Hungary overhauls energy efficiency program to curb abuse
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The Hungarian government plans to revise its Energy Efficiency Obligation System (EKR), a program funding energy savings, after identifying widespread fraud and profiteering.
András Tóth, State Secretary for Energy at the Ministry of Economic Affairs, announced the changes following consultations with industry stakeholders. The EKR currently requires energy traders, including MVM, MET, E.ON, and Mol, to spend 1.4 percent of their sales on energy efficiency improvements between 2026 and 2030.
Previously, companies like Masterplast and Piramis Építőház, as well as firms connected to individuals like Beatrix Mészáros and István Tiborcz, benefited from the program, sometimes by inflating costs or passing them onto consumers. The government attempted to hold public consultations in June and September to shape the revised program. The new system will shift focus from residential to industrial projects, reflecting the greater energy consumption of Hungarian industry and aiming to reduce opportunities for abuse in the residential sector.
Under the revised rules, 50 percent of funds will support industrial programs, 25 percent residential ones, and 25 percent will be available for either. The government hopes to save one billion cubic meters of gas annually by improving insulation in Hungarian homes, potentially reducing winter gas consumption by a third.
