EU Backs Off Methane Rules as Energy Security Fears Mount
Russia's Biggest Black Sea Oil Port Goes Quiet as Drone Threat Grows The proposed U.S.-Saudi nuclear agreement… Felicity Bradstock is a writer and journalist based in Mexico City.
She writes for energy websites and covers several other industries, as well as writing… The European Commission (EC) has informed EU governments that they shouldwaive penaltiesfor oil and gas companies that breach its methane emissions law for the next three years, owing to pressure from the United States government to scrap the rules.
While the decision is not binding, many member states are expected to follow the EC’s advice.
and Qatar, as well as oil and gas industry groups and most EU member states, voiced concerns about the strict rules and demanded change.
Several states feared that Europe would not be able to secure fuel supplies once the rules came into place in January 2027 if energy companies could not provide gas imports that met the EU’s strict emissions rules.
The EC announced that the changes were justified “in a context of global energy markets tightness caused by the ongoing blockade of the Strait of Hormuz”.
The Strait has been almost completelyclosed since February, following the U.S.-Israeli-led war on Iran.
The trade corridor, located between Oman and Iran, connects the Persian Gulf with the Gulf of Oman and the Arabian Sea.
It transports an average of around 20 per cent of the global petroleum liquids and gas supply when fully operational.
TheEU climate policy, a world first, was adopted in 2024 to crack down on methane leaks in a bid to tackle climate change.
It established the first EU framework for measuring, reporting, and verifying methane emissions in the energy sector.
However, the ECsaidin a statement that while methane is the second-greatest contributor to climate change, “geopolitical developments in the Middle East are re-shaping the global energy system”.
| Product | Price | Change |
|---|---|---|
| Brent Crude | $102.14/bbl | +0.34% |
| WTI Crude | $96.90/bbl | +0.21% |
| EN590 Diesel | $846/MT | +0.18% |
| Jet Fuel A-1 | $1090/MT | +0.55% |
| Mazut M100 | $450/MT | -0.15% |
| Bitumen 60/70 | $470/MT | +0.08% |
| Sulphur Gran 99.5% | $470/MT | -0.44% |
| Urea 46% Gran | $650/MT | +1.12% |
| NPK 16-16-16 | $460/MT | -0.28% |
| Nat Gas TTF | $15.42/MMBtu | +0.92% |
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