Energy ministers from the US, Qatar, Nigeria and Algeria have warned that regulation put in place by the European Union to cut methane emissions in the energy sector could disrupt Europe’s oil and gas supply. The warning is made in an open letter sent to the European Commission, European Council and EU member states.
Calling for “swift, necessary actions to clarify and adopt targeted amendments" to the EU Methane Regulation (EUMR), they wrote: “As a large and diverse importing region, the EU purchases oil and natural gas from a wide variety of exporters, the majority of which cannot meet the EUMR methane emissions measuring, reporting and verification requirements on the prescribed timeline."
They said that according to an independent, comprehensive industry analysis, nearly all EU oil imports, and a significant quantity of EU natural gas will be non-compliant with the EUMR beginning in January 2027. "Even with adaptive and flexible implementation, significant negative supply and price impacts are a certainty,” the letter says.
The EUMR, which entered into force during 2024, aims to reduce emissions of methane, a powerful greenhouse gas, in the EU and in global supply chains - as well as minimising leaks of methane by fossil energy companies operating in the EU.
From January 2027, importers must demonstrate that the crude oil, natural gas, or coal imported into the EU was produced in a jurisdiction with monitoring, reporting, and verification requirements equivalent to those applied domestically in the EU. By August 2028, importers must report the methane intensity of imported crude oil, natural gas, or coal at production, in line with the methodology to be set out by the Commission.
The letter to the Commission comes as Canada and the Commission have called for more action on strengthening methane mitigation efforts. Canada and the European Union are working as co-conveners of the Global Methane Pledge (GMP). This pledge has a target of reducing global methane emissions by at least 30% by 2030 compared with 2020 levels. Reducing methane emissions across all sectors is one of the fastest and most cost-effective ways to limit the rise of near-term global temperatures, they said. Cutting methane emissions is an important part of meeting the climate goals set out in the Paris Agreement.
The Call to Action on Methane launched by UN Secretary-General António Guterres focuses on methane emissions from three sectors, these being: fossil fuels, agriculture and waste. “In 2024, agriculture accounted for roughly 42 per cent of global anthropogenic methane emissions, fossil fuels approximately 38 per cent and waste 20 per cent,” the report notes.
The report adds: “The latest assessment of the Intergovernmental Panel on Climate Change (IPCC) makes clear that limiting warming to 1.5°C by the end of the century requires deep cuts in methane emissions. Global methane emissions would have to fall around 34 per cent by 2030 and 51 per cent by 2050 relative to 2019 levels to remain consistent with 1.5°C pathways. The Global Methane Pledge, supported by 159 countries and the European Union, reflects growing international recognition of the need to rapidly reduce methane emissions. Delivering this pledge would avoid 0.1 0.2°C warming by 2050.”
The Call to Action on Methane was launched at the London Climate Action Week where Guterres, said: “I call on producers and consumer governments alike to set a new global standard for the oil and gas sector: near-zero methane emissions across the value chain.”
Further reading
- Study warns that methane mitigation delays threaten 2°C threshold target
- Countries unite to catalyse a path for methane emission reductions
- The US government is funding projects to tackle methane emissions
- Protocol incentivises Canadian cattle farmers to cut methane emissions
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