EU Targets Full Russian Gas Phase-Out by 2027

The European Commission has proposed legislation to end all Russian gas imports into the EU by the end of 2027, responding to Russia's war in Ukraine. The plan would ban new Russian gas contracts from 2025, prohibit short-term contracts from June 2026, and phase out existing long-term contracts by January 2028, with exemptions for Hungary, Slovakia, and Austria. The proposal uses trade law requiring only a majority vote, circumventing possible vetoes from these countries, which remain concerned about price increases and supply security. It also introduces stricter transparency rules for energy contracts and considers force majeure clauses to let companies exit Russian deals without penalty. While the EU has already sharply reduced Russian gas imports, internal debate continues about costs and legal complications. The EU asserts that alternative suppliers and reduced demand can help meet the 2027 energy independence goal.