BRUSSELS — The European Union’s two largest purchasers of Russian liquefied natural gas (LNG) are currently withholding their support for Brussels’ proposed ban on Russian gas imports. Both France and Belgium have expressed a need for further reassurances regarding the economic and legal ramifications of such a ban before they can commit to a decision.
France and Belgium seek reassurances
As the foremost buyer of Russian LNG, France is advocating for a strategy focused on finding alternative energy sources rather than outright banning imports. French Energy Minister Marc Ferracci emphasized this stance, stating, “What we’re defending is a European strategy of diversification … which is already on the table,” alluding to France’s initiative to substitute Russian supplies with Qatari LNG.
Belgium, the second-largest buyer, has similarly indicated its reluctance to endorse the ban without a comprehensive report detailing the potential economic fallout from such a decision. Belgian Energy Minister Mathieu Bihet has called for an in-depth impact assessment from the European Commission before the country makes any commitments.
Support from Spain and the Netherlands
In contrast, other significant Russian LNG importers, such as Spain and the Netherlands, are expressing strong support for the anticipated legislation. Both countries have indicated their eagerness to back the upcoming measures, which aim to terminate Russian gas contracts. The proposed legislation would prohibit short-term purchases this year and long-term contracts by 2027, enabling these nations to escape contracts that would otherwise bind them to Russian LNG for years to come.
“Spain supports the European Commission’s proposal to ban Russian gas imports as soon as possible … through a common EU position,”
noted a spokesperson for Spain’s ecological transition ministry. Similarly, the Dutch economy ministry has confirmed that the Netherlands is committed to a complete phase-out of Russian gas, looking forward to the forthcoming legal proposal from the European Commission.
Despite this, France remains cautious, as they are currently engaged in a long-term contract with Qatar for new LNG supplies. Ferracci raised concerns about the legal implications of a blanket ban, particularly regarding existing contracts that French firms like TotalEnergies have with Russian companies. He stated, “The stock of existing contracts … needs to be legally protected.”
Belgium has echoed similar sentiments, emphasizing the need for clarity on the impact of the ban on its LNG infrastructure. Bihet remarked, “It’s necessary to wait for the legal package … to have a better idea of all the implications for our country.” As the EU prepares to unveil its proposals, a draft declaration suggests that EU capitals are advocating for a comprehensive economic and legal analysis of the proposed measures.
Analyst Laura Page from Kpler indicates that, despite differing positions among EU member states, the overall impact of a ban would not trigger a supply crisis. She suggests that countries can source increased volumes from the U.S. and Canada, who are poised to expand their LNG capacity starting next year.