**EU Plans to Ditch Russian Gas by 2027, Redirecting Billions**
In a move aimed at cutting ties with its former biggest energy supplier, the European Union is set to propose banning all Russian gas imports by 2027. This plan would redirect approximately €23 billion in annual energy purchases, which currently go towards importing cheap Russian gas.
**A Shift Away from Russian Energy**
For decades, Russia has been Europe’s main gas supplier due to its vast natural gas reserves, geographic proximity, and extensive pipeline infrastructure. However, after Russia’s full-scale invasion of Ukraine, the EU reduced its purchases of gas from Russia. Despite these efforts, it has been challenging for the bloc to give up imports of cheap Russian gas. Last year, imports from Russia fell to about 19% of total gas purchases, down from 40% in 2022.
**A Long-Held Intention**
According to sources familiar with the matter, the EU’s plan to phase out Russian fossil fuels is a long-held intention. The European Commission will propose measures in June to ban all gas purchases under new deals with Russia, including existing spot contracts that account for about a third of imports. This initial phase would take effect before the end of this year.
**A Longer Transition**
Long-term contracts for Russian pipeline and LNG gas will face a longer transition, ending by late 2027. Despite this, Russian gas flows to Europe have dropped since Moscow’s full invasion of Ukraine in 2022. Russia still remains a substantial supplier through a pipeline via Türkiye and ships significant amounts of liquefied natural gas to Europe.
**Consequences and Alternative Suppliers**
The stakes are considerable, with the EU purchasing €23 billion ($26 billion) in Russian energy in 2024. This exceeds its military assistance to Ukraine last year. To find alternative LNG supplies, the bloc is looking to the US, Qatar, Canada, and African nations as potential sources. Discussions with the Trump administration about US purchases are already underway.
**A Roadmap for Change**
The commission’s proposals will need approval from both member states and the European Parliament. An accelerated timetable would be necessary for the ban on new contracts to take effect this year. The roadmap will also address nuclear materials from Russia, including “steps to gradually phase out imports” of uranium used in Russian-designed reactors.
**Oil Imports**
For oil, Slovakia and Hungary will need to develop plans showing how they will end Russian shipments by late 2027.
The EU’s plan to ditch Russian gas by 2027 is a significant step towards reducing its dependence on energy imports from the country. However, it remains to be seen whether this plan can be implemented smoothly, especially considering the complexity of long-term contracts and the need for alternative suppliers.
