EU Commissioner for Energy calls for 'reduction in Russian LNG exports'

- Commissioner Simson urges companies and member states to do their part in effort to cease Russian LNG exports to European countries

European Union (EU) Commissioner for Energy Kadri Simson urged European countries to reduce Russian liquefied natural gas (LNG) exports with the aim of completely phasing them out at the Energy Security Conference in Warsaw on Thursday.

Simson urged 'all companies and Member States to do their part' to reduce LNG exports from Russia to the EU, which over the past seven months amounted to 12.4 billion cubic meters.

'I call on the European Parliament and the Council to agree, in the context of the gas package, on a robust provision to allow Member States individually to restrict, when security of supply allows it, access to Russian LNG exports,' Simson said.

This year, the quantity of Russian LNG exports is destined to be as much as last year, or even slightly larger.

This time last year, concerns arose about whether Europe would have sufficient supplies during the winter, but Simson affirmed that 'Europe's position is much better than anyone would have predicted back then.'

Current prices have fallen dramatically compared to this time last year, when gas prices in Europe registered at over €300 per megawatt-hour relative to trade now at €35 per megawatt-hour. Furthermore, electricity prices exceeded €350 per megawatt-hour last year, reaching an all-time high in August compared to the current price of €90 per megawatt-hour.

As the EU has become more dependent on LNG imports, Simson warned member states to be vigilant in the face of warm summers, cold winters, unplanned nuclear outages, or limited hydropower supplies leading to market volatility.

'But this does not mean that the fight is over. Nor does it mean that it's smooth sailing from here. As we look to the coming winter and our energy security beyond 2023, we cannot drop our guard,' Simson said.

'All of this could lead to a higher use of gas for electricity production here in Europe. For now, however, the outlook is much better than last year and looks stable,' she added.

Reporting by Murat Temizer in Poland

Writing by Duygu Alhan

Anadolu Agency

energy@aa.com.tr