Hungary is set to reassess the controversial Paks nuclear power plant expansion project following the announcement by the country’s new administration, led by Prime Minister Peter Magyar, of a broad review of the long-delayed development linked to Russia’s nuclear sector.
The €12.5 billion Paks II project, which foresees the construction of two Russian-designed VVER reactors by Rosatom, has for years represented one of the closest strategic energy partnerships between Hungary and Russia within the European Union. The contract was awarded directly to Rosatom in 2014 without an international tender, a decision that has faced criticism from domestic political opponents as well as EU institutions over issues of transparency and financing terms.
Speaking before a parliamentary committee, Economy and Energy Minister nominee István Kapitány stated that the new government intends to conduct a detailed review of the project’s financial structure, implementation costs, and contractual obligations. He emphasized that Hungary will continue to rely on nuclear energy as a core part of its electricity mix, but insisted that future decisions must be based on transparency and accountability rather than confidential arrangements.
Kapitány also noted that key agreements related to the project remain inaccessible to the current administration and will require a full reassessment. According to him, the review aims to address concerns over corruption risks and opaque decision-making processes surrounding the project.
Prime Minister Peter Magyar has previously described the overall cost of the project as excessively high. In response, Rosatom CEO Alexey Likhachev defended the pricing structure, stating that the company is prepared to justify all costs if requested by the Hungarian side. He reiterated that Russia remains committed to the efficient completion of the nuclear project.
Energy analysts point out that Paks II remains the only major Rosatom nuclear project within the EU, often cited as a key example of how a member state can maintain close energy cooperation with Russia while remaining part of the European institutional framework.
Observers further suggest that Hungary’s political transition could strengthen EU oversight and influence over the country’s strategic energy decisions, particularly as Brussels continues efforts to reduce Europe’s dependence on Russian energy infrastructure and long-term partnerships.
