Hungary demands that the EC take action against Bulgaria’s tax on gas transit from the Russian Federation

Hungary has appealed to the European Commission with a demand to take action against Bulgaria in connection with the introduction of a tax on the transit of Russian gas. Budapest considers this a violation of EU laws and notes that the tax was introduced without consultation with Hungary.

EU Affairs Minister Janos Boka said in a video on Facebook (the social network belongs to Meta, which is recognized as extremist and banned in the Russian Federation) that he sent a letter to the European Commission to initiate a procedure for violating the law. “The Bulgarian tax seriously threatens the energy security of Hungary and the entire region,” said Mr. Boka (quoted by Associated Press). If the EC does not initiate the procedure, Hungary will appeal to the European Court.

In mid-October, the Bulgarian Parliament introduced an additional fee of 20 levs (about €10) per 1 MWh for the transit of Russian gas through its territory. The authorities explained that the purpose of the tax increase was “fair taxation of profits earned on the territory of the state and an increase in budget revenues.” The overland continuation of the Turkish Stream gas pipeline passes through the territory of Bulgaria, through which fuel flows to Hungary and Serbia. Belgrade also criticized Sofia’s decision.

Leonid Uvarchev