Hungary’s Ministry of Energy has revised and updated the country’s energy and climate plan for the period up to 2030. The key objectives of this updated policy are to strengthen energy sovereignty and security of supply, maintain the benefits of reduced utility costs, achieve a successful green transition and revitalise the green economy. The revised plan aims to meet climate neutrality and sustainability commitments by raising targets for emissions reduction and green energy production.
The draft of the National Energy and Climate Plan (NECP) was completed in the summer of 2023. Following feedback from the European Commission, the Ministry of Energy submitted the finalised document in time for the EU Energy Council meeting which took place in October 2024.
Under the revised NECP, Hungary aims to cut its gross greenhouse gas emissions by at least 50 per cent from 1990 levels by 2030, up from the previous target of 40 per cent. The country’s final energy consumption is now projected to be capped at 740 petajoule (PJ), lower than the previous limit of 785 PJ, by the start of the next decade. Additionally, the updated plan increases the target share of renewable energy sources from 21 per cent to 30 per cent. These adjusted goals reflect the progress made so far and aim to further advance climate neutrality and energy efficiency.
According to the Ministry, the energy crisis has demonstrated that supply security cannot rely solely on any one dominant energy source or technology. As a result, Hungary will adopt a diversified approach to meeting domestic needs, leveraging a broad mix of technologies and maximising the potential of domestic alternative energy sources. This strategy is expected to significantly advance the country’s energy sovereignty and support its green transition.
The main focus is on promoting electrification and reducing energy consumption across households, public institutions, industry and transport. To ensure the effective growth of green energy production, widespread adoption of various energy storage solutions will be essential. Given their high efficiency, electric motors can yield substantial energy savings, making the promotion of electromobility a priority. Beyond decarbonisation, enhancing domestic green production capacity, building necessary expertise and supporting industrial innovation could also lead to significant economic growth.
This year, a strategic environmental assessment related to the NECP was completed, integrating environmental and sustainability considerations. The assessment’s key finding is that around 80 per cent of the fifteen measure groups analysed have a positive environmental impact. However, further action is needed to enhance supply security for Hungarian families and businesses.
The new measures outlined in the National Energy and Climate Plan are expected to bring about 600 billion Hungarian forints (1.4 billion euros) in annual improvements, primarily through short-term savings, benefiting the Hungarian energy sector and the residential energy efficiency market.