Qatar said the European Union’s (EU) push to ease some regulatory burdens is opening the door to further gas deals with companies in the region.
Qatar has been
critical of some EU ESG rules, particularly those requiring companies to
conduct due diligence in their supply chains on issues such as human rights
abuses and environmental damage, Bloomberg Television reported.
Qatar plans to expand
export capacity to 142 million tonnes per year by 2030 and has signed deals
with Germany and France as Europeans seek to diversify their LNG sources.
Those laws have been a
key part of the EU’s push to cut red tape, with 80 per cent of companies now
exempted.
“We see more potential with the Europeans,
although we have some issues with the regulation,” Finance Minister Ali
Al-Kuwari said to Bloomberg TV on the sidelines of the World Economic Forum in
Davos, singling out the due diligence rules known as CSDDD. “We understand that
Europe now is really taking an easy stand on that one, and that should resume
our talks.”
Since Russia’s
invasion of Ukraine nearly four years ago, the EU has been working to diversify
its energy supplies, with LNG from Qatar seen as a crucial substitute.
Amid worsening trade
tensions with the US—Europe’s largest LNG supplier—Qatar’s role may grow in
importance.
Qatar is one of the
world’s largest LNG exporters and plans to expand export capacity from the
current 77 million tonnes to 142 million tonnes per year by 2030. Output from
the first phase of the expansion is scheduled to start later this year.
“We have signed deals” with Germany and
France, Al-Kuwari said. “Europeans have been talking to us, because they want
to diversify their source of LNG.”