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Emfesz calls for declaration of “crisis situation”

Natural gas provider Emfesz has requested the Hungarian Energy Office (MEH) to introduce a state of crisis considering a threat to the continued supply of customers.

The company is heavily indebted and as such may lose its licenses to distribute gas.

Emfesz head István Góczi is arguing that his firm is providing its 300,000 clients gas at 8-16% discount prices. If it were to lose its license then another provider would be appointed to overtake its clients. However, in this case, the beneficial prices would be no more. Góczi stressed that it is in the interest of MEH to secure continued gas provision at the earlier set prices.

In an interview with Inforádió, he said a decision on the matter will be reached in days. According to the conservative daily Magyar Nemzet, the decision was reached even sooner. The paper reported early Wednesday morning that MEH has indeed suspended Emfesz's license for 90 days starting January 12. During the period, its consumers will have to settle for more expensive gas from another provider. (BBJ)