Hungary says agreement reached on new gas deal with Russia
Hungary on Tuesday reached a “political agreement” with Moscow on a new gas deal, Prime Minister Viktor Orban’s main objective while hosting Russian President Vladimir Putin.
Orban, who said only “technical” details needed to be finalized on the deal after his meeting with Putin, also advocated vigorously for “cooperation and good relations” between Europe and Russia.
“Security in the region cannot be created against Russia … it can be developed only with Russia,” Orban said, emphasizing the need for a peaceful, negotiated solution to the situation in neighboring Ukraine.
Experts said Tuesday’s visit was symbolically more important for Putin than Orban because it showed that, despite the conflict in Ukraine and European Union sanctions against Russia, Moscow was still being welcomed by an EU member.
Orban, who has spoken out against the sanctions while also abiding by them, said Hungary was not a threat to European unity.
“Europe’s unity can and must be created along with Russia,” he said.
Orban added it was important for Russia to be open to Hungarian products, which have been affected by Russia’s ban on EU imports — a countermeasure to the EU sanctions.
Concerns about Orban in the West have mounted because of his desire to turn Hungary into an “illiberal state” following the example of Russia and Turkey. Though some critics call him “Little Putin,” the parallels drawn between the two leaders are exaggerated, said Csaba Toth, director of Budapest’s Republikon Institute.
“Orban is democratic even if he is stretching the boundaries of democracy, while Putin is an authoritarian, not democratic politician,” Toth said.
The new gas deal, replacing a 20-year contract that expires in December, will allow Hungary to use roughly 20 billion cubic meters of natural gas it was already charged for but did not previously consume because of lower-than-expected demand.
Hungarian officials said 85 percent of Hungary’s natural gas supplies are from Russia, though analysts said the figure may now be closer to 60 percent.
Orban visited Putin last January when they agreed for Russia to expand Hungary’s sole nuclear power plant while providing a 30-year-loan of 10 billion euros ($11.4 billion) to help cover construction costs.
Coinciding with Putin’s visit, the recently-arrived U.S. Ambassador to Hungary, Colleen Bell, hosted a lunch for the charge d’affairs of the Ukrainian embassy.
“We could think of no better way to observe the day than to focus on our hopes for Ukraine’s sovereignty and its future,” Bell said.
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