ExxonMobil: EU methane rules threaten fuel imports

ExxonMobil is sounding the alarm over new European Union regulations targeting methane emissions, warning they could significantly disrupt fuel imports into the bloc starting in 2027. The energy giant argues that the rules, in their current form, pose a threat to the supply of oil and gas to the EU.

“

The problem is not reducing methane emissions, but the short time for certification and verification.

According to an analysis by Wood Mackenzie, commissioned by ExxonMobil, the new requirements for monitoring, reporting, and verification of methane emissions could impact a substantial portion of the EU's energy supply. The report suggests that up to 43% of natural gas and 87% of oil imports could be affected, potentially leading to shortages and price increases.

The company's primary concern is not the objective of reducing methane emissions, which it supports, but rather the extremely short timeframe for implementing the necessary systems. ExxonMobil contends that suppliers will not be able to meet the complex certification and verification demands by the 2027 deadline.

“

The new rules could limit the availability of a portion of energy supplies to the EU.

ExxonMobil is urging the EU to delay the implementation of these rules and to make targeted adjustments. The company believes that a "stop-the-clock" procedure would allow for market stability while still encouraging industry efforts to cut emissions. Without such changes, the company warns of potential price hikes for gasoline and diesel, as well as increased costs for energy-intensive industries.

“

Gasoline prices could rise by 24 percent and diesel prices by 16 percent.