By Gergely Szakacs
BUDAPEST, June 22 (Reuters)
The conflict of nations can affect many other nations around. Right now, in the energy sector, there have been complications because of the Middle East tensions between Iran and Israel. Therefore, due to everything that has been happening, the EU has banned energy supply or imports from Russia; however, because of the high costs and consequences that followed, Hungarian Prime Minister Viktor Orbán has decided to fix things for the nation and for its people. Energy prices have gone up so much that if there are no imports, it will jeopardise the economy of Hungary.
Hungarian Prime Minister is worried about the results of the energy ban
Hungarian Prime Minister Viktor Orban on Sunday urged the European Union to take a proposed ban on Russian energy off the agenda due to an expected rise in energy prices following the US bombing of Iran. The European Commission on Tuesday proposed a legally binding ban on EU imports of Russian gas and liquefied natural gas by the end of 2027, using legal measures to ensure the plan cannot be blocked by EU members Hungary and Slovakia.
The proposals set out how the bloc plans to fix into law its vow to end decades-old energy relations with Europe’s former top gas supplier after Moscow’s 2022 invasion of Ukraine. Orbán said in a Facebook video after a meeting of his Defence Council that discussed the possible security and economic implications of the Iran-Israel conflict.
“We must contend with a further increase in the price of energy. This is a serious threat. Therefore, we must remove in Brussels the regulations and bans on Russian energy. We have enough problems given the negative impact of the Iran-Israel war on energy prices.”
Hungary should make a wise decision and put the tensions aside for now
A wider conflict, he said, might cut off energy supply routes and drive up prices. In fact, in the last few days alone, the price of petrol has increased by 6% and the price of oil by 10% globally. Orbán underlined that the situation is a major threat to energy-intensive, energy-poor economies, such as the EU’s, and especially to Hungary.
Right now, the country and the EU should not look at what is happening but put their citizens and the overall economy into consideration. Despite the tensions between Iran and Israel, Hungary’s economy comes first. If the energy ban is lifted, then they will know that to a certain extent, it will stabilise their economy and drop the prices low enough for everyone and every sector to afford energy.
Hungary still deserves to receive oil and gas as its basic right
Earlier on Sunday, Hungarian Foreign Minister Peter Szijjarto held phone calls with the foreign ministers of Israel, Russia, Bahrain, and Jordan to discuss the Middle East crisis. Slovakia and Hungary continue to receive Russian gas and oil and have argued with Ukraine over its decision to halt gas flows from the east through its territory at the end of 2024.
The EU has imposed sanctions on most Russian oil imports but not on gas due to opposition from Slovakia and Hungary, which maintain closer ties with Moscow. Analysts have said higher oil prices, which have surged since Israel began attacking Iran a week ago, could add to inflationary pressures in the import-reliant central European region. Blocking or stopping the energy, gas, or oil supply from Russia to Hungary or other countries has also been said to be a violation not only of EU treaties but also of Hungary’s sovereign rights. Therefore, right now, the only hope we have is that everything falls into place.
