Hungary has adopted new legislation ending the government-imposed price caps on petrol and diesel, which had been in place since March. The decision marks a shift away from direct fuel price intervention as policymakers argue that current market conditions no longer justify emergency controls.
According to Economy and Energy Minister István Kapitány, the government considers the crisis phase to be over and believes that fuel prices should once again be determined primarily by market dynamics. As a result, the previous ceilings of €1.69 per liter for petrol and €1.75 per liter for diesel have now been formally removed.
Despite the deregulation, the government has kept a safety mechanism in place. Under the new framework, authorities retain the right to reintroduce price controls if severe market disruptions occur. The Minister responsible for trade policy can activate temporary caps through a decree in extraordinary circumstances, ensuring that intervention tools remain available if volatility returns.
At the same time, some supporting measures remain unchanged. The reduced excise tax regime on fuels will continue, and energy company MOL is expected to maintain lower commercial margins that were introduced during the period of regulated pricing.
The move reflects a broader balancing act in Hungary’s energy policy: reducing direct market intervention while still preserving instruments that can be used to stabilise prices in the event of future supply shocks or extreme volatility.
