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1. Member States shall lay down the rules on penalties applicable to infringements of this Regulation and shall take all measures necessary to ensure that they are implemented. The penalties provided for shall be effective, proportionate and dissuasive and shall include at least:

(a) fines proportionate to the environmental damage and impact on human safety and health, set at a level which:

(i) at least deprives those responsible of the economic benefits derived from the infringement in an effective way; and (ii) gradually increases for repeated serious infringements;

(b) periodic penalty payments to compel operators, undertakings, mine operators or importers to put an end to an infringement, comply with a decision ordering remedial actions or corrective measures, provide information or submit to an inspection, as applicable. By 5 August 2025, Member States shall notify the Commission of those rules and those measures and shall notify it without delay of any subsequent amendment affecting them.

2. Member States shall, in accordance with national law, ensure that the competent authorities have the power to impose at least the following administrative penalties and administrative measures for infringements of Article 12, Article 14(14), Article 16(2), Article 20, Article 23(1), Article 27(1), Article 28(1) and (2) and Article 29(1) and (2), provided that they do not endanger the security of energy supply:

(a) adopt a decision requiring the person to bring the infringement to an end;

(b) order the confiscation of the profits gained or losses avoided due to the infringements insofar as they can be determined;

(c) issue public warnings or notices;

(d) adopt a decision imposing periodic penalty payments;

(e) adopt a decision imposing administrative fines. In the case of legal persons, the amount of the administrative fines referred to in point (e) shall not exceed 20 % of the annual turnover in the preceding business year. In the case of natural persons, the amount of those fines shall not exceed 20 % of the annual income in the preceding calendar year.

3. Where the legal system of the Member State does not provide for administrative fines, fines may be imposed by the competent national courts at the request of the competent authorities. Those fines shall be effective and their effect shall be equivalent to that of the administrative fines imposed by administrative authorities.

4. In the exercise of their powers under this Article, competent authorities shall cooperate closely to ensure that their powers are exercised, and that the administrative penalties and administrative measures they impose are designed and applied, in an effective and consistent way across the Union.

5. At least the following infringements shall be subject to penalties:

(a) failure of operators, undertakings, mine operators or importers to provide the competent authorities or the verifiers with the assistance necessary for the performance of their tasks in accordance with this Regulation;

(b) failure of operators or mine operators to carry out the actions set out in the inspection reports referred to in Article 6(5) and (6);

(c) failure of operators or mine operators to submit the methane emissions reports as required by Article 12, Article 18(3), Article 20 and Article 25(6), including the verification statement issued by an independent verifier in accordance with Article 8(4);

(d) failure of operators to submit a LDAR programme in accordance with Article 14(1) or carry out a LDAR survey in accordance with Article 14(2), (5) and (6);

(e) failure of operators to repair or replace components, to continuously survey components and to record leaks in accordance with Article 14(8) to (13);

(f) failure of operators to submit a report in accordance with Article 14(14);

(g) venting or flaring, including routine flaring, by operators or mine operators, except in the situations provided for in Article 15(2) and (3), Article 22(1) and (2), and Article 26(2);

(h) failure of operators or mine operators to demonstrate the necessity to use venting instead of flaring and to demonstrate the necessity to use flaring instead of re-injection, utilisation on-site, storage for later use or dispatch of methane to a market, in the case of operators, or utilisation or mitigation, in the case of mine operators, in accordance with Article 15(4) and (6), Article 22(1) and (2), and Article 26(2);

(i) failure of operators to replace or use venting equipment in accordance with Article 15(5) and (7);

(j) failure of operators or mine operators to notify or report on venting events and flaring events in accordance with Article 16, Article 23(1) or Article 26, as applicable;

(k) use of flare stacks or combustion devices in breach of the requirements laid down in Articles 17, 22 and 23;

(l) failure of the responsible party to apply mitigation measures in accordance with Article 18(6) and (9);

(m) failure of importers to provide the information required in accordance with Article 27(1) and Annex IX;

(n) failure of importers to provide the information required in accordance with Article 28(1) and (2);

(o) failure of Union producers or importers to provide the information required in accordance with Article 29(1) and (2);

(p) failure of Union producers or importers to comply with the maximum methane intensity values set out in the delegated acts adopted in accordance with Article 29(6).

6. Where the conditions set out in Article 15(8) are fulfilled, Member States shall consider reducing or not imposing penalties on operators for the implementation period deemed necessary by the national authorities.

7. Member States shall take into account at least the following indicative criteria for the imposition of penalties, as appropriate:

(a) the duration or temporal effects, the nature and the gravity of the infringement;

(b) any action taken by the operator, undertaking, mine operator or importer to timely mitigate or remedy the damage;

(c) the intentional or negligent character of the infringement;

(d) any previous or repeated infringements by the operator, undertaking, mine operator or importer;

(e) the economic benefits gained or losses avoided, directly or indirectly, by the operator, undertaking, mine operator or importer due to the infringement, if the relevant data are available;

(f) the size of the operator, undertaking, mine operator or importer;

(g) the degree of cooperation with the authorities;

(h) the manner in which the infringement became known to the authorities, in particular whether, and if so to what extent, the operator, undertaking, mine operator or importer timely notified the infringement;

(i) any other aggravating or mitigating factor applicable to the circumstances of the case, including third party actions.

8. Member States shall publish annually information on the type and size of the penalties imposed under this Regulation, the infringements and the operators, undertakings, mine operators or importers upon which penalties have been imposed. Where applicable, such information shall be reported in accordance with Article 22 of Directive (EU) 2024/1203 of the European Parliament and of the Council .