On the official grounds that it wants to end "petrol tourism", the Hungarian government decided, rather surprisingly, on Thursday to ban drivers from abroad, even from other EU member states, from obtaining cheap petrol in Hungary with a state subsidy.
Specifically: With the subsidy, super (95 octane) petrol costs 480 forints per litre, i.e. 1.23 euros. From Friday this price will only be available for cars with Hungarian registration plates. Other drivers will pay the market price of petrol, which is 40% more expensive. As of November 2021, the Hungarian government has imposed a cap on the price of petrol and diesel.
As the Austrian Press Agency (APA) notes, according to DW, subsidised petrol in Hungary is much cheaper than in neighbouring countries. In Austria and Slovakia drivers pay an average of 1.80 euros per litre, in the Czech Republic and Italy 1.87 euros, in Germany 2.15 euros. Naturally, every day thousands of drivers cross the Hungarian border to fill up at low prices, resulting in crowded petrol stations. But this is nothing new for the EU. Even before the dramatic rise in fuel prices brought on by the war in Ukraine, many drivers from Germany's western provinces travelled to Belgium or Luxembourg to fill up at better prices. So do drivers from northern Greece who prefer to fill up in neighbouring Bulgaria.
"Clear violation" of Community law
Can the Hungarian government so easily offer a preferential price to Hungarian drivers while imposing a "cap" on everyone else? As the German Press Agency (DPA) points out, the unequal treatment of nationals and citizens from other EU member states "raises the question whether Hungary is violating the principle of non-discrimination based on nationality, which is enshrined in EU law." Indeed, EU law prohibits not only direct discrimination, but also any indirect discrimination on grounds of nationality. In a statement in Budapest on Thursday, cabinet secretary general Adal Rogan admitted that the Hungarian government's decision "will provoke some discussions with Brussels". This is certainly not the first time Hungary's ultra-conservative Prime Minister Viktor Orbán has opened a front with the EU.
Speaking to the Austrian newspaper Kurier, Walter Obvexer, dean of the law school at Innsbruck University, calls it a "clear" violation of European law. He points out that the European Commission can take Hungary to the European Court of Justice, and individuals can do the same if they wish. But the spokesman for the Austrian motorists' club ARBÖ, Sebastian Obrecht, tells Der Standard that "Hungary is violating European law and it is regrettable that this is happening".
"Unwanted" Austrian drivers in Hungary?
Unpleasant news also from Martin Grasslober, spokesman for the ÖAMTC car and tour club. "Drivers who are our members are complaining that petrol stations in Hungary have refused to serve them and are simply turning them away," Grasslober tells the Austrian news agency. He adds that many drivers are asking whether the Hungarian government's decision is considered legal and whether they can take legal action to overturn it.
Particularly from Burgenland, Austria's easternmost state, many drivers have so far resorted to neighbouring Hungary to save money. "We're talking about a difference of 60-70 cents a litre," says the ARBÖ spokesman. "You can fill up the tank, saving 30 to 40 euros. Even an extra 20 to 30 kilometres is worthwhile in this case, after all, many people combine it with shopping at the supermarket or a dentist's appointment."
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