Budapest Post

Cum Deo pro Patria et Libertate
Budapest, Europe and world news

Concerns Hungary's new fuel price cap could increase pollution levels

Concerns Hungary's new fuel price cap could increase pollution levels

While a fuel cap is aimed at protecting customers, those who oppose the new rules say it impacts the environment and those less financially well-off.
Hungary's government has placed a cap on fuel prices in a bid to shield consumers from sharp price rises and keep a lid on surging inflation, which hit 6.5 percent last month.

Drivers are now filling up for 480 forints per liter of fuel, the equivalent of $1.50. The average market price is 510 forints ($1.58) per liter. The difference of 30 forints, or just under 10 cents per liter, must be absorbed by owners of filling stations. Hungary has around 2,000 fuel stations and not all are big multinationals.

'Five hundred, 600 hundred stations, in small villages, small cities, are family-based enterprises and for them it's a real problem because the 30 forints is too much, said Otto Grad, secretary-general of the Hungarian Petroleum Association. He said his association had not been told in advance about the fuel price cap and it had been "a shock."

The price cap comes amid other financial problems that could be factors in Hungary's national elections next spring. According to the Central Statistical Office, consumer prices rose 6.5 percent in October, driven partly by vehicle fuel prices jumping by just over 30 percent. In the same period, food prices rose by 5 percent and spirits and tobacco by 11 percent.

There are 13,000 premature deaths every year in Hungary due to air pollution. Not only could the cap add to pollution, Hungary's leading air quality group maintains it doesn't even help those struggling the most financially.

Judit Szego, a project manager at the Clean Air Action Group (Levego Munkacsoport), said: "The wealthiest 10 percent are using their personal cars eight times more than the 10 percent with the lowest incomes, so this again subsidizes the richest part of Hungarian society."

The share of people living in and around Budapest who use public transport every day has fallen from 49 percent to 37 percent since the start of the pandemic, according to a recently published survey. The fuel cap won't turn that around, to the frustration of the Hungarian Cycling Club.

Vice-President Aron Halasz said: "The government is subsidizing non-sustainable transport much more than sustainable transport, like public transit, cycling or walking and this is just now one more subsidy."

The impact on congestion is also raising concern. At rush hour on a weekday, a global traffic index website typically detects 250 traffic jams, totaling 150 kilometers in Budapest.

One Hungarian economist has pointed out that a fuel price cap could lead to more people traveling by car, which means traffic jams may get bigger. The fuel price cap is set to last for three months.
AI Disclaimer: An advanced artificial intelligence (AI) system generated the content of this page on its own. This innovative technology conducts extensive research from a variety of reliable sources, performs rigorous fact-checking and verification, cleans up and balances biased or manipulated content, and presents a minimal factual summary that is just enough yet essential for you to function as an informed and educated citizen. Please keep in mind, however, that this system is an evolving technology, and as a result, the article may contain accidental inaccuracies or errors. We urge you to help us improve our site by reporting any inaccuracies you find using the "Contact Us" link at the bottom of this page. Your helpful feedback helps us improve our system and deliver more precise content. When you find an article of interest here, please look for the full and extensive coverage of this topic in traditional news sources, as they are written by professional journalists that we try to support, not replace. We appreciate your understanding and assistance.
Newsletter

Related Articles

0:00
0:00
Close
Centrist Criticism of von der Leyen Resurfaces as she Survives EU Confidence Vote
Trump Announces Coca-Cola to Shift to Cane Sugar in U.S. Production
FIFA Pressured to Rethink World Cup Calendar Due to Climate Change
Zelensky Reshuffles Cabinet to Win Support at Home and in Washington
"Can You Hit Moscow?" Trump Asked Zelensky To Make Putin "Feel The Pain"
Church of England Removes 1991 Sexuality Guidelines from Clergy Selection
Superman Franchise Achieves Success with Latest Release
Hungary's Viktor Orban Rejects Agreements on Illegal Migration
Air India Pilot’s Mental Health Records Under Scrutiny
Jamie Dimon Warns Europe Is Losing Global Competitiveness and Flags Market Complacency
Moonshot AI Unveils Kimi K2: A New Open-Source AI Model
Martha Wells Says Humanity Still Far from True Artificial Intelligence
Nvidia Becomes World’s First Four‑Trillion‑Dollar Company Amid AI Boom
EU Delays Retaliatory Tariffs Amid New U.S. Threats on Imports
Trump Proposes Supplying Arms to Ukraine Through NATO Allies
US Opens First Rare Earth Mine in Over 70 Years in Wyoming
Bitcoin Reaches New Milestone of $116,000
Severe Heatwave Claims 2,300 Lives Across Europe
Declining Beer Consumption Signals Cultural Shift in Germany
Emails Leaked: How Passenger Luggage Became a Side Income for Airport Workers
Polish MEP: “Dear Leftists - China is laughing at you, Russia is laughing, India is laughing”
Western Europe Records Hottest June on Record
BRICS Expands Membership with Indonesia and Ten New Partner Countries
Elon Musk Founds a Party Following a Poll on X: "You Wanted It – You Got It!"
China’s Central Bank Consults European Peers on Low-Rate Strategies
France Requests Airlines to Cut Flights at Paris Airports Amid Planned Air Traffic Controller Strike
Poland Implements Border Checks Amid Growing Migration Tensions
Emirates Airline Expands Market Share with New $20 Million Campaign
Amazon Reaches Milestone with Deployment of One Millionth Robot
Yulia Putintseva Calls for Spectator Ejection at Wimbledon Over Safety Concerns
House Oversight Committee Subpoenas Former Jill Biden Aide Amid Investigation into Alleged Concealment of President Biden's Cognitive Health
Amazon Reaches Major Automation Milestone with Over One Million Robots
Extreme Heat Wave Sweeps Across Europe, Hitting Record Temperatures
Meta Announces Formation of Ambitious AI Unit, Meta Superintelligence Labs
Robots Compete in Football Tournament in China Amid Injuries
China Unveils Miniature Insect-Like Surveillance Drone
Marc Marquez Claims Victory at Dutch Grand Prix Amidst Family Misfortune
Germany Votes to Suspend Family Reunification for Asylum Seekers
Budapest Pride Parade Draws 200,000 Participants Amid Government Ban
Southern Europe Experiences Extreme Heat
Xiaomi's YU7 SUV Launch Garners Record Pre-Orders Amid Market Challenges
Jeff Bezos and Lauren Sanchez's Lavish Wedding in Venice
Russia Launches Largest Air Assault on Ukraine Since Invasion
Massive Anti-Government Protests Erupt in Belgrade
Iran Executes Alleged Israeli Spies and Arrests Hundreds Amid Post-War Crackdown
Hungary's Prime Minister Criticizes NATO's Role in Ukraine
EU TO HUNGARY: LET THEM PRIDE OR PREP FOR SHADE. ORBÁN TO EU: STAY IN YOUR LANE AND FIX YOUR OWN MESS.
Hungarian Scientist to Conduct 30 Research Experiments on the International Space Station
NATO Members Agree to 5% Defense Spending Target by 2035
NATO Leaders Endorse Plan for Increased Defence Spending
×