Paks nuclear plant project

Brussels expected to clear Paks upgrade soon

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London (MTI) – A planned upgrade of Hungary’s sole nuclear power plant at Paks is expected to get final approval from the European Commission soon, the government’s commissioner in charge of the project told MTI in London on Friday.

Attila Aszódi, who was in London to speak at an annual conference of the World Nuclear Association, noted that the EC vice president in charge of energy union had said a week earlier that Hungary is close to the “positive resolution” of all questions concerning the upgrade.

Questions on competition law and procurement remain open, but Maros Sefcovic’s remarks show that these are close to being resolved, Aszódi said. The EC might take decisions on the matters within a few weeks, he added.

Hungary signed an agreement in January 2014 in Moscow on the construction of two blocks at Paks by Russia’s Rosatom. Russia is lending Hungary 10 billion euros to cover 80 percent of the project’s costs.

Photo: Daily News Hungary

Paks block re-starts after malfunction corrected

Budapest (MTI) – Output of the Paks nuclear power plant’s Block 1 was back at 100 percent early in the afternoon on Friday after a control system malfunction was corrected, a plant official told MTI.

The block was automatically shut down on Thursday morning due to the malfunction.

Paks communications director Antal Kovács said the block was re-started in the morning on Friday and reached its nominal 500MW capacity at 2:20 in the afternoon.

The cause of the malfunction will be reviewed, as required by law, Gyula Fichtinger, the head of the National Atomic Energy Office (OAH), told MTI.

Paks Block 1 operation suspended due to IT control malfunction

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Budapest, July 14 (MTI) – The operation of Block 1 of the Paks nuclear power plant was suspended on Thursday morning due to the malfunction of the IT control system which has however not compromised the block’s safety, the national atomic energy office (OAH) said on its website.

The block’s operation stalled automatically in line with nuclear safety regulations defined in a contingency plan prepared in advance for such eventualities, the office said.

An investigation of a team of experts is underway to establish what exactly had caused the malfunction and what sort of repair is necessary, it said.

The block will be restarted under the OAH’s supervision once the repair is completed, the office said.

Antal Kovacs, communications director of the company operating Paks, said Block 1 is expected to be reconnected to the entire network on Friday noon. The block’s stoppage has not affected the operation of the other three blocks.

IAEA: Hungary well-prepared for handling nuclear accidents

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Budapest (MTI) – Hungary is well-prepared to handle any accidents or emergencies involving nuclear energy or radiation, Chris Dijkens, mission leader of the International Atomic Energy Agency’s (IAEA) inspection team, said on Friday.

The team spent twelve days inspecting Hungary’s emergency response system after the country voluntarily asked for a review.

Hungary’s emergency response system is well established, the self-evaluation performed by the country was objective, and the IAEA has been given full access during the visit, Dijkens said.

Based on its findings, the mission recommends Hungary keep adjusting its response system to the newest IAEA standards and enhance the training of health-care workers to detect the clinical signs of radiation overexposure.

Paks upgrade project company capital raised by HUF 19.7 bn

Budapest, June 13 (MTI) – Hungary has raised the capital of the project company undertaking an upgrade of the Paks nuclear power plant by 19.7 billion forints (EUR 63.1m), business daily Világgazdasag said on Monday.

The Prime Minister’s Office told the paper that the capital raise was necessary to cover the operating costs of the Paks II Project Company as well as the cost of preparations and obtaining permits.

The fresh capital will be sufficient until the next capital raise set for March 2017, Vilaggázdasag said.

The construction of two new blocks at the Paks plant is being financed with a 10 billion euro loan from the state of Russia.

Hungary will start drawing on the credit after it is cleared by the European Commission, the European Union’s competition authority, which is expected to take place this year, the PM’s office said.

Hungary gives IAEA progress report on Paks upgrade

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Budapest, June 7 (MTI) – Hungary gave a report on progress it has made toward the upgrade of the Paks nuclear power plant to the International Atomic Energy Agency (IAEA) at a meeting of the body’s board of governors in Vienna on Monday, the government commissioner for the project told MTI.

Hungary last gave a progress report on the Paks upgrade to the IAEA two years ago, said Attila Aszódi.

