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Hungarian Government Announces New Utility Bill Warnings Amid Energy Concerns

Hungarian Government Announces New Utility Bill Warnings Amid Energy Concerns

Prime Minister Viktor Orbán discusses potential utility cost increases linked to EU sanctions on Russia
The Hungarian government, under Prime Minister Viktor Orbán, held an extraordinary cabinet meeting on Saturday at the Karmelita Monastery, focusing on what was termed the "Ukrainian energy threat." Following the meeting, Orbán posted a video on social media in which he claimed that the European Union was intensifying efforts to support Ukraine at the expense of Hungarian and European families.

Orbán highlighted that the EU's approach, particularly its efforts to restrict gas and oil supplies from Russia, could impose additional costs of 800 billion forints (approximately €2.2 billion) on Hungary.

He compared this figure to the cost savings from a previous utility price reduction initiative, known as 'rezsicsökkentés'.

In his address, he suggested that if the EU's plan proceeded as intended, electricity bills could potentially double, while gas bills might rise from 16,000 forints to 54,000 forints.

Starting in September, consumers may see a new notice on their utility bills indicating potential costs should prices increase by two or three times, as stated by Orbán.

The Prime Minister further argued that such price escalations could only be avoided if the Hungarian government successfully intervened in Brussels.

He urged citizens to participate in a national consultation disguised as a vote, which he claims is necessary to continue opposing measures detrimental to Hungary.

Fact-checking assessments of Orbán's claims indicate inconsistencies and uncertainty regarding his figures and projections.

Experts have questioned the validity of the estimated 800 billion forint cost increase, suggesting instead that the impact of Russian supply restrictions would not be as detrimental as stated.

In particular, specialists noted that the infrastructure changes required would primarily affect the oil sector, while Hungary's gas supply capacities are sufficiently developed to mitigate disruptions without incurring the costs suggested by the Prime Minister.

While Hungary’s utility price cuts have been extended only to residential consumers since August 2022, businesses and high-consumption households have been paying market prices for over three years.

The impact of the utility price reduction policy on the national budget was highlighted, with figures showing significant overspending on the initiative in early 2025.

In related news, tensions between Hungary and Ukraine have escalated recently, following claims by Ukrainian intelligence that agents were apprehended in connection to Hungarian operatives recruiting spies in Transcarpathia.

In retaliation, Hungary expelled two Ukrainian citizens accused of espionage, leading to reciprocal expulsions from Ukraine.

This spy scandal has further strained diplomatic relations between the two countries.
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