The European Commission has angered several nations in European Union because of his plan to send funds to Hungary to help persuade Prime Minister Viktor Orban to cooperate on EU sanctions on Russian oil.
Officials would consider offering financial compensation to Viktor Orban because Hungary refused to sign the bloc’s plan to impose an embargo on Russian oil. The Hungarian leader described a complete ban on oil as a “nuclear bomb” and thwarted EU plans, calling for more time to eliminate imports.
EU states disagree with Hungary’s aid
Without the support of all 27 states, the EU bloc cannot move forward with its intention to sanction Russia vigorously.
Viktor Orban said that although his government was willing to negotiate on any EU proposal that was in Hungary’s interest, the country’s geography and existing energy infrastructure made it impossible to stop it. Russian oil. Hungary, being completely landlocked, is heavily dependent on Russian energy, accounting for 85% of its natural gas and over 60% of its oil.
The European Commission is now facing negative reactions to its plan to help Hungary get rid of Russian gas faster with financial support, while high-ranking diplomats from various countries expressed concern during a meeting held in Brussels.
Brussels is holding on to the Russian oil embargo
Ursula von der Leyen has struggled to impose a sixth round of sanctions on Russia for its invasion of Ukraine, this time trying to target Russia’s oil exports. The bloc will not issue an immediate ban on Russian oil, according to some sources, but will form a plan to phase out oil imports from Moscow by the end of the year. Energy exports are vital to Russia’s economy, as its revenues have supported about half of the country’s budget in 2021.
Experts agree that Russia’s brutal invasion was largely funded by its revenues from energy exports, such as oil, gas and coal.
Last month, all 27 EU governments agreed to block imports of Russian coal and other solid fossil fuels from August. This measure has been made easier because coal is the lowest of Russia’s fossil fuel exports.
More money for Budapest to comply with the rules
In order to persuade Budapest to sign the sanctions, the Commission intends to use the payment mechanisms that will be announced in the bloc’s future energy strategy plan, called REPowerEU, according to Politico.
This strategy will be announced on May 18, and the EC is ready to have money available so that all EU countries end their dependence on Russian fossil fuels long before 2030.
A senior EU diplomat said: “This is not a strategy to reduce greenhouse gas emissions. The more we can help Hungary with REPowerEU, the sooner they will be able to move away from Russian oil. “