Hungarian Prime Minister Viktor Orban once again frankly stated: Budapest opposes the European Commission (EC) plan to end imports of Russian oil and gas, saying this is the path to "destruction of the Hungarian economy".
TASS reported that speaking at the European Parliament Chairmen's Conference held in the capital Budapest, Mr. Orban warned: "Just imagine double energy prices - both electricity, oil and gas - for Hungarian households and businesses to cannot survive. That would simply destroy our economy.
Mr. Orban clearly affirmed his stance: Hungary wants peace, does not want to continue the economic sanctions policy against Russia led by Brussels. Hungarians need a stable economy, not victims of decisions planned somewhere outside the national borders, he said.
The Hungarian leader's statement comes as the European Commission has just announced a plan to completely end its dependence on Russian gas. According to the EC's roadmap released in early May, new contracts for purchasing Russian gas - both on the spot and long-term delivery markets - will be banned before the end of 2025. Current contracts, including pipeline gas and LNG, are set to expire at the end of 2027.
Despite being an EU member, Hungary has long been reserved about Russian sanctions, especially in the energy sector. Budapest has successfully negotiated to exempt some restrictions, including oil and gas-related sanctions packages.
However, Mr. Orban is also clever in balancing national interests and internal solidarity: Hungary still regularly votes in favor of sanctions, despite the condition of protecting its interests.
Hungary depends heavily on energy from Russia. Nearly 85% of the country's gas and more than 60% of its oil come from Russia. According to energy analysts, this supply cut will not only shock the domestic market but also disrupt the heating system, transportation and industrial production, which have been under a lot of inflationary pressure.
If there are no reliable alternative and reasonable prices, what Brussels is really asking for is to tell Hungary to... shoot itself in the foot, said an energy expert in Budapest.
Since the outbreak of the Ukrainian conflict, Hungary has been repeatedly criticized for its views of "respecting Russia" and "discerpance within the EU". However, according to observers, Budapest is cleverly taking advantage of its position to protect economic self-determination - something that many other small countries in the EU also quietly want but cannot say in words.
