Qatar will cease supplying gas to the European Union (EU) if member states strictly enforce a new law aimed at curbing forced labor and environmental damage, the Minister of Energy Saad al-Kaabi stated.
The directive, approved earlier this year, requires large companies operating in the EU to ensure their supply chains do not involve forced labor or cause environmental harm, and to take corrective measures if such issues are found.
Penalties could amount to up to 5% of global turnover.
“If I were to lose 5% of my revenue by going to Europe, I won’t go to Europe. I’m not bluffing,” Kaabi said, adding that 5% of QatarEnergy’s revenue translates to 5% of Qatar’s national income.
“This is the people’s money, so I cannot afford to lose such an amount – and no one would accept losing that much money.”
Kaabi, who is also the CEO of state-owned QatarEnergy, urged the EU to reconsider the directive thoroughly.
He further stated that his Gulf nation is not concerned about promises made by the newly elected United States (U.S.) President Donald Trump to lift restrictions on the export of liquefied natural gas (LNG).
Qatar, one of the world’s leading LNG exporters, is seeking to expand its role in Asia and Europe as competition with the largest supplier, the U.S., intensifies. The country plans to increase its liquefaction capacity from 77 million tons to 142 million tons annually by 2027.
