Hungary will not comply with a request from the European Commission to abolish protected energy prices, the head of the Prime Minister’s Office Gergely Gulyás said at a government briefing on Thursday.
Gulyás said the government had reviewed the country’s energy situation at its latest meeting and concluded that, despite multiple risks, Hungary’s gas, electricity and fuel supplies remain secure. He attributed this to strategic reserves and existing procurement arrangements, adding that the government is able to maintain the current system of regulated prices.
He recalled that Hungary’s pricing scheme is partly based on exemptions secured by Prime Minister Viktor Orbán in negotiations with Brussels in 2022. While oil deliveries via Ukraine have been halted, alternative supply routes have already been activated, ensuring continued availability and helping to avoid sharp increases in fuel costs.
According to Gulyás, the European Commission has called on Hungary to eliminate the protected pricing system, but the government considers such a move contrary to national interests. He argued that lifting the measures would impose a significant financial burden not only on households but also on businesses and the wider economy.
The minister said that ending price caps on fuel could increase monthly household spending by 48,600 forints, while higher electricity prices could add around 16,000 forints. The removal of reduced utility tariffs could further raise costs by approximately 31,000 forints per household.
Gulyás warned that Hungary is facing a period of heightened energy risk, pointing to global developments that could drive up prices and disrupt supply. He referred to tensions affecting major oil transport routes and ongoing conflicts impacting energy infrastructure, saying these factors could lead to fuel shortages and further price increases in the near future.
He stressed the importance of maintaining diversified supply routes and avoiding decisions that could restrict access to affordable energy sources. The government, he said, rejects efforts to force Hungary to abandon cheaper energy imports, arguing that such policies would be driven by political rather than economic considerations.
Gulyás also highlighted recent security concerns, stating that authorities had taken steps to protect key infrastructure, including reinforcing the security of the TurkStream gas pipeline. He said the pipeline plays a crucial role in Hungary’s energy supply and confirmed that cooperation with Serbian authorities had helped prevent a potential disruption.
‘Authorities had taken steps to protect key infrastructure, including reinforcing the security of the TurkStream gas pipeline’
Addressing domestic politics, the minister criticized Péter Magyar and the Tisza Party, suggesting they would align with EU and Ukrainian positions on energy and foreign policy if they came to power. He also referred to a recently surfaced audio recording, claiming it showed that Magyar had previously acknowledged the seriousness of the war-related risks facing the region.
Gulyás argued that the government has consistently communicated the risks associated with the international situation, while accusing opposition actors of downplaying these concerns in public discourse.
The minister also addressed Hungary’s international relations, noting that Prime Minister Orbán held talks with US Vice President JD Vance. He said Hungary’s economic ties with the United States are at a record level, with trade volumes reaching historic highs and expected to grow further this year.
He added that discussions with US partners have included the possibility of financial cooperation mechanisms, which could provide additional economic stability in the event of a crisis. While such measures are not currently necessary, he said the existence of these options strengthens Hungary’s overall economic position.
Gulyás concluded by emphasizing the broader significance of the upcoming election, saying it will have a direct impact on both national policy and household economic conditions. He reiterated the government’s position that maintaining energy security and protecting consumers from rising costs remain key priorities.
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