In his presentation to the board of governors, Aszódi said the European Commission had approved Hungary’s inter-government agreement with Russia on the upgrade and the Euratom Supply Agency had cleared the project. The EC also accepted the related law on the release of information in the public interest, after some modification, he added.

A review is under way as to whether it was appropriate to directly select the general contractor for the project, Russia’s Rosatom, as well as the Russian technology that will be used, Aszódi said. Negotiations on questions of state aid are also being conducted, he added.

Cooperation with the Russian side on crafting the plan for the upgrade is “intensive and harmonious” and preparations for obtaining the necessary environmental and zoning permits are under way, he said.

Paks upgrade to ensure “sustainable, affordable, safe” energy, says official

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Moscow (MTI) – Hungary’s Paks nuclear plant, to be upgraded with two new blocks, will ensure a sustainable, affordable and safe energy source for the country, Attila Aszódi, government commissioner in charge of the upgrade project, said in Moscow on Monday.

Addressing a plenary session of the Atomexpo 2016 international forum on nuclear energy, Aszódi said that in view of earlier accidents such as Chernobyl or Fukushima, the Hungarian project will pay increased attention to safety to ensure that “radioactive matter should not escape the facility in any circumstances”.

The commissioner said that return on investment in the new blocks, to be built by Russia’s Rosatom, will depend on the “cost of production, the capacity of the plant, and the price of electricity on the market”.

Referring to various forecasts, Aszódi said that the price of electricity on the global market could stand between 65-85 euros per MW between 2025 and 2040. The commissioner added that the upgraded plant would break even at 60 euros.

Photo: napravalo.hu

Government: Hungary, EC close to agreement on Paks

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Brussels (MTI) – Government office chief János Lázár said on Friday that he saw a good chance for the Hungarian government and the European Commission to come to an agreement on the upgrade of the Paks nuclear power plant in the near future.

“We have come close to finding a joint solution for allaying the concerns and doubts that were justly or unjustly raised about the upgrade project,” Lázár told MTI after meeting Margrethe Vestager, the EU’s competition commissioner, in Brussels.

Lázár said he was optimistic about the prospects of the project.

“We will make every possible effort so that the ongoing procedures concerning enlargement . be concluded before the summer recess,” he said.

“We will put forward a complete proposal next week,” Lázár said, noting that the commissioner gave a chance for Hungary to make a proposal for settling the situation.

The government office chief expressed hope that “we will find a mutually reassuring solution through constructive joint efforts.”

The commission launched an in-depth investigation into Hungary’s plan to provide financing for the upgrade of the Paks plant last November. It said it would in particular assess whether a private investor would have financed the project on similar terms or whether Hungary’s investment constitutes state aid.

Hungary has signed an intergovernmental agreement with Russia on the construction and financing for the Paks upgrade.

Rolls-Royce eyes Paks deal

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Budapest (MTI) – Rolls-Royce promoted its nuclear instrumentation and controls business at an event for professionals at the Budapest University of Technology and Economics on Wednesday, lining itself up among potential suppliers for the upgrade of Hungary’s Paks nuclear power plant.

Rolls-Royce instrumentation and controls are used in some 200 nuclear power reactors, of all types, in more than 20 countries, the company said in a statement.

Hungary plans to build two more blocks at its sole nuclear power plant in Paks, in central Hungary.

Government: Paks 2 to have broad nuclear security measures

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Budapest (MTI) – Hungary plans to upgrade its nuclear plant in Paks employing a wide range of nuclear security standards, Attila Aszódi, the government commissioner in charge of the project, said on Friday.

Addressing a nuclear power conference, the commissioner said the authorities would strive to identify every possible human and external risk which could have an impact on nuclear safety even over the span of hundreds of years. Excluding such risks will be part of the planning process, Aszódi insisted.

He said expert opinions underpinned by scientific research will be built on when planning Paks 2. On-site environmental and suitability inspections needed for licencing are ongoing, he added.

Risk management will include contingencies for incidents or disruptions in operations, and solutions will be built in to handle such events, he said. Aszódi noted that since the Fukushima nuclear accident, nuclear engineering has evolved and planning caters for any extreme events even with the slightest probability of occurring. An enhanced system which manages even complex disruptions is used.

