EU to set 2027 deadline for severing energy contracts with Russia

The deadline for terminating all energy contracts with Russia in 2027 has not been officially established by the European Union (EU). However, the EU has been actively working to reduce its dependence on Russian energy since the invasion of Ukraine in February 2022.

The European Commission will today present a plan setting out how the bloc will rid itself of its remaining imports of Russian fossil fuels by 2027. The document signals the beginning of the end of the EU's dependence on Russian energy, which used to account for roughly a third of the EU's oil and two-fifths of its gas imports. It’s proven a tricky political balancing act for Jørgensen, who has had to account for the varying interests of different member states, but also US preferences, as American gas is expected to help replace the Russian fuel.

Jrgensen has dealt with difficult negotiations before. He has repeatedly led discussions on contentious climate issues decided at the UN COP climate conference. During the gas price crisis in 2022, he was a participant at the EU negotiating table as Denmark's climate and energy minister. However, he stated to the Financial Times that this strategy extends beyond those "days and nights" spent "making emergency plans for what to do if [Vladimir] Putin closed off the gas." “We moved from being afraid that [Putin] would stop the gas to working on stopping it ourselves. And to some extent, you can say that we’ve been extremely successful,” Jørgensen said. "There aren't many places in the world where countries would be able to fundamentally shift from one supplier as much and as quickly as we have," says the author. He added, "It's the first time the EU takes a step this significant toward another country." The plan was still delayed from its original March publication date due to the complexity of the options the commission is presenting, despite countries pressing Jorgensen to present it from "day one on this job." Jørgensen said it was “a very complicated matter” but that Brussels had found “new solutions that will make it possible for us to finally say that this will now happen”.

Many EU officials now see turning off Russian gas — and turning up US LNG imports — as a win-win situation that could also avoid a trade war with Washington.

According to Jörgensen, he had communicated with his counterparts in the United States to inform them that the plan was coming, but specific details of the plan have been “kept very tight” due to the implications for the market.

Important Changes Regarding the EU's Energy Decoupling from Russia: REPowerEU Plan (2022):

The REPowerEU strategy was launched by the EU to accelerate the transition to clean energy, diversify gas supplies, and phase out Russian fossil fuels by 2027. By the end of 2022, the plan aimed to reduce Russian gas imports by two-thirds and eliminate them by 2030. Sanctions and partial bans: The EU banned Russian coal (August 2022) and seaborne crude oil (December 2022), with exemptions for pipeline oil.

A price cap on Russian oil (December 2022) was imposed alongside G7 partners.

Reduced Use of Natural Gas: Before the war, the EU got about 40% of its gas from Russia; by 2023, this fell to around 15%.

The EU increased LNG imports from the U.S., Qatar, and other suppliers while boosting renewables.

2027 as an Informal Target?

Although no legally binding deadline has been established, EU officials and reports have suggested 2027 as a possible date for energy independence from Russia. To replace Russian supplies, the EU is concentrating on infrastructure, such as new LNG terminals and hydrogen networks. Challenges Ahead:

Some Eastern European countries (Hungary, Slovakia) still rely on Russian pipeline oil and gas.

A complete phaseout may take longer if alternative supplies (e.g., Azerbaijani gas, green hydrogen) develop slowly.

Conclusion:

Despite the EU's rapid reduction of Russian energy dependence, there is no legally mandated cutoff by 2027. However, the political goal remains to eliminate Russian fossil fuels as soon as possible, with 2027 being a frequently cited benchmark.