The Hungarian Presidency of the Council of the EU – Priorities and Outlook
by Sofia Shabafrouz, EUKI
As Hungary takes the helm of the European Council, the EU faces a critical juncture in its climate policy journey. This six-month presidency, starting in July 2024, is pivotal for advancing the European Green Deal while dealing with the growing influence of far-right factions and a potential backlash against EU climate legislation.
On July 10, 2024, the EUKI Academy hosted a web seminar, in cooperation with Climate Action Network (CAN) Europe and National Society of Conservationists – Friends of the Earth Hungary (MTVSZ) and their EUKI project “Strengthening Ownership of Climate Policy in Central and Eastern Europe“, to discuss how Hungary might navigate the tension between ambitious climate targets and national sovereignty.
Context of the Hungarian Council Presidency
Following the EU Parliament elections, the Hungarian presidency faces challenges due to the formation of new parliamentary committees and potential shifts in political dynamics, complicating climate policy negotiations and agenda-setting.
The recently agreed Strategic Agenda 2024-2029 sets EU priorities and guides the work of the EU institutions. Earlier drafts alarmed civil society organisations, prompting CAN Europe and others to urge EU leaders to prioritise a socially fair and green climate transition. The final document references the green transition, investment in energy infrastructure, and a just and fair climate transition, but its vague climate ambition remains a concern according to the participants.
Review of the Belgian Presidency
The Belgian Presidency, part of the 18-month trio with Spain and Hungary, faced the complex task of finding consensus on climate topics among its regions. Key achievements among others included progress on the Carbon Removal Mechanism and withdrawal from the Energy Charter Treaty (ECT). Despite ambitious goals and complex negotiations, the Paris Agreement was notably absent from final directives.
Significant events under Belgium’s political agenda included the Climate Adaptation Summit in February 2024 and an international conference on just transition. Negotiations with Hungary, particularly with Viktor Orbán, were crucial to maintaining climate policy successes.
Priorities on Climate-Related Topics
Hungary’s focus is expected to lie on promoting competitiveness and addressing security of energy supply, with a notable inclination to support fossil fuel infrastructure contributing to source and route diversification under energy security and supporting discussion and initiative on nuclear energy more in the name of a ‘technology neutral’ energy transition.
By emphasising discussions on the future of cohesion policy, the presidency aims to build on its predecessor’s progress. The social aspect of a just energy transition remains ambivalent, with the vague intention to “listen to citizens and European stakeholders”. Hungary is also considering appointing a youth ambassador for COP29.
Advancing the EU’s Climate Agenda
Hungary’s presidency comes at a time of significant changes in the European Union. Soon to be superseded Council President Charles Michel was crucial in giving Hungary a mandate and setting priorities. The presidency coincides with the election of the new President of the European Commission and the duration of the Strategic Agenda for 2024-2029. Key focus areas include climate resilience, preparation for COP29, climate finance, and implementing National Energy and Climate Plans (NECP). The composition of the new parliament poses risks, with uncertain support for long-term climate targets.
The Council prioritises adaptation and resilience measures, continuing Belgium’s efforts. At the same time, the financing aspect, particularly leveraging private investments, is regarded as essential to achieve 2040 and long-term targets, with a focus on Green Deal financing and a just transition. The role of civil society in setting these 2040 climate targets remains vital, as previously emphasised by the European Commission.
Points for Discussion and Recommendations
At the end of the web seminar the significant concern was noted that Hungary might weaken the energy transition framework by also supporting non-renewable energies – besides the energy transitive geothermal energy and electricity grid development. The fossil phase-out is also not discussed. This could dilute ambitious climate and energy policies or their implementation.
Another challenge is the potential risk of deregulating EU climate policies, particularly with the increasing influence of right-wing MEPs. Coherent regulations are necessary, relying on collaboration and agreement among member states. To this end, the importance of unity and strong regulatory frameworks was highlighted to advance the EU’s climate ambitions.
In summary, the Hungarian Presidency comes with significant responsibilities and potential challenges. Effective leadership and collaborative efforts among EU member states are crucial to ensure that climate goals are not compromised, and that the EU remains on the path to a sustainable, climate neutral future.