European Commission adopts update on emergency oil stocks directive

Europe’s dependency on imports of crude oil and petroleum products still remains high. Given the important role these products currently play in the economy, especially in the transport sector, holding emergency stocks that can be quickly allocated in case of supply disruptions to where they are most needed, remains important for the energy security of the EU. To guarantee these stocks, EU law imposes an obligation on member states to maintain minimum emergency supplies of crude oil and petroleum products.

The review in 2017 of the functioning of the directive currently in force concluded that the directive is still fit for purpose. Nevertheless, in order to improve its clarity and reduce the administrative burden for member states, a series of technical changes and updates were proposed.

In particular, the changes will improve the method used by member states to deduct, when calculating the minimum level of emergency stocks required, the amounts of petroleum products used for petrochemical, non-energy applications.

Moreover, the start date for the yearly stockholding obligation is being moved from the current date (31 March) to 30 June. This will give three extra months for completing national administrative procedures and adapting the level of emergency stocks, thus facilitating compliance within the deadline.

Read the article online at: https://www.tanksterminals.com/storage-tanks/24102018/european-commission-adopts-update-on-emergency-oil-stocks-directive/