Russia has suffered a major setback after the Council of the European Union (EU) and the European Parliament reached a provisional agreement on the regulation to completely end imports of Russian natural gas by 2027.
The regulation agreed on Wednesday, December 3, constitutes a central element of the EU’s REPowerEU roadmap to end dependency on Russian energy following Russia’s weaponisation of gas supplies, with significant effects on the European energy market.
According to the European Council, the regulation will contribute to the overarching goal of achieving a resilient and independent EU energy market, while preserving the EU’s security of supply.
“This is a big win for us and for all of Europe. We have to put an end to the EU’s dependence on Russian gas, and banning it in the EU permanently is a major step in the right direction. I am very pleased and proud that we have been able to reach an agreement with the European Parliament so quickly,” Denmark’s minister for climate, energy, and utilities, Lars Aagaard, said.
“It shows that we are committed to strengthening our security and safeguarding our energy supply.”
European Council, Parliament strike a deal on rules to phase out Russian gas imports
The regulation introduces a legally binding, stepwise prohibition on both liquefied natural gas (LNG) and pipeline gas imports from Russia, with a full ban from the end of 2026 and autumn 2027, respectively.
Under the new rules, imports of Russian gas will be prohibited six weeks after the regulation enters into force, although a transition period will apply to existing supply contracts.
For short-term supply contracts concluded before June 17, 2025, the prohibition on Russian gas will take effect on April 25, 2026, for LNG and on June 17, 2026, for pipeline gas. Long-term LNG contracts will be phased out later, with the ban beginning on January 1, 2027, in line with measures in the EU’s nineteenth sanctions package.
Long-term contracts for pipeline gas will face a later cutoff date of September 30, 2027, provided that storage filling targets set in the gas storage regulation are met, and in any case, all such imports must end no later than November 1, 2027.
“Amendments to existing contracts will be permitted only for narrowly defined operational purposes and cannot lead to increased volumes.”
Customs procedures and authorisation
The co-legislators decided that both categories of gas imports must undergo a prior authorisation process to ensure the effectiveness of the prohibition. For Russian gas, as well as imports covered by the transition period, the required information for authorisation must be submitted at least one month before entry.
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For non-Russian gas, proof must be provided no later than five days before entry, and seven days in the case of gas entering through the Strandzha 1 interconnection point.
To ease administrative demands, the co-legislators agreed that this prior authorisation procedure will not apply to imports from countries that meet specific criteria.
These include major gas-producing states that exported more than 5 bcm of natural gas to the EU in 2024 and that either restrict or ban imports of Russian gas, as well as countries without infrastructure to import gas. Based on continuous monitoring by customs and authorising bodies, the Commission may update the list of exempted countries and can remove any country if evidence of circumvention arises.
National diversification plans
Under the regulation, all member states are required to submit national diversification plans outlining how they will diversify gas supplies and identifying potential challenges, with the objective of ending all gas imports from Russia within the deadlines set by the regulation.
In addition, member states must inform the Commission, within one month of the regulation taking effect, whether they have existing Russian gas supply contracts or national bans in force.
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This same obligation to provide a national diversification plan applies to member states that continue to import Russian oil, intending to discontinue those imports. The regulation will be accompanied by a statement from the Commission expressing its intention to present, by the end of 2027, a legislative proposal to phase out Russian oil imports into the EU.
Other elements
Relative to the Commission’s original proposal, the co-legislators added provisions requiring effective, proportionate, and dissuasive penalties for non-compliance with the regulation, including maximum penalty thresholds for both companies and private individuals.
The Council and Parliament also retained the suspension clause, which allows for the temporary suspension of the regulation if sudden developments threaten the energy supply security of one or more member states.
At the same time, the co-legislators agreed to tighten the conditions under which the Commission may activate such a temporary suspension, limiting it to situations of strict necessity, to states of emergency declared by a member state, and to short-term supply contracts for a limited period.
To evaluate the regulation’s effects, the co-legislators further required the Commission to review its implementation within two years of its entry into force, including the provisions concerning the prior authorisation procedures.
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