The European Commission has recommended that European Union member states suspend penalties for oil and gas companies that breach the bloc's methane emissions law between 2027 and 2029.
The recommendation follows pressure from the United States, Qatar, industry groups, and a majority of EU member states, which argued that the rules could complicate Europe's ability to secure energy supplies.
The Commission said the move is intended to prevent supply disruptions as global energy markets remain under strain due to the ongoing blockade of the Strait of Hormuz and conflict in the Middle East.
The recommendation does not amend the underlying methane regulation, and all compliance obligations under the law remain in force.
Under the original legislation, companies failing to comply with methane emissions monitoring requirements equivalent to EU standards could face fines of up to 20 percent of their annual turnover.
The Commission said EU governments should refrain from applying those penalties during 2027, 2028, and 2029 while importers work toward compliance.
It said the temporary suspension would provide additional time to meet the requirements while helping safeguard energy supplies during a period of tight global markets.
The recommendation is not legally binding, although the Commission said national courts are required to take it into account when considering related cases.
The policy change follows months of lobbying by the United States, Qatar, oil and gas industry groups, and several producing countries concerned about the potential impact of the regulation on energy exports to Europe.
A group of 17 EU member states, including Germany and the Czech Republic, also called for the law to be delayed.
The Commission said geopolitical developments linked to the Middle East have reshaped global energy markets, with disrupted traffic through the Strait of Hormuz raising concerns over oil and liquefied natural gas supplies.
While environmental groups urged Brussels to keep the penalties in place, the Commission maintained that the temporary waiver balances climate commitments with energy security during a period of heightened market uncertainty.
The decision pauses enforcement of financial penalties without altering the regulation itself, leaving the broader methane emissions framework intact.