Questions and answers on the proposal for amendment to the EU Methane Regulation

Why is the Commission proposing a targeted amendment to the EU Methane Regulation?

The prolonged closure of the Strait of Hormuz, which carries a significant share of the world's liquified natural gas (20%) and of seaborne oil (25%), has sharply reduced supply at a global level. Since the Middle East crisis erupted, the EU has been carefully monitoring the situation and acted decisively to mitigate its impact on the domestic energy market.

Europe is approaching a potentially very difficult winter in terms of high energy prices. Given the uncertainty over how long and how severe the current Middle Eastern supply shock may be, it is important for the EU to avoid any additional risks. Securing reliable and competitive supplies of crude oil and natural gas remains key. In a context where existing contracts and trade routes are under pressure and where the pool of alternative supplies remains limited, particularly for deliveries in the short term, the Commission wants to ensure that any additional risk is avoided.  

What are the objectives of the proposed changes?

The proposed amendment would postpone by one year the monitoring, reporting and verification obligations for natural gas, oil and coal for importers, and, consequently, the related methane-intensity requirements for importers and Union producers.

The objective is to avoid any potential indirect negative effects of those obligations in a context of global energy crisis. It is meant to preserve the pragmatic implementation of the Regulation by allowing third countries, importers, Union producers and competent authorities of EU countries to be able to fully and effectively comply with the EU Methane Regulation.

The amendment proposed today is targeted and   the EU's ambition to abate methane emissions remains steadfast. The Commission will engage with the European Parliament and the Council to ensure that the legislative process for the present proposal fully preserves its scope.

The EU is a global frontrunner in efforts to reduce methane emissions from the energy sector. The Commission remains fully committed to this goal of the Methane Regulation.

Moving forward, the Commission will continue to monitor the situation and engage with EU countries and organisations in the sector to identify any specific signs on security of supply impacts linked to the implementation of the EU Methane Regulation. The proposed temporary postponement of certain provisions will be accompanied by sustained action to ensure timely implementation. It is crucial that EU Member States use this extended timeline to complete the missing implementation actions at their level. The Commission will continue to monitor and assess the situation in light of geopolitical and economic developments.

How will the Commission ensure that the EU Methane Regulation continues to be implemented?

The Commission remains committed to achieving the full and effective implementation of the Methane Regulation. Methane is at the core of the EU's fight against climate change, and our intention is to continue to be world leaders in this area. 

Earlier this year, the Commission issued two Recommendations to guide EU countries on compliance solutions and penalties regimes. These recommendations provide further clarity in these areas and support EU countries and operators alike on how to effectively implement the EU Methane Regulation.   

The Commission is preparing legislation in implementation of the Methane Regulation, notably on industry standards, on leak detection limits, on evidence for country level equivalence with monitoring and reporting and quantification of methane emissions. Work is also underway on a number of delegated acts, notably on a methane intensity methodology. 

In addition, the Commission launched a call for feedback on a draft Implementing Act laying down reporting templates for the reports on methane emissions to be provided by oil, gas and coal operators.

The Commission will continue working closely with EU countries in the Network of Competent Authorities, and with industry stakeholders, to address implementation concerns and work together towards compliance and effective implementation of the regulation. The regularly updated section of questions and answers related to the EU Methane Regulation ensures that information on aspects such as import requirements is available to EU countries and stakeholders.

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