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The EU and Programs to Alleviate Energy Poverty

EU Energy Poverty
Rising prices for gas and electricity have prompted the EU to appeal to its member countries to subsidize customers and businesses as it deals with the negative impact of its decisions regarding climate. Seeking to deter energy poverty, EU Energy Commissioner Kadri Simon spoke of measures that target select customers at most significant risk of energy poverty with direct payments, cutting energy taxes and shifting energy taxes to general taxation. Simon said to the EU lawmakers that mitigating the social consequences and protecting households most at risk is of “immediate priority.” He also suggested that businesses engage in longer-term power purchase agreements while not ruling out the possibility for relief through state aid. Here is some information about energy poverty in Europe as well as programs to alleviate energy poverty.

Energy Poverty in Europe

Energy poverty is prevalent across Europe, where anywhere between 50 and 125 million people cannot afford proper indoor heat, according to a 2009 publication by the EU. Member states have acknowledged the gravity of the issue and its ramifications in health issues and social isolation. Energy poverty marks low household income, high energy costs and inefficient energy houses, where an increase in revenue, management of energy costs and more energy-efficient infrastructure are solutions. Energy poverty affects Sub-Saharan Africa significantly, particularly in the medical sector, with limited time for health care activities and thus increasing risk for patients. Europe is not immune to these issues and should not overlook them, even if the potential scale is not as significant.

EU Plans Backfire and Exacerbates

According to Hungarian Prime Minister Viktor Orban, behind the rising energy prices afflicting Europe today are the EU’s “Green Deal” policies. President Vladimir Putin of Russia shares the same opinion. The Green Deal initiative aims to reduce greenhouse gas emissions by 55% by 2030 compared to levels seen in 1990, on the way of eliminating emissions by 2050. One of its strategies involved discouraging the usage of long-term purchase agreements for gas, coal and nuclear energy in favor of short-term pricing to deter its use. LTPAs are not sensitive to market prices and are therefore a more cost-effective option than purchasing gas if one is doing it for the long run. This discouragement has left EU member countries scrambling for alternative gas options amid the energy shortage, exacerbating the already low levels of energy poverty.

Programs to Alleviate Energy Poverty

Various projects have developed across Europe with the common aim of ending energy poverty. Horizon 2020 Energy Efficiency voiced themselves in 2018 and granted around 6 million euros to three projects responding to energy poverty: STEP (Solutions to Tackle Energy Poverty), EmpowerMed and Social Watt. STEP, for example, has created a model that includes a call to organizations and consumer groups that specialize in issues affecting those who are energy-poor. It wants to educate energy-poor consumers in nine European countries they have identified as the most energy-poor and share their methods and policies with other EU countries.

STEP

In Lithuania, for example, the Alliance of Lithuanian Consumer Organizations partnered with STEP following inquiries by ALCO into organizations that revealed concerns by consumers regarding energy poverty issues. The Association of Social Workers, an amalgamation of social workers across many organizations, which also happens to be ALCO’s principal partner, received an introduction to the STEP project. This led to several social workers’ interest in receiving the required training to become efficient energy advisors.

EmpowerMed

EmpowerMed, a slightly more nuanced project than STEP, is also addressing energy poverty in Mediterranean coastal areas with a focus on women, gender and health. Its name has an association with numerous publications on energy poverty training, policy and reports. This is part of a constitution of other efforts such as energy workshops, advocacy campaigns that gender-neutral stress policies and energy visits to select households.

Social Watt

Social Watt tasks itself with providing parties exhorted under Article 7 of the Energy Efficiency Directive in Europe to engage with strategies to alleviate energy poverty. Integral and endemic to the function of Social Watts are its features. The Analyzer feature of Social Watts is a downloadable tool that facilitates consumer data observation to identify risk houses. The Plan function identifies optimal solutions that accommodate any nuances in the energy conservation dynamic. The Check tool serves as a verification function to ensure the endeavors of Social Watts are without errors or negative ramifications. 

The ramifications of energy poverty constitute adverse health effects, educational delay, medical impedance and economic disruption. While COVID-19’s economic consequences have exacerbated Europe’s energy poverty, programs to alleviate energy poverty have been able to offer hope to the most vulnerable and, at a minimum, prevent social unrest.

