New EU proceedings launch against Hungary over motorway concessions
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The European Commission has initiated infringement proceedings against Hungary’s motorway concession, citing concerns over the lengthy 35-year agreement. However, contrasting international examples suggest otherwise, prompting the Hungarian government to stand firm.
Proceeding against Hungary due to motorway concession
According to VilĂ¡ggazdasĂ¡g, the Hungarian government is defending a motorway contract amidst legal action, dismissing claims by the European Commission. The Commission initiated infringement proceedings against Hungary, citing concerns over transparency, operational risk transfer, and the contract’s duration. However, the government refutes these claims, viewing the situation differently.
The Hungarian government defends its decision on concession motorways, criticising Brussels for alleged double standards. They argue that the concessions aim to enhance the country’s road network, promote economic development, and improve social mobility. Key objectives include extending motorways to national borders, ensuring accessibility to economic centres, and reducing journey times.
The government highlights the benefits of the concession contract, including the construction of new motorways and operational risk transfer to the concessionaire. They stress that the duration of the 35-year concession aligns with international norms and allows for substantial infrastructure development that would not be feasible with EU funding constraints.
The situation in other countries
The notion that the 35-year Hungarian motorway concession is excessively long is misguided when compared to concession terms across various countries. In Spain, where motorway concessions are prevalent, durations typically range from 30 to 35 years, with some extending to 55 or 75 years.
There goes the EU interfering once more. Does the EU have nothing to do but interfere in Hungarian internal affairs?
@mariavontheresa … Guess who is paying for most of this? Our Politicians are quick to take credit, as the EU funds the projects. We don´t have all that much money – https://ec.europa.eu/eurostat/web/products-euro-indicators/w/2-22042024-ap
Fun fact: when Hungary issues bonds to fund debt, due to us being so special, we pay the highest interest rates in the EU:
https://www.investing.com/rates-bonds/european-government-bonds
So – having the EU send us free money is VERY important, even our Politicians understand this. To do stuff, maybe give teachers, doctors and nurses a raise, improve crumbling infrastructure, look good for the electorate which does not appear to understand how state funding works, even a very Sovereign one like ours!