Hungary fuel price cap will lead to shortages - MOL CEO

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Hungary's cap on fuel prices should be lifted because it will lead to shortages "sooner or later," the chairman-CEO of Hungarian oil and gas company MOL has said.

In an interview on private news and current affairs channel ATV late on Sunday, Zsolt Hernádi said Hungary was facing an "extremely dangerous" situation as the fuel price cap was driving up consumption, international news wire Reuters reported.

"This raises the question of how long this can be done," Hernádi was quoted as saying by Reuters. Hungarian blue-chip MOL, which owns the largest network of service stations in Hungary, has previously called for the cap to be phased out.

The limit was introduced last November and set the retail price for 95-octane gasoline and diesel at HUF 480 a liter. The cap, which has been extended to run until October, was introduced by the government to shield consumers from rapidly rising fuel costs.

Last month MOL announced passenger car drivers in Hungary would be limited to buying 50 liters of fuel a day at its stations, the news agency noted.

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