Orbán Blocks EU Aid to Ukraine Amid Oil Transit Dispute and Renewed Attacks

Hungary is blocking a €90 billion EU loan for Ukraine, demanding the restoration of Russian oil transit via the Druzhba pipeline, as Ukraine reports a series of attacks in Lviv and Kyiv. This impasse comes as the EU aimed to finalize the aid package by February 24th, the anniversary of Russia’s full-scale invasion.

Hungary’s Stance and the EU Funding Blockade

Hungarian Prime Minister Viktor Orbán has refused to vote in favor of amendments to the EU’s long-term budget for 2021-2027, effectively halting the disbursement of the €90 billion in aid to Ukraine. This action centers around Hungary’s insistence that Kyiv reinstate the transit of Russian oil through the Druzhba pipeline. The EU requires unanimous approval for amendments to its long-term budget, giving Hungary a veto power in this instance.

The EU had planned to adopt the necessary regulations – including those on implementing the Ukraine support loan and amending the Ukraine Facility – by February 24th. Whereas the first two regulations can be adopted by a qualified majority, the budget amendment requires unanimity.

Recent Attacks in Ukraine

Simultaneous with the funding dispute, Ukraine reported a series of explosions in Lviv and Kyiv on Sunday night. Lviv’s mayor, Andriy Sadovyi, attributed the attack in his city to Russia, characterizing it as a “terrorist attack.” Financial Times

The Oil Transit Dispute

The dispute over Russian oil transit highlights Hungary’s continued reliance on Russian energy supplies. Hungary has also recently halted diesel exports to Ukraine, further complicating relations and potentially impacting Ukraine’s energy security. NV.ua

Looking Ahead

The situation remains fluid, with the future of the EU aid package uncertain. The resolution of the dispute hinges on negotiations between Ukraine, Hungary, and the EU. The ongoing attacks within Ukraine underscore the urgency of the situation and the continued need for international support.