Government-close business circles to seize petrol stations in Hungary?
The government decided last week to cap fuel prices in Hungary at HUF 480. Some media outlets say that the relevant rules published last weekend might help government-close business groups to seize fuel stations in Hungary. Some already say that the scheme will be like in the case of the national tobacco shops. In the early 2010s, the government redistributed all tobacco concessions, and in most places, Fidesz-close locals won.
Government to rule out loopholes
According to azenpenzem.hu, Gergely Gulyás, the prime minister’s chief of staff, maximized the price of the 95 octane unleaded gasoline and non-premium diesel last week. The reason is probably the public outcry because of the recently skyrocketing prices. Not surprisingly, opposition MPs has been demanding the decision for weeks.
The new regulation tries to rule out any tricks and loopholes. Blokk.com, a trade portal, said that they expected many fuel stations to close for the night. That is because the night shifts are the most expensive. However, the owners do not have too many choices to cut down operation costs. That is why
the media outlet said they would close in the evenings.
However, the government decided to close that loophole. Furthermore, the new regulation does not allow a fuel station to sell only premium products. If somebody does not sell non-premium products, they have to vend their premium products for the same price.
Petrol station owners to be replaced soon in Hungary?
The deadline for the new rule is three months currently. However, that can be prolonged until the act on the containment of coronavirus remains in effect. And that is enough
time for the reorganisation of the market
– azenpenzem.hu says.
The new decree introduces the notion of “registered service provider”. Companies of the sector can apply for it until 18 November if they want to run additional stations. They can acquire the operation rights from the owners the National Tax and Customs Administration (NAV) penalizes multiple times. In an extreme situation, that can mean losing the right to run a fuel station in only one day. Interestingly, the penalized owners cannot appeal against the decision of the NAV.
Breaking – government to cap fuel prices in Hungary!
One can temporarily
lose their fuel station
provided they cannot operate it for at least 48 hours per week by selling capped-price fuels – origo.hu reported.
In both cases, the minister decides who will operate the fuel station. Those acquiring the operation of a petrol station do not have to get more licenses.
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Source: azenpenzem.hu, origo.hu
There is a redistribution of wealth from the families of old-time communists to new owners. I don’t know how just or unjust some of these are. There are probably some unjust but overall serves a purpose.
Communists took the wealth from Hungarian leading families and farmers and handed over to communists like Klara Dobrev. It went on from the end of WW2 until 2010.
Fidesz is favoring its own people who are mostly Hungarians with no or little communist dirt in their background. That is life.