PUBLICATION: Analysis
Druzhba via Hungary – The impact of the construction of a new oil pipeline on Serbia’s energy security
The relationship between Serbia and Hungary is very specific and is characterised by intensive cooperation, which is primarily the result of very good relations between Serbian President Vučić and Hungarian Prime Minister Orbán. The two countries already cooperate in the field of energy. Namely, Serbia uses Hungarian gas storage capacities, while Hungary receives its gas via Serbia
Serbia receives all its oil, including that which is Russian, through the Adriatic pipeline (JANAF). As the oil is delivered to that pipeline through the port of Omišalj in Croatia, Serbia can no longer receive Russian oil via this route. At the beginning of October 2022, the EU adopted the 8th package of sanctions which, among other things, prohibits the maritime transport of crude oil and oil derivatives originating from Russia to third countries. Due to Serbia’s non-alignment with the EU, i.e. the fact that it did not introduce sanctions on Russia, the 8th package of sanctions does not envisage any derogation from the measures when it comes to the Western Balkans, although it was originally intended to enable the transit of Russian oil through JANAF (provided that the quality remains within the limits of earlier years).
To analyse the potential consequences of the construction of a new oil pipeline to Hungary for the energy security of Serbia, it is necessary to look at the geopolitical circumstances in which this decision was made and to consider which alternative options are available to Serbia and how adequate and feasible they truly are.
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