The bloc has faced soaring costs in recent years after choosing to phase out cheap Russian energy
Soaring energy prices could cripple the EU economy, Hungarian Prime Minister Viktor Orban has warned.
Having cut itself off from Russian energy resources, the bloc now depends on more expensive liquefied natural gas (LNG) imports from countries such as the US, sending natural gas prices to their highest level in two years and prompting Brussels to consider implementing a price cap.
In his regular Friday interview with Kossuth Radio, Orban exclaimed “In Hungary, we will continue to reduce energy prices, but I see that the West is unable to take this path, and Europe will continue to face high energy prices, which will slow down and kill the economy.”
Orban cited the EU’s European Competitiveness Declaration, which aimed to reduce energy prices, expressing concern that “our great joint promise will not be fulfilled,” and that the bloc’s economy will continue to struggle with high energy prices.
“We pay three to five times as much for energy as they do in the United States. We are keeping utility bills low, but European leaders are not able to implement this, and this is making economic development more difficult,” the Hungarian leader stated.
Orban noted that a potential resolution of the Ukraine conflict offers hope for peace and could help improve the global economic situation.
“Peace may have a positive impact on the entire European economy, but I do not expect any policy decisions from Brussels, Berlin, or Paris that could positively affect Hungary’s economy,” the Hungarian leader said.
He cautioned that EU productivity was lagging behind that of its global competitors, while the bloc’s share in international trade continued to shrink.
Production in energy-intensive industries that are vital for the bloc’s economyhas fallen by between 10% and 15%, Orban claimed.
