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EU's methane rules face one-year delay, sparking environmental backlash

A truck passes oil pump jacks at dusk near Karnes City, Texas, Nov. 1, 2023.
A truck passes oil pump jacks at dusk near Karnes City, Texas, Nov. 1, 2023. -  Copyright  AP Photo / Eric Gay
Copyright AP Photo / Eric Gay
By Marta Pacheco
Published on •Updated
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Environmentalists warn that delaying EU methane rules will do little to lower energy prices, accusing Brussels of using energy security and competitiveness to justify weakening the Green Deal.

The European Commission proposed on Wednesday a one-year delay for importers to show compliance with EU methane rules, giving companies until May 2029 to prove that their supplies meet equivalent EU standards.

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The proposal follows pressure from industry and governments concerned about compliance costs and energy security, but falls short of calls from some EU countries for a three-year delay.

Environmental groups condemned the move, arguing that the methane rules pose no threat to Europe's energy security and that the current supply crisis stems instead from the US-Israeli war against Iran, which has disrupted shipping through the Strait of Hormuz.

Under the Commission proposal, importers of oil, gas and coal from outside the EU have more time to comply with the bloc’s methane rules. Originally, importers were expected to demonstrate by January 2027 that their suppliers had systems in place to monitor and report methane emissions equivalent to those required under EU law.

Under the proposed changes, the requirement would start applying in 2028, with the first report and proof of compliance due by 31 May 2029, covering supplies from the previous year.

EU governments and industry have pushed for a delay amid turmoil in energy markets, while climate campaigners accuse Brussels of weakening a recently adopted law without tackling the underlying causes of the crisis.

EU countries adopted methane rules in May 2024, introducing requirements to measure, report and verify emissions from the energy sector as part of efforts to curb one of the most potent greenhouse gases.

But the latest energy crisis, which has driven up prices and threatened diesel and gas supplies, has fuelled concerns that the rules could aggravate shortages.

French President Emmanuel Macron recently joined industry calls to delay the requirements, which were due to take effect in early 2027.

"It is also important not to weaken European production capacities while preparing for long-term supply difficulties," Macron said in a letter to the Commission President Ursula von der Leyen.

The United States, the EU's largest supplier of liquefied natural gas (LNG), has also repeatedly complained about the impact of the rules on American energy companies.

Suspending penalties

The Commission had already offered significant flexibility, including a three-year suspension of certain penalties, in a concession to industry. But it had stopped short of formally postponing the compliance deadline.

The EU methane law requires fossil fuel importers to provide information on emissions associated with production.

In practice, importers may need to collect reliable data from producers operating thousands of kilometres away, at the other end of a complex supply chain.

Importers argue that they still face legal uncertainty despite the proposed suspension of penalties, and have called for more time and clearer obligations.

Environmental groups, however, warn that even a limited delay could pave the way for further concessions, while doing little to improve Europe's energy security.

They also argue that reopening the legislation risks penalising companies and producing countries that have already invested in monitoring and reporting systems, while undermining confidence in EU rules.

Jack Corscadden, senior Campaigner at Environmental Investigation Agency, said there was no demonstrable link between the implementation of 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," Corscadden said.

Esther Bollendorff, fossil free program manager at the NGO Climate Action Network Europe, said that delaying the EU methane rules made no economic or strategic sense.

"At a time of yet another energy price crisis and tensions on the gas market, methane mitigation could unlock over 40 billion cubic meters of gas from the EU’s main fossil fuel suppliers - more than half the volume of US LNG imported by the EU in 2025," Bollendorff said.

The Commission's proposal still requires approval from the European Parliament and EU governments. It is set to be discussed by EU leaders at a summit in Brussels on Thursday, alongside broader concerns about European competitiveness and soaring energy prices.

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