Aszodi said requests for site permission for the two new blocks at Paks will be submitted still this year.

Government office chief János Lázár said on Thursday that the European Commission was ready to come to an agreement with the Hungarian government on the Paks nuclear plant upgrade project once “appropriate legal and financial guarantees” were in place.

Government official promises safe reactor technology for upgraded Paks nuclear plant

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Budapest, April 26 (MTI) – Hungary’s upgraded power plant in Paks will be equipped with the safest and most advanced reactor technology that will protect the environment from radiation even in extreme cases, a government official said on Tuesday.

Attila Aszódi, government commissioner for the Paks upgrade, told public news channel M1 on the occasion of the 30th anniversary of the Chernobyl nuclear disaster that the upgraded plant will use the latest, generation III and generation III-plus reactor designs. Japan’s Fukushima catastrophe was also taken into account during the Paks plant’s design phase, he said.

Aszódi said 30 percent of the European Union’s electricity is produced by the 140 nuclear power plant blocks operating in 14 of the 28 member states.

The EU is preparing to adopt an energy policy similar to Hungary’s, he said. With 10 member states in the process of building or planning nuclear power plants, the European Commission is counting on the EU’s nuclear capacity remaining stable in the long run.

The government commissioner said the message of the Chernobyl disaster is that human input plays a significant role in the planning, operation and maintenance of nuclear plants. Furthermore, it is crucial that nuclear safety training programmes cover every phase of a plant’s life cycle.

Photo: galaktika.hu

Election Committee rejects PM party referendum initiative concerning Paks

Budapest (MTI) – The National Election Committee turned down a referendum initiative by the opposition Dialogue for Hungary (PM) party concerning a planned upgrade of the Paks nuclear plant, on Monday.

The initiative, submitted by PM’s MEP Benedek Jávor, was aimed at thwarting the cooperation agreement between the Hungarian and Russian governments, under which the project is to be implemented.

In its decision, the committee referred to the constitution and said that a referendum cannot be held in connection with issues governed by international accords.

Photo: MTI

State aid for nuclear energy could distort Europe’s energy market, says Austria embassy official

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Budapest, April 18 (MTI) – Every country has the right to establish its own energy mix but the state support of nuclear power could distort competition on Europe’s liberalised energy market and hamper the spread of renewables, the Austrian embassy’s agricultural attache said in Budapest on Monday.

Speaking at a conference dealing with the upgrade of Hungary’s sole nuclear plant in Paks, Ernst Zimmerl said one of the Austrian government’s concerns about the project was that the Hungarian government awarded a contract for the upgrade of the Paks plant without calling a tender. This does not comply with European Union rules on public procurements, he said.

Zimmerl said EU competition law must also be observed, adding that his government rejects all forms of direct or indirect state aid for nuclear energy projects.

He said he was convinced that, when it comes to nuclear power, the primary goal of the Hungarian and Austrian governments is enhancing nuclear security, regardless of how different their views may be on the use of nuclear energy.

He noted that last year the two countries held talks on an environmental impact study, which brought them closer to agreements on a number of matters regarding nuclear security.

Zimmerl said nuclear accidents do not stop at country borders, emphasising the importance of transparency in the field of nuclear energy, which is also prescribed by EU law.

He said it was “very worrying” that the Hungarian government classified details of the agreement with Russia on the Paks expansion project for 30 years.

Benedek Jávor, a MEP for the Dialogue for Hungary (PM) party, said the most important European Commission investigations into the project were the ones dealing with the suspected involvement of state aid and the government’s failure to call a tender for the upgrade. Jávor said he suspected that the government and the EC could reach an agreement regarding the government funding for the project around the autumn. In this agreement, the EC could declare that the project does indeed involve state aid, but may choose to allow it citing “special circumstances”. Jávor noted that the government had already amended the agreement with Russia concerning the plant’s radioactive fuel supplies as well as the law pertaining to requests for data in the public interest regarding the project.

Zsuzsanna Koritár, an expert of the Energiaklub climate policy institute, which organised the conference, said the biggest problem with the project was that the government had failed to provide a valid reason for the investment as a whole. There are no alternative solutions for ensuring Hungary’s energy supply which could serve as a basis for comparison, she said. Koritár said the official budget for the upgrade was 3.75 trillion forints (EUR 12bn), but the government had failed to take into account incremental costs which she said could reach 2 trillion forints.

