Report: State aid saved water companies last year

Sights

State aid provided to Hungarian state-owned water utility providers saved the companies from booking almost HUF 10 billion in accumulated losses over last year, according to a report published by Hungarian daily Népszabadság today.

According to János Fónagy, state secretary at the National Economy Ministry, who responded to a query by opposition Együtt (Together) politician Szabolcs Szabó, the losses were chiefly caused by the government’s utility fee reduction and taxes levied on the sector, the daily reported.

Népszabadság added, based on the state secretaryʼs answer, that Hungarian water companies asked for and received state aid amounting to more than their operational losses in general, however, Együtt politician Viktor Szigetváry says it is unclear how these funds were transferred to the companies, as the EU prohibits indirect aid from the state.

SUPPORT THE BUDAPEST BUSINESS JOURNAL

Producing journalism that is worthy of the name is a costly business. For 27 years, the publishers, editors and reporters of the Budapest Business Journal have striven to bring you business news that works, information that you can trust, that is factual, accurate and presented without fear or favor.
Newspaper organizations across the globe have struggled to find a business model that allows them to continue to excel, without compromising their ability to perform. Most recently, some have experimented with the idea of involving their most important stakeholders, their readers.
We would like to offer that same opportunity to our readers. We would like to invite you to help us deliver the quality business journalism you require. Hit our Support the BBJ button and you can choose the how much and how often you send us your contributions.

Support the BBJ

Travel