Hungary expects to secure all of its natural gas from non-Russian sources by October 2027, Economy and Energy Minister István Kapitány said in a September 18 interview — a timeline that would have been unthinkable under the previous government.

The announcement marks one of the most concrete steps yet in Budapest's foreign policy realignment since the change of government. Under Viktor Orbán's 16 years in power, Russian gas accounted for roughly 75% of Hungary's imports, underpinned by long-term contracts with Gazprom that stretch into the 2030s. Meeting the new target would mean exiting those arrangements years ahead of their stated horizon.

How Hungary Plans to Break the Dependence

The strategy rests on three pillars: rerouting pipeline imports through friendly neighboring countries, expanding access to liquefied natural gas (LNG), and upgrading domestic infrastructure.

Budapest has been negotiating with Romania and Croatia to widen its import corridors, including enhancements to the Adria pipeline, which connects Hungary to Croatia's LNG terminal on the Adriatic coast.

Kapitány pointed to existing pipeline infrastructure that already allows Hungary to source gas at competitive prices from these partners.

Hungary's state-owned MVM energy group has confirmed that it can meet national demand without Russian volumes — though the caveat, according to the minister, is that it may come at a higher cost.

Gas storage levels heading into winter look healthy, with no physical supply issues on the horizon.

Part of a Broader Break from Moscow

The energy shift does not exist in isolation. It forms part of a wider reorientation under Prime Minister Peter Magyar, who replaced Orbán and has moved quickly to align Hungary with mainstream European Union positions. Budapest recently expelled Russian diplomats.

The gas pivot also fits squarely within the EU's REPowerEU initiative, the bloc's coordinated plan to slash dependence on Russian energy that was launched after Moscow's invasion of Ukraine.

The government is additionally reviewing Hungary's involvement in the Paks II nuclear expansion, a flagship project led by Russian state nuclear company Rosatom. A decision on the future of that deal is expected by the end of 2026.

Beyond gas and nuclear power, the Magyar government is examining ways to diversify crude oil imports and expand domestic energy generation, with wind power and energy storage both on the agenda.

What the Shift Means for Europe's Energy Map

For neighboring countries such as Romania and Croatia, Hungary's pivot creates new commercial opportunities. Croatia's Krk Island LNG terminal stands to gain additional throughput, while Romania's own gas production and transit capacity become more strategically valuable as Hungary shops for alternative suppliers.

Hungarian consumers and industries have benefited for decades from below-market Russian gas prices locked in through long-term Gazprom contracts. Switching to spot-market LNG or pipeline gas from alternative sources will likely push energy costs higher, at least in the near term.

Between now and the October 2027 deadline, the most concrete checkpoints will be the outcomes of the ongoing import-corridor negotiations with Romania and Croatia and the government's pending decision on the Paks II nuclear project.

The long-term contracts that were supposed to guarantee Gazprom revenue into the 2030s increasingly look like relics of a geopolitical era that ended faster than anyone in Moscow anticipated.

Source: CryptoBriefing