UPDATE

Attila Aszódi, government commissioner for the Paks upgrade, responded to the speakers’ remarks saying that the Paks project fully complies with the EU’s energy policies. The European Commission aims to keep its capacity to produce nuclear power stable in the long run, he told MTI.

He said that while Austria is capable of producing 60 percent of its electricity by hydropower, Hungary is not so fortunate.

Aszódi said 27 percent of Europe’s electricity is produced by nuclear plants and 14 of the 28 member states have nuclear reactors. The fact that these plants are able to produce power 24 hours a day gives Europe a huge advantage in terms of its energy security and environmental protection. He noted that 10 member states are in the process of building or planning nuclear power plants, citing Slovakia, France and Finland as examples. He said Hungary and Austria’s cooperation regarding the Paks project was “fair”. Hungary invited 30 countries to take part in the environmental impact study. At Austria’s request, the study also included public and expert consultations, where Hungary answered every question that came up. At the end of March, Austria indicated that it considered the process complete and that it would discuss any remaining technical questions through bilateral talks, Aszódi said. He said the Hungarian government strongly supports renewable energy.

Aszódi said the project did not require state aid to be competitive and profitable. He said the EC’s investigation into the project was not about state aid and expressed hope that the commission would wind up its investigation and state a position by the middle of the year. He said the government did consider alternative sources for Hungary’s energy supply but the plan containing nuclear energy turned out to be the best long-term solution.

As regards the costs of the Paks upgrade, Aszódi said Hungary signed a fix-priced contract with Russia’s Rosatom, meaning that the project will not require any additional spending.

PM party MEP submits Paks expansion referendum question

Budapest, March 30 (MTI) – Dialogue for Hungary (PM) MEP Benedek Jávor on Wednesday submitted a referendum question concerning the expansion of the Paks nuclear power plant to the National Election Committee (NVB).

If the question is approved by the committee, citizens would be asked: “Do you agree that Hungary’s parliament should pass a resolution mandating the government to initiate the cancellation of the agreement it signed with Russia on expanding the Paks power plant?”.

Jávor told a press conference after submitting the question that its phrasing is deliberately similar to the government’s question on mandatory migrant quotas. He said he was “curious to see” if the NVB would “apply double standards” in the cases of two questions that both pertain to international commitments. Jávor said that if the government’s migrant quota question was approved then it is only fair that his own question should also be put up for referendum.

The MEP said he would turn to the Kúria, Hungary’s supreme court, if his question is rejected.

Jávor said the loan from Russia to expand the power plant would leave Hungary indebted to Russia for decades to come.

“Hungarians have a right to express their opinion on this completely mindless investment … which violates several EU laws and regulations, goes against the goals of its energy policies and more importantly, common sense, the country’s interests and as I believe, the will of the majority as well,” he said.

Hungary signed an agreement in January 2014 on the construction of two blocks at the Paks nuclear power plant by Russia’s Rosatom. Russia is lending Hungary 10 billion euros to cover 80 percent of the project’s costs.

Photo: MTI

Lawmakers vote for legal redress in Paks data case

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Budapest, March 30 (MTI) – Parliament on Wednesday amended rules pertaining to requests for data in the public interest concerning the expansion of the Paks nuclear power plant, opening up the possibility for legal redress should the state deny a request. The amendment is a response to objections by the European Commission to a secrecy clause in the original law.

In the law passed last May, business and technical data in connection with the investment was stamped secret for 30 years.

The justice minister, László Trócsányi, said the amendment did not amount to a substantive change but rather made it clear that any refusal of a request for data can only be made if disclosure would harm national security interests or violate intellectual property rights.

Photo: MTI

Regular government press conference about Paks project, immigration and quotas – Update

Budapest, March 3 (MTI) – The government has reached an agreement with Brussels on the transparency of the Paks nuclear plant upgrade and a bill on the project will soon be submitted to parliament, government office chief János Lázár told a regular government press conference on Thursday. Greece is trying to force migration onto Hungary by interfering in the lawsuit Hungary has filed with the EU over its mandatory migrant quota scheme, minister said. The government offers its assistance to resolve an open issue concerning access to the public data of the National Bank’s foundations, Lázár said.

