Energy

Qatar, U.S. urge EU to rework sustainability directive, warning law could jeopardise LNG supply

Qatar and the United States have urged the EU to reconsider its new sustainability directive, warning that it could disrupt LNG trade and endanger Europe’s energy stability.

DOHA : In a joint appeal to EU leaders, both nations expressed “deep concern” over the European Union’s upcoming Corporate Sustainability Due Diligence Directive (CSDDD), which requires major companies operating within the bloc to monitor and address environmental and human rights violations in their supply chains, or face heavy fines.

QatarEnergy announced on Wednesday that letters signed by Qatar’s Minister of Energy, Saad al-Kaabi, and U.S. Energy Secretary Chris Wright were sent to Brussels outlining potential economic and energy repercussions if the directive proceeds unchanged. The two officials warned that the rules pose “a significant risk to the affordability and reliability of critical energy supplies for households and businesses, and an existential threat to the future growth and competitiveness of Europe’s industrial economy.”

Al-Kaabi stressed that unless the directive is amended, Qatar may be forced to reconsider its LNG supply to the European market, a move that could have severe consequences for the continent’s energy security amid ongoing efforts to diversify away from Russian gas.

Although the European Parliament’s legal committee recently voted to relax parts of the directive following corporate objections, Al-Kaabi noted that “the amendments have not dispelled fundamental concerns.”

Qatar and the U.S. have jointly urged the EU to reconsider its Corporate Sustainability Due Diligence Directive, warning it could threaten LNG supplies to Europe. The directive mandates companies to address environmental and human rights issues, but officials argue it risks energy affordability and Europe's industrial competitiveness.

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