Hungary could secure its gas supply without the need for Russian resources, according to Economy and Energy Minister István Kapitány, who also outlined plans for Paks, renewable energy and targeted diesel support.
Paks II review and greater energy storage
The government is expected to complete a review of the Paks II nuclear power plant project by the end of the year. A decision will then be made on whether the additional reactors are still necessary for Hungary’s energy system. At the same time, authorities are examining whether the operating lifetime of the existing Paks I reactors can be extended beyond 2032 for another 20 years.
Kapitány also stressed the need to expand energy storage significantly. Hungary’s solar capacity has already exceeded 8,000 megawatts, but storage has not grown at the same pace. He argued that additional storage, together with solar and wind power, would help reduce the country’s exposure to energy imports. The minister also pointed to this summer’s low Danube water levels as evidence of the need to prepare more thoroughly for the effects of climate change.
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Government says Russian gas could be replaced even in the near future
Hungary could be ready to end its dependence on Russian gas by October next year, in line with the European Union’s deadline, István Kapitány said in an interview with Telex. The Minister for Economy and Energy said Hungary is prepared for the coming winter, with gas storage levels considered adequate and no physical supply problems. He argued that Russian gas has been dominant primarily because it has historically been the most economical option, rather than because alternative sources are unavailable.
Kapitány did not disclose how much Hungary’s reliance on Russian gas has fallen in recent months. However, he said that if current trends continue as expected, supplies from other sources will be sufficient to meet the country’s needs by the EU’s target date. Hungary is also discussing greater use of the Adriatic oil pipeline with Croatia, with the aim of operating it at full capacity, according to the minister.
Stay up-to-date: Hungary has one year left of Russian gas – Could Putin turn the taps off sooner?
Diesel support to cost HUF 10 billion a month
The government plans to provide a monthly HUF 5,000 (EUR 13.74) diesel subsidy to a more targeted group of motorists. Kapitány said around 900,000 to 1 million drivers could qualify, with the measure costing the state budget approximately HUF 10 billion (approximately EUR 27.5 million) per month, or HUF 40 billion (almost EUR 110 million) in total. He contrasted this with the previous universal fuel price cap, which he said cost around HUF 50 billion (almost EUR 137.5 million) a month.
On the economy, Kapitány said greater emphasis should be placed on improving the productivity of small and medium-sized enterprises and integrating more of them into Hungarian supply chains. He also said he expects the proposed wealth tax to affect him personally, describing it as a form of social contribution from wealthier members of society.
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We can now plainly see that Fidesz was feeding Hungarians BS for years saying there was no alternative to Russian gas. Their goal was to help finance Russia’s war of aggression against Ukraine by in fact increasing purchases of Russian gas worth billions of euros. For sure they siphoned money into their corrupt pockets while keeping the terms of their agreement with Putin secret. Hungary is now extricating itself from Putin’s control.
It was refreshing to hear Kapitany state unequivocally that Hungary can cease gas imports from Russia in 2027 if the need arises and no, there would be no supply problems due to the array of interconnects with surrounding countries allowing gas to arrive from any which direction. A nation of 10 million has relatively small gas consumption that can be quite easily fulfilled with existing pipelines and a couple of LNG vessels. A much more populous country like Germany that gives home to many more energy intensive industries has a bigger challenge but even they have managed to wean themselves off Russian gas.
He further stated that the Adria pipeline can meet the needs of the Hungarian and Slovakian refinery in full that’s currently (mostly) supplied by the ‘Friendship’ pipeline. But we should retain a sense of perspective for Hungary is a small country and ending purchases of Russian energy is mostly symbolic and the revenue for Russia is largely insignificant. China, India and Turkey are the big buyers without whom the Russian war machine is bankrupt.
They rather give a lott of money to brussel and to Ursula von der ley, then instead the cheaper gasoline from Russia.they are sick,.they are destroying the Hungarian people, now they have to pay a lot more.no for me is fidesz better then the tiszta, they are lying from the beginning. And who is not corrupt ,even the tiszta is just like everybody else,they are not a saint .i know the fidesz is this also,but they did a lott more for the Hungarian people.