion in investment. 

About Industrial Info Resources
Industrial Info Resources (IIR) is the leading provider of industrial market intelligence. Since 1983, IIR has provided comprehensive research, news and analysis on the industrial process, manufacturing and energy related industries. IIR's Global Market Intelligence (GMI) helps companies identify and pursue trends across multiple markets with access to real, qualified and validated plant and project opportunities. Across the world, Industrial Info Resources is tracking over 250,000 current and future projects worth $30.2 Trillion (USD).