May 12th, 2009

Transport, telecom and energy minister vows no privatizations

The Transport, Telecommunication and Energy Affairs Ministry is not planning any privatisations, Peter Honig, who heads the portfolio, said in an interview published in Monday’s issue of daily Nepszava.

“I have no intention of selling a single company that belongs to the ministry,” Mr Honig said.

The ministry would only sell companies that are in a good position, and only if the sale promises good proceeds, Mr Honig said. “Currently I don’t know any companies that belong to my ministry that are ripe for privatisation….with the exception of the Hungarian Electricity Works, but the sale of that too is not on the agenda,” he added.

A few days earlier, Mr Honig asked the management of railway company MAV and long-distance bus company Volan to prepare proposals for boosting the companies’ profitability while at the same time raising their level of service. In the interview in Nepszava, he said this could mean scrapping under-utilised parallel services.

There is still no concrete plan for the restructuring of gas subsidies, Mr Honig said. The Hungarian Energy Office (MEH) is preparing different calculation models right now, he added.

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