By Svitlana Romanko, Founder and Executive Director of Razom We Stand & Petras Katinas, Energy Analyst at Centre for Research on Energy and Clean Air (CREA)
Despite the ongoing war in Ukraine and widespread sanctions against the Kremlin, Germany’s import of Russian liquefied natural gas (LNG) remains a troubling reality that must change.
For years, Germany has been a leading European economy heavily reliant on energy imports. Despite the war against Ukraine and the serious sanctions imposed against the Kremlin, the country has continued to purchase Russian fossil fuels, including liquefied natural gas (LNG). While its dependence on Russian LNG has decreased to 4-6% of total consumption, this still results in substantial financial flows to Russia, indirectly funding Putin’s war chest and paying for the bombs that are being relentlessly dropped on Ukrainian cities.
Between May 16, 2023, and May 16, 2024, Germany imported €182.4 million worth of Russian oil products via Turkish refineries. In 2023, Europe imported a total of 18.5 billion cubic meters of Russian LNG, a large portion of which reached Germany through neighbouring countries like Belgium, France and the Netherlands. Researchers estimate that up to 6% of the gas used, around 55 TWh, in Germany may originate from Russia via indirect routes, complicating efforts to trace its origins.
Although separating these molecules is technically complex, Germany has established LNG terminals capable of importing a portion of this volume from alternative sources, effectively preventing Russian gas from entering the system. These terminals could effectively stop Russian gas from entering the country and prevent economic losses.
As of 2024, the Kremlin earned over €194 billion from fossil fuel exports to European countries, with Germany a key buyer, especially before sanctions were imposed. Data from CREA reveals that in 2022, Germany paid Russia around €15.8 billion for gas and another €14.5 billion for oil. Since the full-scale invasion, Germany paid €32.5 billion for Russian coal, pipeline gas and oil. Although direct purchases of Russian fossil fuels ceased in April 2024, indirect imports persist.
Most Russian LNG imported by Germany comes from three main terminals— Yamal, Portovaya, and Vysotsk. Yamal is the largest, with a liquefaction capacity of 17.44 million tons annually. The other two terminals have much smaller capacities—Portovaya produces 1.5 million tons per year, and Vysotsk 0.66 million tons. These terminals remain crucial for getting Russian LNG supplies to Europe despite sanctions.
Although Germany has publicly pledged to stop importing Russian LNG, gas still reaches the country through transit terminals in neighbouring nations, making it difficult to ban Russian fuel exhaustively. Consumers and government bodies often cannot precisely track the origin of the gas entering Germany’s gas transmission networks. However, studies show that such a ban is achievable.
The involvement of state-owned companies like SEFE introduces another layer of complexity. Primarily engaged in gas trading and storage, SEFE has secured several long-term supply contracts for fossil gas, including those of Russian companies. Given its status as a state-owned entity, Germany should ensure that SEFE and other companies avoid any dealings with Russian gas altogether.
According to the German Institute for Economic Research (DIW), even if gas demand remains high until 2030, Germany and the EU could completely ban Russian gas by increasing renewable energy production and energy efficiency while sourcing LNG imports from countries such as Qatar, the US, and Australia.
The German government is already actively working to reduce its dependence on fossil fuels. By the end of 2023, 65% of Germany’s net electricity production was provided by renewable energy sources. This progress demonstrates that the country has all the means necessary for a complete embargo of Russian energy resources, including liquefied natural gas.
Concerns about energy security and rising tariffs have hindered a full ban, but DIW analysts argue these concerns are misplaced. In the event of a full ban on Russian gas, the country can meet its needs through alternative LNG sources and imports via new pipelines, including from Norway or other countries. Additionally, the reduction in gas demand due to the implementation of energy-efficient technologies, a milder winter, and the gradual transition to green energy means Germany no longer relies on Russian gas.
Germany’s past dependence on Russian gas stemmed from long-term energy agreements made before the war in Ukraine began. Before 2021, Germany imported over 55% of its gas from Russia, mainly through pipelines like Nord Stream. Following sanctions and the cessation of pipeline gas supplies, the country was forced to seek alternative sources. As a result, the share of Russian gas in Germany’s overall energy balance has significantly decreased, now accounting for only a few per cent, indicating the potential for complete abandonment.
Beyond economic considerations, Germany also has political motives to cease energy cooperation with Russia. Ongoing threats from Russian spy and sabotage groups, which carry out attacks on the country’s critical infrastructure, along with election interference, add pressure on the government to take decisive action. Russian attacks on military bases, water supply systems, and other key facilities in Germany pose a direct threat to national security. At the same time, the country continues to finance the powers behind these attacks by continuing to import Russian LNG.
Germany and the European Union are already prepared for this winter, with gas storage facilities filled to more than 95%. Germany’s ban on Russian LNG would be feasible by the end of 2024 and essential for ensuring national security and supporting international efforts to stop the war in Ukraine. Financing Russia’s war through energy imports places Germany at a crossroads, forcing the country to choose between short-term economic benefits and long-term strategic goals.
We must not allow European money to keep funding the destruction of Ukraine and this seemingly endless loss of human life. Germany must act decisively to eliminate its dependency on Russian LNG and help forge a more stable, secure future for Europe.
Svitlana Romanko is the Founder and Executive Director of the Ukrainian non-governmental organization Razom We Stand . Petras Katinas is an energy analyst at the think tank Centre for Research on Energy and Clean Air (CREA).
This article was originally published in a German version by Tagesspiegel.