Government, EC reach agreement on Paks upgrade transparency

Lázár said the government and the European Commission have recently speeded up talks regarding the involvement of illegal state aid in the project and the adherence to EU public procurement law.

Moving on to a different topic, Lázár said the government has called tenders for 46 percent of EU funds available for the 2014-2020 funding period, noting that tenders for the remaining funds would be called by July 1, 2017 at the latest.

He also announced that the government would offer 10 billion forints (EUR 32.3m) in government support for Hungarian dairy producers.

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Greece wants to “force” migration onto Hungary

Greece’s interference in the case is “anti-Hungarian”, Lázár told a regular government news conference.

He said the government does not mind helping migrants, but added that “if we help them here, we will draw them here”, whereas if Hungary offers to help them in their countries of origin, they will stay there. Lázár said the Hungarian government was ready to contribute to international aid programmes.

Concerning mandatory migrant quotas, Lázár said the redistribution scheme would affect the lives of every Hungarian, adding that everyone needs to be given the right to decide whether they reject or approve of the scheme. This is a matter of sovereignty, he said.

He said the leftist opposition parties who turned to the Kúria, Hungary’s supreme court, over the government’s planned referendum intend to alter the country’s ethnic makeup and on this issue the government strongly disagrees. “Hungary does not need migrants,” he said.

Lázár said the Visegrad Four grouping of Hungary, Slovakia, Poland and the Czech Republic remain convinced that a second line of defence is needed on the Balkan route in Macedonia against the migration wave. Right now Austria is the country which represents central European views “most vocally and charismatically”, he said. Hungary is very committed to complying with the EU’s rules and to protecting its borders, Lazar said, adding that handling the migrant crisis has so far cost 80 billion forints to which the EU only contributed 3 billion. In January and February this year altogether 3,000 migrants arrived at Hungary’s southern borders of which 150 claimed to be of Syrian nationality, he said. Reinforcing Hungary’s border barriers with Serbia, Croatia and preparing to do so on the Romanian border will be on the agenda of next week’s cabinet meeting.

On a related subject, Lázár said that Hungary took in many of the 50,000-100,000 refugees who fled south-western Ukraine due to the armed conflict in that country.

Government ready to discuss data access of cbank foundations 

The government respects legislation passed by parliament, but “the issue has not been closed”, Lázár said, concerning a recent amendment under which the central bank could restrict public access to information on the finances of its foundations.

The National Bank should be governed by the same laws as applicable to the central banks of non-eurozone countries, Lázár said.

“What is not private money is public money,” Lázár said, but added that “in the interest of fiscal security of a country” public information on the use of public funds can be restricted.

Answering a question on another subject, Lázár said that a planned amendment to the budget law would not ensure an authorisation to the government to shape the budget through decrees. He said the new provisions would only regulate how the government should spend leftover funds accumulated on a monthly basis.

Concerning public education, Lázár said that proposals to change schools manager Klik would be presented after Easter. He said that “the principle of shared responsibility between state and local governments has failed”. Authorisations for schoolmasters will change, he said but added that “decision making levels” have not yet been defined.

Photo: MTI

EU frowns on classification of Paks upgrade documents, says MEP of the Dialogue for Hungary

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Budapest, February 26 (MTI) – According to the European Commission, Hungary’s classifying documents concerning the Paks upgrade project is not compatible with community law, Benedek Jávor, MEP of the Dialogue for Hungary (PM) party, said on Friday.

Hungary’s parliament adopted a law last year, under which information on the Paks project in general would be treated as confidential, without specifying the data to be classified, he noted.

Jávor insisted that the law was also in conflict with the Hungarian constitution and called on the government to amend it without delay. He also noted, however, that negotiations between the Commission and the Hungarian government were under way, and Hungary had made a pledge for an amendment.

