Energy Tenders Worth HUF 500 Billion Called

Over HUF 500 billion worth of energy tenders were called on Thursday, Minister of Economy and Energy István Kapitány has said in a social media post.

The electricity grid and smartmeter upgrades will pave the way for connecting more renewables capacity to the grid in order to boost safety of supply and reduce Hungary's vulnerability, István Kapitány said.

In his post, the minister pointed out that innovations by Hungarian families and businesses have propelled Hungary to the global forefront in the use of solar energy.

“But we cannot rest on our laurels; we still have a lot of work to do to address systemic shortcomings and decades of neglect. The power grid and smart meter upgrades funded by EU grants are giving a major boost to the use of renewables, and applications for these grants are open starting today,” he wrote.

He noted that, according to a recent market report, Hungary ranks among the top ten countries in the world in terms of solar panel capacity per capita, and data analysis by SolarPower Europe reveals that the total capacity of solar power plants increased by at least 1 gigawatt last year.

According to István Kapitány, the further expansion of renewable energy is being hindered by exhausted grid connection capacity due to delayed investments. “It’s a huge missed opportunity that administrative barriers made it impossible to install wind farms ten years ago, leaving developments incomplete. No matter how impressive progress in solar power may seem at first glance, we still have a lot of work to do to promote clean and cheaper energy,” he said.

The minister indicated that they intend to allocate a significant portion of the EU funds brought home to modernizing the power grid. He added that with the energy tenders worth more than HUF 500 billion that have been launched, the primary goal is to lay the groundwork for connecting additional renewable energy sources to the grid, and thanks to the European Union's Recovery and Resilience Facility (RRF) subsidy program, in collaboration with distributors and the system operator, they will be able to expand capacity to one and a half times the current level by 2030.

"By taking advantage of the opportunities offered by a more flexible grid, we can develop a more balanced, environmentally friendly energy mix. We began this work because this is how we can do the most to ensure a secure supply and reduce costs for businesses," István Kapitány concluded in his post.