BUDAPEST – Hungary and Croatia: cooperation, but vigilance

Hungarian Minister of Foreign Affairs and Trade Péter Szijjártó said Hungary wanted to participate in the LNG terminal project on the northern Adriatic island of Krk, expressing hope that Croatian Environment and Energy Minister Tomislav Ćorić would soon convene a working group on Croatia’s part, Hina reports

Szijjártó said that Hungary considered its energy cooperation with Croatia as “a game-changer in the region.” He said there had been a lot of talk about diversification of energy supply routes but nothing had happened in that regard in the entire region.

Hungary put forward a three-point proposal to Croatia, which included plans to: connect and combine the gas delivery networks of the two countries, which would eliminate the border crossing fees and make gas supply cheaper for both countries; start joint negotiations with external partners with regard to gas deliveries to the terminal, primarily with Egypt, Qatar, Australia and the US.

Hungary is ready to buy a stake in the LNG terminal and Croatia should say what would be an acceptable size given that the terminal is Croatian.

The value of the floating LNG terminal is estimated at €234 million.

The European Commission has granted €101.4 million for the construction of the LNG terminal given that the project is included on the European Commission’s list of projects of common interest.

Hungary made an offer to buy a 25% stake in the LNG terminal in 2018. The Croatian government decided in early 2018 to allocate €50 million in 2019 and €50 million in 2020 to the project. The remaining €32.6 million would be provided by the founders of the LNG Croatia company – the state electricity utility HEP and the natural gas supplier Plinacro. (Željko Trkanjec | EURACTIV.hr)

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