Djedović and Szijjártó Discussed Energy Cooperation between Serbia and Hungary and New Projects

"At today's meeting, we have agreed on signing two agreements that will be signed soon, at a joint session of the two Governments. The first agreement concerns the construction of the Hungary-Serbia oil pipeline, which will enable greater security of crude oil supply. The preparation of design and technical documentation for that project has begun, and the estimated value of the investment is around EUR 100 million. The second project concerns the establishing of a joint enterprise for energy trading owned by Srbijagas and the Hungarian company MVM. We have already extended the contract for the lease of gas storage, and we are also discussing the increase of storage capacity in Hungary for the needs our country before the next heating season", said Djedović.

She pointed out that Serbia and Hungary have established a strategic and partnership relationship, based on the excellent relations between Serbian President Aleksandar Vučić and Hungarian Prime Minister Viktor Orbán, which is particularly evident in the field of energy, above all when it comes to gas and oil supply, and increasingly related to the electricity.

"Following the construction of the Balkan Stream gas pipeline, Serbia has positioned itself as an important transit country, and we are considering additional short-term capacities for Hungary's needs, while based on the construction of the Serbia-Bulgaria gas interconnector we will have additional capacity, but also access to alternative sources of gas. This is also important for the security of supply for our citizens and economy, especially in advance of next winter, when there will be a strong fight to secure energy sources," said Djedović.

The Minister said that the value of electricity trade between the two countries last year amounted to EUR 77 million and that the plan is to further connect the two countries in the electricity sector. "By constructing the Pannonian Corridor for the transmission of electricity, which should be completed in the next five years, we will respond to the need to increase cross-border capacity. The value of the investment is around EUR 107 million, and in order to make the implementation more efficient, the project will be declared as a project of public significance. We strongly support Hungary to join the regional electricity exchange, which Slovenia has already joined together with our country. This is significant because of the establishment of the intraday electricity market, which is important because of the auctions for market premiums for RES producers, the launch of which is planned in May", said the Minister.

Minister Szijjártó said that energy supply in Europe is facing difficulties due to the war in Ukraine and that Serbia and Hungary are already working on harmonizing preparations for the coming winter. "The issue of securing energy sources is also a security issue, and strategic cooperation in the field of energy is a guarantee that the supply of our countries will be ensured," said Szijjártó.

He thanked Serbia for the reliable gas transit through which up to 10 million cubic meters of this energy source reaches Hungary every day and said that Serbia can also count on gas storage capacities in Hungary in the next heating season.

"We are also interested that, after the interconnection between Serbia and Bulgaria has been completed, in acquiring additional volumes of gas from Azerbaijan through this gas pipeline. The security of gas supply is a European issue and the EU should provide financial resources for the construction of infrastructure in Southeastern Europe, including in Serbia, through which Europe will also get access to alternative sources of gas," Szijjártó said.