Hungary could seek financial support from the European Union as it considers gradually reducing its dependence on Russian oil and gas, while analysts warn that replacing Russian energy could significantly increase costs for the Hungarian economy.

Speaking at a V4 summit press conference in Bratislava, Hungarian Prime Minister Péter Magyar said he wanted to see concrete, data-based EU proposals to support Central European businesses, help member states phase out Russian oil and gas, switch to alternative energy sources and develop energy-storage infrastructure.

Péter Magyar calls for EU support over energy transition

The Hungarian government is reportedly considering making compensation payments for countries phasing out Russian energy part of the EU’s next seven-year budget. Péter Magyar said the current global energy situation remained extremely difficult, with fuel shortages being reported in several countries. He also argued that national budgets could not absorb the financial burden indefinitely and that maintaining fuel price caps could ultimately lead to shortages.

The prime minister criticised what he described as a lack of concrete proposals from EU leaders, saying businesses in Central Europe were struggling with rising costs. The Tisza Party’s political programme has previously included a goal of ending Hungary’s dependence on Russian energy by 2035.

Replacing Russian oil would come at a cost

Hungary currently receives most of its Russian crude through the Druzhba pipeline, supplying MOL’s refineries. Around 5–5.5 million tonnes reportedly arrived through the route in 2025, with a similar volume expected in 2026. Analysts say Russian Urals crude has recently been around USD 15–20 per barrel cheaper than Brent, giving Hungary a substantial purchasing advantage.

Alternative supplies could be brought through Croatia, but analysts at Kpler say this would reduce at least part of the current price advantage. More expensive crude could squeeze MOL’s refining margins and raise costs across Hungary’s energy system, reports VG.hu.

Gas dependence presents an even bigger challenge

Hungary is also heavily dependent on Russian natural gas delivered through TurkStream under long-term agreements with Gazprom. A reported 7.8 billion cubic metres arrived through the route in 2025, while daily deliveries in 2026 have reached around 22 million cubic metres.

The precise pricing formula is not public, making the actual cost advantage difficult to calculate. However, previous reports have suggested that Russian gas could be significantly cheaper than prices on Europe’s TTF market.

Russia may also have an incentive to keep supplying Hungary

Analysts disagree over how Moscow might respond to a Hungarian shift away from Russian energy. Some argue that Russia benefits financially from continuing supplies and has an interest in retaining one of its remaining European customers. Others believe changing political relations could lead Moscow to reconsider prices or volumes.

For Hungary, a rapid transition could therefore mean substantially higher energy costs. Despite the reported political shift, the government has not indicated that it plans to abandon existing Russian energy agreements, while cooperation on gas supplies and the Paks II nuclear project is expected to continue.