Photo: MTI

Government’s weekly press briefing about migrant crisis, Paks project, education and local councils

Budapest, February 18 (MTI) – The Visegrad Group has proposed helping countries in the Balkans, the government office chief said on Thursday, adding that chaos would ensue otherwise. The government has no means to hike teachers’ wages by 15-20 percent at the moment, government office chief János Lázár said.

lazar-hungary-governmentV4 propose helping Balkans in migrant crisis

János Lázár told a weekly press briefing that Russian President Vladimir Putin was especially interested to hear about European disputes concerning the migrant issue during Prime Minister Viktor Orbán’s visit on Wednesday.

The V4 countries, including Hungary, do not want to see a new divide in Europe. Maintaining European unity is a fundamental interest, he said. The idea that the V4’s position rubs up against German Chancellor Angela Merkel’s policy creates “an artificial confrontation”, he said.

The V4 countries accept that Europe’s lines of defence should be reinforced at the Greek and Turkish borders, he said, adding that Turkey’s input was key, he said.

The main line of defence should be at the Greek border but if migration cannot be stopped then the new line should not coincide with the Schengen borders of Hungary, Slovenia, Austria or Italy, he said. “It would entail unforeseeable consequences if the second line of defence coincided with the Schengen border,” Lázár said.

The V4 countries continue to reject the mandatory migrant quotas or any attempt by the European Commission or Germany to distribute migrants among EU member states, he said.

Hungarian-Russian ties

Concerning to Prime Minister Viktor Orbán’s visit to Moscow on Wednesday, he said the government welcomed Russia’s reaffirmation of its commitment to “maintaining the capacity” of the Paks nuclear power plant.

Hungary aims to develop and extend stable cooperation with Russia and, in line with its foreign policy strategy, seeks to negotiate with all in both the west and the east, Lázár said.

He reiterated Hungary’s view that European and global affairs cannot be resolved without Russia.

Lázár said he regarded the Brussels summit starting on Thursday as important, since it offers the EU an opportunity to take preventative measures to avoid an immigration crisis this year. The European Commission has been unable to resolve the problem for a year, he added.

It appears highly likely that sealing the Hungarian-Romanian border with a fence is unavoidable, Lázár said. The European Commission’s “impotence” and “the situation that has emerged” have forced such a move, he added.

Lázár criticised the Austrian left-wing parties and the chancellor for continuously attacking the Hungarian government and “sending messages without concrete facts”.

Lázár rules out wage hike for teachers

There is no way of doing so, even if protesters “use children … to blackmail the government,” Lázár said. He warned trade unions against engaging in such “demeaning action”. Instead he called on teachers’ representatives to attend official talks with the government, which he said is open to negotiations.

He said access to free textbooks would remain in place but there would be no concessions made to the “textbook lobby” even “if it hides behind teachers”.

The government will assess the outcome of talks between the ministry of human resources and teachers’ organisations at a meeting on Feb. 24, Lázár said.

Schools operator Klik is “not a perfect organisation” but the state’s right to maintain schools is beyond dispute, he said. In response to a question about whether Klik’s chief may be removed, he said problems cannot be resolved through personnel changes.

Lazar conceded that organisational problems emerged when the state took over the maintenance of public schools in 2012. “We didn’t organise the system properly,” he said.

He added that Klik owed 17 billion forints in unpaid invoices.

Farmland sales

Meanwhile, Lázár said state auctions of farmland — this time involving 140,000 hectares — will resume on March 1.

Local councils

On another topic, he rejected press reports that the cabinet planned to curtail the powers of local councils. Prime Minister Viktor Orbán recently told local council leaders that no systemic changes are planned and councils will not be put at a disadvantage, Lázár said.

Habony scandal

In response to a question about Árpád Habony, an informal advisor to Orbán who held his wedding party in the Museum of Fine Arts, Lázár said the museum’s director, László Baán, had been mistaken to assume that the future development of the institution depended on “the attitude of a high-ranking person or politician”. The museum, together with the Hungarian National Gallery, are strategic institutions “regardless of who holds a wedding party there or who doesn’t”.

“Directors of institutions who still think that, like in communist times, the institutions can be best developed with the help of good contacts … are wrong,” Lázár said. Orbán’s door is open to every museum director and he supports every museum development project, Lázár added. “This case has greatly damaged Hungarian museums and culture,” he added.

Photo: MTI