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Qatar Threatens Natural Gas Embargo Against The EU

Qatar Threatens Natural Gas Embargo Against The EU

Gulf Insider2 days ago
Qatari Energy Minister Saad al-Kaabi sent a letter to the Belgian government in May, Reuters reported, warning may stop exporting liquefied natural gas to the European Union in response to the European corporate sustainability due diligence directive, which entered into force on July 25. The CSDDD requires large companies to remedy environmental harm and human rights concerns (such as forced labor) in their supply chains or incur fines. The rules apply to both EU and non-EU companies with a yearly turnover greater than €450 million. Notably, the rules will be implemented gradually through 2029 based on company size.
Qatari outrage over the directive reflects the country's reliance on fossil fuel exports and widely reported exploitation of foreign workers. In the above-mentioned letter to Belgium's government, Al-Kaabi, who is also President and CEO and Deputy Chairman of state-owned QatarEnergy, wrote that if 'further changes are not made to CSDDD, the State of Qatar and QatarEnergy will have no choice but to seriously consider alternative markets outside of the EU for our LNG and other products.' His letter questioned the European directive's climate goals, affirming that Doha has no plans to achieve net zero emissions anytime soon.
According to the U.S. Energy Information Administration, Qatar is one of the world's top LNG exporters, exported about 9.3 billion cubic feet per day of LNG through the Strait of Hormuz in 2024. With new LNG pipelines opening up in Syria, plus increasingly warm relations between Qatar and Pakistan, Qatar has other options for LNG export flows. Europeans have few equally affordable options. To meet European needs for gas without having to rely on Russia or Qatar, EU countries may look to buying more LNG from the U.S. or revisit local nuclear energy policies.Also read: 'Chat Control' – EU Proposal To Scan All Private Messages Gains Momentum
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