The European Union has agreed on a complete ban on Russian liquefied natural gas (LNG) imports starting in 2027, one year earlier than originally planned. The measure is part of a new sanctions package against Moscow, aimed at cutting off revenue streams that fund Russia’s war against Ukraine.
While the EU has already banned Russian coal and most oil imports, gas has remained a sensitive topic due to Europe’s past dependency. Now, for the first time, the bloc has set a firm timeline to phase out all LNG from Russia — marking another key step in the continent’s long and costly energy transition.
What does the import ban mean for consumers in Germany?
According to the German Association of Energy and Water Industries (BDEW), it is too early to predict the exact price impact on consumers.
“Several factors will determine the outcome,” said BDEW Managing Director Kerstin Andreae. “European demand for non-Russian gas could drive up global prices, but many new LNG projects are under construction in the United States and Qatar, which should expand supply and help offset negative price effects.”
Industry experts agree that diversification will be crucial. Timm Kehler, head of the German Gas and Hydrogen Association, emphasised that long-term supply contracts and expanded import infrastructure are essential to avoid volatility:
“Without reliable replacement strategies and regulatory flexibility — for example in LNG imports from the US — consumers risk facing higher prices and stronger market fluctuations.”
Which German companies are affected?
The state-owned energy company SEFE (formerly Gazprom Germania) is among those directly impacted by the upcoming ban. The firm still holds long-term contracts for importing Russian LNG into the EU but says it has significantly diversified its supply portfolio since being nationalised in 2022.
A company spokesperson confirmed: “Now that the timeline for the import ban has been set, we can carry out a detailed assessment of its impact.”
SEFE said it had already reduced its exposure to Russian sources and increased imports from other regions to prepare for a complete phase-out.
When and how will the ban take effect?
Under the agreement, Russian LNG imports will be fully prohibited from January 2027, a year earlier than initially planned.
The European Commission’s original proposal — set for 2028 — is still being formalised in a broader regulation to ensure the ban remains in place even if political sanctions are later lifted.
The goal: to permanently reduce Russia’s income from gas exports, prevent dependency risks, and push the EU further toward a climate-neutral energy mix.
Why is Russian gas still flowing to Europe?
Before Russia’s full-scale invasion of Ukraine in 2022, much of Europe — and especially Germany — relied heavily on cheap Russian oil and gas. Replacing that supply has proven complex. While oil and coal have already been banned, gas sanctions took longer to implement due to the need to stabilise energy prices and avoid shortages during winter.
As of mid-2024, Russian gas still accounted for around 10 % of total EU gas imports, down from more than 40 % before the war. The EU imported roughly 4.7 billion cubic metres of Russian gas via the TurkStream pipeline between July and September, plus 3.5 billion cubic metres of LNG over the same period.
In total, Europe imported €15.6 billion worth of natural and processed gas from Russia in 2024, compared with €19.1 billion from the United States, according to Eurostat.
How dependent is Germany today?
Germany’s gas market is part of the integrated European energy network, making it difficult to track exact national shares of Russian gas. “Once in the system, gas — whether piped or liquefied — is traded and transported across borders,” explained Timm Kehler.
In practice, this means that Russian-origin LNG may still reach German consumers indirectly through shared EU trading hubs until the 2027 ban takes effect.
Still, Berlin’s LNG terminal expansion, combined with increased imports from Norway, the US and Qatar, has sharply reduced reliance on Russian energy. Germany’s first floating LNG terminals, built in record time after the invasion, now play a crucial role in securing winter supply.
What’s next?
Experts believe the EU’s decision sends a strong political signal, even if the immediate market impact remains limited. Over the next two years, European governments and energy companies will need to secure long-term non-Russian supply contracts and ensure infrastructure readiness before the ban comes into force.
For consumers, the hope is that global competition among LNG producers will keep prices stable — but much will depend on weather, demand in Asia, and the pace of renewable energy expansion within Europe.
