PM denies political motivations behind MVM changes
Hungarian Prime Minister Ferenc Gyurcsány denied that changes to the structure and the management of state-owned electricity wholesaler MVM are politically motivated.
Gyurcsány dismissed speculation that the changes were politically motivated. Rather they were based on studies by the Hungarian energy office (MEH), the competition office (GVH) and the national bank of Hungary (MNB) that showed MVM's monopoly is keeping electricity prices artificially high, he said.
Industry insiders have said the full deregulation of Hungary's electricity market from the start of 2008 was chaotic and prices actually increased because of the lack of appropriately prepared regulations.
On Wednesday, Finance Minister János Veres said the aims of the restructuring as well as other planned changes to electricity market regulations were intended to ensure that electricity prices do not create inflationary pressure in 2008 or the years to follow. (MTI-Econews)
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.