Policy status:Ended
Date Effective:1999
Date Ended:2010
Policy Type:Policy Support>Strategic planning, Information and Education, Information and Education>Information provision, Economic Instruments>Fiscal/financial incentives>Grants and subsidies
Policy Target:
Agency:Ministry of National Development
Funding:2001 HUF 5 billion

The Energy Conservation and Energy Efficiency Improvement Action Programme (Decision 1107/1999) began in 2000 and runs for ten years until 2010. It replaces the National Energy Saving and Energy Efficiency Improvement Plan of 1995. The new Action Programme is part of the Szécheni Plan, a broad effort to fund modernisation of the Hungarian economy launched in 2000.

The Action Programme targets a 7-8% reduction in energy consumption per year (approximately 1.8 Mtoe) until 2010 and lists 15 sectors and areas that will receive financial support to meet that goal.

Other targets to be met by 2010 include:

  • Reduce energy intensity by 3.5% per year, assuming an annual growth of GDP of 5% and a growth rate of energy consumption of 1.5% per year.
  • Save 75 PJ per year (1.8 Mtoe) of primary energy.
  • Reduce emissions by 50 kt per year of SO2 and 5 Mt per year of CO2.
  • Increase renewable energy production from 28 PJ to 50 PJ per year (1.2 Mtoe per year).

Initial funding for the Action Programme was provided by the Economic Development Fund of the Ministry of Economy and Transport. The initial budget allocation was HUF 1 billion per year in 2000. The budget for 2001 increased to HUF 2 billion, and was supplemented by an additional HUF 3 billion from the Housing Programme of the Széchenyi Plan, which was earmarked for funding of energy efficiency measures in the housing sector.

Support for the residential sector mainly involves grants of up to 30% for new and additional investments. Other sectors are offered a variety of measures ranging from loans with favourable interest rates to full grants.

The Action Programme is reviewed every two years and amended by the government according to the results of the reviews.

The Housing Programme is managed by the Building Department of the Ministry of Economy and Transport. The decree also establishes the possibility of using part of the planned Environmental Emission Fee for the Programme.

Last modified: Tue, 09 Dec 2014 16:36:52 CET