Another EU member most dependent on Russian energy suddenly 'turns around'

Hungarian Prime Minister Viktor Orbán plans to replace Russian fuel at nuclear power plants. Why did Budapest make this surprising decision?

Thêm một thành viên EU phụ thuộc nhiều nhất vào năng lượng Nga bất ngờ quyết định ‘quay xe’

Hungarian Prime Minister Viktor Orban and Russian President Vladimir Putin at a joint press conference in Moscow. (Source: AP)

In an effort to strengthen Hungary's economy and reduce its dependence on Russian energy, Prime Minister Viktor Orbán has announced plans to replace Russian nuclear fuel with French fuel at the country's only nuclear power plant.

This is one of Budapest's very new moves, as Hungarian leaders have recently surprised many times by bluntly saying "no" to the common European policy, which is designed to oppose Russia and prevent the flow of money that is believed to "feed" Moscow's military campaign in Ukraine. Hungary has also repeatedly spoken out to prevent the EU from putting the Russian State Atomic Energy Corporation (Rosatom) and its leadership on the sanctions list, for quite sensitive reasons, directly related to the country's energy supply.

However, the latest move to replace Russian fuel at the nuclear power plant is part of Prime Minister Orbán's 15-point plan to revive Hungary's economy, which is struggling with a year-long recession and labor shortages.

The Hungarian leader's plan also includes initiatives to increase the country's birth rate, modernize the military and address key challenges facing Hungary.

As the longest-serving head of government in an EU country, Prime Minister Orbán aims to stay in power until 2034, according to local media.

Hungary’s decision to abandon Russian fuel stems from its goal of diversifying its energy sources and reducing its dependence on Russia. As one of the EU members most dependent on Russian energy, Hungary seeks to increase its energy security and reduce geopolitical risks.

By switching from Russian to French fuel, Hungary is aiming to increase its resilience and ensure a more stable energy supply. The move is in line with Prime Minister Orbán’s goal of pursuing greater energy independence and self-sufficiency.

In addition, Viktor Orbán expressed the need for the United States to enter into negotiations with Russia and ensure an agreement on the security architecture that includes a place for Ukraine. Observers commented that this new move demonstrates Hungary's commitment to the EU and its role as a supporter of Ukraine on the international stage.

Overall, Mr Orbán’s plan to replace Russian fuel at Hungary’s nuclear power plant reflects the country’s efforts to increase its energy security and reduce its dependence on a single supplier. In addition, “killing two birds with one stone”, by diversifying its energy sources, Budapest is strengthening its regional alliances, as Hungary aims to protect its national economy and contribute to greater harmony with its regional members.

There would be nothing to say if Hungary - a member of the EU and regularly complies with all the criteria set by this region. However, this EU country has long been openly pursuing the view of protecting national interests, not wholeheartedly following the direction outlined by the EU leaders.

In his 2023 State of the Nation Address, Prime Minister Orban did not shy away from making his stance on Russia very clear. He highlighted the theme of “Peace and Safety,” in which the Hungarian leader made it clear that he would “maintain relations with Moscow and call on other countries to do the same,” even as the EU tried to maintain a united front against Russia over its military campaign in Ukraine. He also blamed EU sanctions on Russia for causing Hungary’s sky-high inflation, which reached an EU high of nearly 26% in January 2023.

Prime Minister Viktor Orban has also been outspoken in his stance that his country will stay out of the Russia-Ukraine conflict and will continue to veto issues related to sanctions that harm Budapest’s interests. Although he has acknowledged that staying out of the conflict, clearly focusing on solving the country’s economic problems, is not easy as a member of NATO and the EU. Hungary has come under pressure for not changing its stance on the conflict, but has stressed that his government is strong enough not to succumb to such pressure.

In fact, Hungarian nuclear power projects are heavily dependent on Russian entities, from technology to fuel. The Paks Nuclear Power Plant alone provides half of Hungary's electricity production and meets one-third of its electricity consumption.

This project is also one of the reasons why Hungary vetoed any possibility of the EU imposing nuclear sanctions on Russia related to the conflict in Ukraine in recent times.

Most recently, on August 18, Hungary completed an agreement with Rosatom to begin construction of two reactors for the Paks-2 nuclear power plant. Construction could begin in the spring of 2024. The Paks-2 project is considered to be of particular importance to Hungary and neighboring European Union (EU) countries.

Located about 100 kilometers (62 miles) from Budapest, the Paks nuclear power plant operates four Soviet-designed VVR-440 reactors to produce about half of the country's electricity. Adding two more VVR-1200 reactors would nearly double the plant's capacity - something Prime Minister Viktor Orban's government has long sought to do to bolster Hungary's energy independence.

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