Key facts
- Greece is obstructing the EU's newest sanctions against Russia.
- The dispute concerns a ban on Russian liquefied natural gas (LNG) transport, set to fully take effect in 2027.
- Athens wants to revise the ban to allow continued transport of Russian LNG, citing potential damage to its maritime industry.
- The European Commission is preparing an economic analysis to counter Greece's arguments.
- Possible solutions include delaying the ban, granting an exemption, or waiting for Greece to drop its veto.
Greece is currently blocking the European Union's latest sanctions package against Russia, specifically due to a ban on liquefied natural gas (LNG) that is slated to be fully implemented in 2027. Athens is advocating for a revision of the legal text to permit the continued transport of Russian LNG, arguing that the current ban would negatively impact Europe's maritime services industry, lead to job losses, empower foreign competitors, and ultimately fail to significantly weaken Russia's war economy.
The European Commission and other member states are reportedly frustrated with Greece's position, fearing that revisiting a decision unanimously agreed upon last year could set a dangerous precedent and weaken the overall sanctions regime. The Commission plans to circulate an economic analysis to counter the Greek government's claims, asserting that banning LNG transport would indeed have a detrimental effect on Russia's war economy.
Several potential resolutions are being considered to break the deadlock. One approach is to maintain pressure on Greece, hoping Athens will eventually relent and drop its veto. Another option involves a brief delay in the transport ban's implementation, while leaving the import ban intact, which would provide Greece with more time to adjust and allow it to save face. The most controversial solution would be to grant Greece a specific exemption, amending the legal text to indefinitely permit the transport of Russian LNG to non-EU clients, a move that has drawn concern from Ukraine about the message it would send.
Greece's preferred option is a tailor-made exemption that would allow its shipping companies, such as Dynagas, to continue transporting LNG, particularly to Asian markets via the Northern Sea Route. However, Brussels has a history of contentious derogations, such as those granted to Hungary and Slovakia for Russian crude oil imports, which have previously led to similar impasses.