The European Union is slated to import record amounts of Russian liquefied natural gas this year, a trend in conflict with its aim to reduce reliance on Russian fossil fuels and cut off funding for President Vladimir Putin's war machine.
According to a report from the nonprofit group Global Witness, Spain and Belgium were ranked as the second- and third-largest buyers of Russian LNG, behind only China. Spain accounted for 18% of Russia's total LNG sales in the first seven months of 2023, while Belgium accounted for 17%.
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As a whole, EU imports of the chilled Russian gas were up 40% in the first half of this year.
Analysts said the imports break with the bloc's stated goal of weaning itself off all Russian fossil fuel imports, including Russian natural gas, which it plans to do by 2027.
EU Energy Commissioner Kadri Simson has asked member states and EU companies to halt purchases of Russian LNG, saying during a speech in March that the bloc "can and should get rid of Russian gas completely as soon as possible, still keeping in mind our security of supply."
The increase in Russian LNG imports also leaves the EU vulnerable to supply cuts from Moscow, risking a repeat of last summer, when Moscow abruptly began throttling piped gas deliveries to the EU via the Nord Stream gas pipeline before halting those supplies completely.
Jonathan Noronha-Gant, senior fossil fuel campaigner at Global Witness, said the EU should implement an emergency plan for a full phaseout of Russian LNG, "starting with a ban on the trade of the Russian gas which is lining Putin's pockets," noting that, otherwise, the bloc risks contradicting its efforts to punish Russia for its war in Ukraine.
"Buying Russian gas has the same impact as buying Russian oil. Both fund the war in Ukraine, and every euro means more bloodshed," he said.
"It doesn't matter if it comes from a pipeline or a boat — it still means European companies are sending billions to Putin's war chest," he added.
Spot LNG prices have fallen significantly since last summer, when they reached an all-time high of $70.50 per million British thermal units in the wake of Russia's invasion of Ukraine. As of last month, prices cooled by nearly 83% compared to 2022.
In addition, the EU's gas storage tanks are nearly 92% full, putting them well ahead of schedule to fill their inventories before the Oct. 1 start of the winter heating season.
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But analysts have warned that the crisis is not yet over for Europe, pointing to market uncertainties, including the risk of strikes in Australia, the largest global producer of LNG, or a spike in industrial demand.
This uncertainty could be one driver behind the EU's decision to ramp up its Russian imports, with one EU official telling the Financial Times that, despite current gas stock inventories, there is still a "lot of nervousness" in the bloc about a possible supply shortage this winter.