Gas-exporting countries have urged the EU "to take swift, necessary actions to clarify and to adopt targeted amendments to the EU methane regulation" (EUMR), they said in an open letter to leaders of the EU and member states.
Before any amendments are passed, "a stop-the-clock mechanism" should be introduced to allow time to develop necessary methodologies and ensure compliance, along with the grandfathering of new contracts signed while legislative adjustments are under way and the removal of penalties for non-compliance during this transitional period, ministers of energy from exporting countries — among them the US and Qatar, Argus understands — said. The letter was addressed to European Commission president Ursula von der Leyen, European Council president Antonio Costa and leaders of EU member states.
Under the EUMR, importers must from 1 January 2027 demonstrate that they meet the bloc's monitoring, reporting and verification standards and from 2028, importers must submit methane intensity reports. By 2030, importers will be required to meet the EU methane intensity requirement.
"Relying on discretionary non-enforcement across all 27 EU member states fails to address the financial and legal risks" firms face, the letter said. Exporters and importers are unwilling to enter into contractual agreements that knowingly violate EU law, notwithstanding recommendations, the letter continued.
This comes in reaction to the expected non-binding recommendation from the commission that EU member states should not apply penalties for importer infringements in 2027-29.
The commission has so far ruled out reviewing the regulation agreed in 2024. The intention is to "solidify" the EUMR rather than reopen it, EU climate commissioner Wopke Hoekstra told Argus today. "The stance of the commission has been that the regulation is there for a clear reason," Hoekstra said, adding that he is "more than happy" to continue diplomatic efforts.
The ministers of exporting countries also encouraged a pragmatic approach to clarifying missing elements of the EUMR and adopting changes needed to enable effective implementation while reducing untenable risks.
A representative of the US Department of Energy already called for revisions last month, saying that the EU methane rules were "impossible to meet". Market participants across LNG supply chains and importing groups have also expressed concern about the EU methane guidelines and their impact, calling for the regulation to be paused.
