Full Breakdown
Hungary Reviews Paks Nuclear Expansion Amid Post-Election Shift
5/11/2026, 9:42:03 PM
Core Event: Parliamentary Review of Paks 2
After a landslide election, Hungary’s incoming administration announced a parliamentary review of the Paks nuclear plant expansion (Paks 2). Economy and energy affairs minister nominee Istvan Kapitany said the review will examine the project’s financing, implementation conditions, and the classified contracts.
Background: Russian Partnership and EU Relations
The €12.5 billion expansion, approved in 2014 without a tender, adds two Russian-built VVER reactors to the 2-GW plant. The contract with Russia’s state nuclear firm Rosatom has been cited as a hallmark of former Prime Minister Viktor Orban’s close ties to Moscow, a point of friction with the EU over rule-of-law concerns and Hungary’s stance on the Ukraine war.
Key Figures
Istvan Kapitany (economy and energy affairs minister nominee), Prime Minister Peter Magyar, Rosatom director Alexei Likhachev, foreign-minister nominee Anita Orban, and former Prime Minister Viktor Orban are the principal actors.
Project Data
Cost: €12.5 billion (US$14.7 billion). Existing capacity: 2 GW. Expansion: two VVER reactors from Rosatom. Awarded: 2014, without public tender.
Official Statements
Kapitany called for a transparent nuclear strategy and said the review will assess financing and implementation. Rosatom’s Likhachev said the price can be explained on request and stressed a shared goal of swift, efficient delivery. Anita Orban noted Russia will stay a partner but relations must avoid one-sided dependence. Viktor Orban urged legislation for judicial independence, transparent tenders, anti-corruption measures and EU-fund oversight.
Criticism & Opposition
Opponents argue the Paks 2 contract lacks transparency, was awarded without competition, and may conceal graft. They also criticize the inflated cost and the deepening strategic reliance on Russia, which conflicts with EU expectations.
Conflicting Reports & Gaps
The classified contracts have not been disclosed, preventing independent cost verification. Rosatom claims it can justify the pricing, but the Hungarian review has not yet accessed the documents, leaving a transparency gap.
Verbatim Quotes
- “We need a transparent nuclear strategy,” — Istvan Kapitany, nominee for economy and energy affairs minister
- “Numbers are a rational thing. We can easily explain and justify them if the Hungarian customer needs it,” — Alexei Likhachev, director of Rosatom
- “Russia will remain a partner but the relationship cannot be based on a one-sided dependency,” — Anita Orban, nominee for foreign minister
- “Laws need to be passed that will ensure that Hungary's judiciary is independent, that public tenders are transparent, that corruption can be fought, wealth declarations can be checked and the use of European Union funds can be tracked," Orban said.” — Viktor Orban, former prime minister
What's Next
The review should issue a report within months, after which Hungary may renegotiate terms with Rosatom or seek alternative financing. EU bodies will monitor compliance with transparency and procurement rules, influencing Budapest’s broader EU rapprochement.
