The Hungarian government will introduce a utility price cap for January, meaning it will cover the cost of additional household heating consumption recorded during the month, Prime Minister Viktor Orbán announced on Facebook on Wednesday.
In a video message published after a cabinet meeting, Orbán said the unusually harsh January weather posed a serious test for the country, adding that Hungary had successfully passed last week’s so-called snow stress test. He noted that supplies of firewood had been secured and warming shelters made available to everyone during the cold spell.
The prime minister said firewood supplies and heated shelters would remain available in the coming weeks, but stressed that freezing temperatures had also resulted in high heating bills, placing a heavy burden on families.
Orbán said the decision to introduce a January utility cap was justified by the unexpected and significant extra expenses faced by households. Under the measure, the government will assume the cost of excess heating consumption recorded in January, he explained.
Warning that the unusually severe winter is not yet over, Orbán urged people to take care of themselves and to look out for one another.
Further details were outlined on Thursday by the minister heading the Prime Minister’s Office Gergely Gulyás, at a government press briefing in Budapest. Gulyás said the consequences of the extraordinary cold should not be borne by Hungarian families, which is why a working group led by Energy Minister Csaba Lantos has been set up to work out the details of a planned utility rebate.
Gulyás said the cabinet discussed the situation created by the January cold at its Wednesday meeting and thanked all those who had contributed to managing the difficulties caused by heavy snowfall and extreme weather.
He stressed that the severe cold had tangible consequences, one of which was a sharp increase in household utility costs, noting that Hungary had not experienced similarly cold weather for 15 years. The government, therefore, decided that families should not be forced to pay the price of this extraordinary situation.
According to Gulyás, the government’s goal is to ensure that no one has to pay higher heating bills as a result of the extreme cold. The working group led by Csaba Lantos is expected to submit a concrete proposal on the details of the utility rebate within one week.
He also pointed out that households use a wide variety of billing and heating systems, reiterating that the aim remains to protect families from the impact of extreme winter weather as it appears in heating bills. The government is expected to make a final decision on the rebate scheme no later than its meeting next Wednesday.
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