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Hungary questioned over fuel subsidies — RT Business News

The European Commission announced on Friday the launch of a so-called infringement procedure against Hungary for its cap on fuel prices to premises only.

According to the report, Hungary imposes different fuel prices for vehicles with foreign and local license plates.

“Vehicles with Hungarian license plates, including tractors and agricultural machinery with Hungarian documents, are entitled to a 60-70% reduction in official fuel prices. On the other hand, all other vehicles with a foreign license plate cannot benefit from these reduced prices”, read the statement.

Hungary limited its price cap of 480 forints per liter ($1.20) for petrol and diesel to locals only in May following an influx of drivers from neighboring countries who came to take advantage of the cheapest gas in the country. ‘European Union. The cap was originally introduced as a measure to help protect consumers from inflation, which is at its highest level in two decades. The price cap is currently in place until October.

EU country calls gas-sharing plan ‘communism’

The Commission has asked the Hungarian authorities to comply with EU law provisions on “the free movement of goods and services, including transport services, the freedom of establishment, the free movement of citizens and workers, the principle of non-discrimination as well as the rules on notifications under the Directive on the transparency of the single market.”

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