EU refuses to support Hungary and Slovakia on Lukoil's oil transit through Ukraine
Illustrative photo (Freepik)
Attempts by Hungary and Slovakia to involve the EU in a dispute with Ukraine have failed. The European Commission has stalled its request to urge Kyiv to lift recent sanctions on the Russian oil company Lukoil, according to the Financial Times.
Hungary and Slovakia received exemptions from the EU-wide ban on importing Russian oil following Moscow's full-scale invasion of Ukraine. However, Kyiv's recent decision to halt the transit of Lukoil products from Russia through the Druzhba pipeline may lead to supply cuts, both countries claim.
They approached the European Commission, which handles EU trade policy, to initiate consultations on a trade agreement with Ukraine. However, Valdis Dombrovskis, the EU trade commissioner, told the Financial Times that Brussels would need more time to gather evidence and assess the legal situation.
At yesterday's meeting of trade representatives from member states, 11 countries supported his view, and none sided with Budapest and Bratislava, three diplomats told the FT. One of them stated that the trade agreement with Ukraine includes a security provision that could allow for disruptions in supplies.
According to the FT, the timing of Hungary and Slovakia's complaint is particularly ironic given that Hungarian Prime Minister Viktor Orbán has recently caused deep irritation among most of his EU partners and the European Commission by unilaterally lobbying for a peace plan for Ukraine during visits to Russia and China without Brussels' approval.
Kyiv insists that the same volume of oil is flowing through the pipeline as before, thanks to other Russian companies. Russian oil accounts for 35-40% of the input resources of Slovakia's only refinery. Products made from this oil are also exported to Ukraine and many Central European countries under another exemption granted until December 5.
Slovak President Peter Pellegrini said that he "must respond" if Ukraine does not change its position on Lukoil. Pellegrini added that Slovakia helps Ukraine with gas reverse flows and electricity sales.
Hungarian representatives declined to comment. Lukoil supplies passing through Ukraine account for about 25-30% of the country's oil imports.
Hungary has called on the European Union to mediate in resolving the situation with the supply of oil from the Russian company Lukoil through Ukraine. Budapest claims that if an agreement cannot be reached, arbitration may begin.
