Security of supply is the largest risk factor as far as our social responsibility is concerned. Hungary is in the most insecure position within the EU regarding energy supply and more specifically the natural gas import. Energy resources add up to 15-17% in the Hungarian import scheme, which means that increasing energy prices inevitably lead to a significant decline in our foreign trade balance. Since the energy-efficiency of the Hungarian economy is far below that of the EU 15, it may well lead to a further deterioration in our competitiveness. It should be of primary importance for Hungary to handle the natural gas issue in the long run.
E.ON Földgáz has proved its dedication to improving the Hungarian security of supply several times, and has considerably expanded the storage facility in Zsana, due to which the domestic natural gas storage potential of Hungary increased by 5% by the end of 2007. On accomplishing this investment project in two years’ time, one-fifth more gaseous energy resource can be stored. We also plan to build a pipeline connecting Hungary and Slovakia, and the Szeged-Arad gas pipeline, as well.
Hungary is the only one of the most exposed countries which has not extended its long-term pipeline natural gas supply agreements. Long term agreements generally serve as a major tool for establishing the security of supply, since these contract protect both the consumer and the producer. However, the current regulatory background does not encourage the conclusion of new long-term agreements, moreover, a parliamentary decision even supported the termination of valid contracts before their expiry.