State institutions, companies ordered to cut gas consumption by 25 pc — UPDATED

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Hungary’s government has ordered public institutions and state-owned companies to cut their gas consumption by 25 percent as an energy-saving measure, the prime minister’s chief of staff said on Thursday.

The rule does not apply to hospitals and social-care institutions, Gergely Gulyás told a regular press briefing.

Gulyás said the energy supply situation was difficult all across Europe and rising energy prices had caused an economic crisis.

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“It’s clear that the sanctions policy has not lived up to expectations,” he said.

The government will cap firewood prices and launch a scheme to support energy-intensive SMEs.

Firewood will be also available for purchase in forestries, which will be able to provide 10 cubic meters of wood for all customers, enough to heat a private household through the winter, Gergely Gulyás said.

The government will also launch a “coal programme”, and raise the limit of open-cast mining from 50,000 tonnes to 280,000 tonnes, he said.

Small and medium sized companies with high energy needs will receive support to foot their gas and electricity bills, he said.

The price of district heating will not rise, and the government will launch a programme to provide all flats on the grid with individual meters, he said.

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Hungary is currently running the largest household utility price support programme in Europe, he said. Price subsidies, up to average consumption, are available up to 150,000 forints (EUR 375) per household, he said.

Meanwhile, Gulyás said the government will cap firewood prices. Firewood will be also available for purchase in forestries, which will be able to provide 10 cubic meters of wood for all customers before the heating season, enough to heat a private household through the winter, he said.

The government will also launch a “coal programme” in the coming days, and raise the limit of open-cast mining from 50,000 tonnes to 280,000 tonnes, he said. The government will have pre-emption rights on the lignite produced, he added.

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One comment

  1. Explosive.
    The ramifications from this decision, another damper, on the overall moral of Hungary.
    Citizens – yes we have to do our bit, but its GOING to continue to TEST us – the obvious, across the board, downward trends of our life qualities in Hungary.
    Winter approaches – Scary.

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