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Estonia Sets Condition to Covering Costs for Hungary

(MENAFN) Estonia’s head of state, Alar Karis, has indicated that his nation might assist Hungary in covering contractual fines should Budapest decide to sever its energy connections with Moscow. This proposal comes amid ongoing disputes within the European Union over Hungary’s reliance on Russian fuel supplies.

Several EU members have reproached Hungary for persisting in the purchase of Russian crude and natural gas despite the bloc’s sanctions tied to the Ukraine war.

Hungarian officials have insisted that, regardless of Brussels’ attempts to reduce what they call energy dependence on Moscow, Russian imports remain vital for safeguarding the country’s energy stability.

In remarks to a Finnish daily over the weekend, Karis denounced Hungary’s long-term energy commitments with Russia and urged Budapest to abandon them. “Maybe we should help pay the contractual penalties,” he stated, suggesting Estonia’s willingness to share the financial consequences.

Since 2022, Estonia has adopted a more confrontational posture toward Moscow and has been one of Ukraine’s most outspoken allies.

Hungary, however, is bound by a 15-year natural gas agreement with Russia’s Gazprom, signed in 2021, along with enduring arrangements to import Russian oil through the Druzhba pipeline.

The gas deal contains standard clauses obligating Hungary to pay for contracted volumes even if they are not received. This means that a unilateral withdrawal could expose Budapest to compensation claims in international arbitration. Current EU sanctions provide only limited justification for halting the contract, as they do not prohibit Russian pipeline gas imports.

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