– Mohamed Makalou
Photo: PublicDomainPictures

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The COVID-19 Vaccination in Hungary

The covid-19 vaccination in HungaryThe coronavirus infection rate is dropping rapidly throughout Hungary thanks to a steadily increasing rate of COVID-19 vaccination. From a peak of around 10,000 daily new cases in March 2021, as of June Hungary sees fewer than 200 daily new cases.

In May, Hungarian prime minister Viktor Orban’s chief of staff Gergely Gulyas announced that Hungary will not join the new vaccination deal. As part of the deal, Pfizer and BioNTech will provide an additional 2.6 billion doses throughout the European Union (EU). Hungary is the only EU country that has opted out of the deal.

According to Gulyas, the Hungarian government is confident in its current supply. Gulyas stated that in the event a booster becomes necessary, “there are plenty of vaccines from Eastern and Western sources as well.”  Orban used his strong ties with Russia and China to purchase and deploy vaccines from those countries even before the EU approved them.

Vaccination Campaign Successes

Since January, almost half of Hungarians have received their second dose of the COVID-19 vaccine. As a result, infection rates have declined rapidly across the country. Compared to the rest of the EU, Hungary had a relatively low infection rate throughout the pandemic.  Hungary peaked at about 10,000 new cases per day. In the first week of July, there was an average of 41 new infections reported per day. That’s less than one percent of the daily average during the country’s peak on March 25. Furthermore, the country has seen fewer than one million COVID-19 cases overall.

Hungary has also expanded vaccine eligibility quickly. It is the first EU country to approve vaccination for citizens as young as 16, who are eligible to receive the Pfizer/BioNTech doses. Around 90,000 young people have already registered for the shot, accompanied by parental permission for those under 18. Euronews reported that “according to government plans, by mid-June, all Hungarians willing to get a Western-developed jab can be vaccinated.” Hungary is hoping to be able to vaccinate children as young as age six which would mean virtually all schoolchildren by early fall when school starts.

Low-Income Families and Vaccination

The percentage of Hungarians at risk of poverty has declined steadily in recent years, dropping around 3% from 2013 to 2020.  Hungary’s at-risk poverty rate was 12.3 % in 2020.  COVID-19 has been harsher on the at-risk population, especially the Roma population living in poor settlements.  The Hungarian Civil Liberties Union (HCLU), a human rights non-governmental organization (NGO) advocates for targeted measures to protect the Roma from COVID.  HCLU claims that the Hungarian government has overlooked the fact that the Roma have been more vulnerable to COVID’s economic consequences because they lack any financial reserves and rely on day-to-day odd jobs.

A Promising Start

With half of Hungarians vaccinated and many more eligible, working life is returning to normal, allowing the economy to thrive. As low-income citizens including the Roma get vaccinated, they will be able to return to work without fear of illness. Also, fewer people will lose their jobs due to business closures. This successful COVID-19 vaccination campaign is leading Hungary toward a safe return to life as it used to be. Furthermore, the government is confident that its current supply of vaccine doses can sustain the campaign’s success.

– Riley Prillwitz
Photo: Unsplash

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How COVID-19 Is Changing Politics in Hungary

politics in hungary
Hungary is a landlocked European nation of nearly 10 million that operates under a parliamentary government system. Historically, the political divide in Hungary led to highly competitive elections, with the prime minister and presidential positions democratically grappled over. Elected as prime minister in 2010, Viktor Orbán is an outspoken Eurosceptic, self-proclaimed illiberal and member of the right-wing Fidesz party. Orbán has slowly centralized government powers, squashed political opposition and threatened freedom of the press for nearly a decade. Orbán supporters point to the prime minister’s rapid response to the COVID-19 global pandemic, which hit Hungary in March 2020 but has experienced near-eradication from the country, as evidence of his effectiveness. Implementing a five-year jail sentence for promoting misinformation about the virus, closing borders and shutting down non-essential businesses early, Orbán undoubtedly contributed to Hungary’s successful containment of COVID-19. However, the power he indirectly obtained from the virus also contributed to his controversial ambitions to redefine politics in Hungary.

5 Ways COVID-19 is Changing Politics in Hungary

  1. The Effects of Unilateral Decisions: In March 2020, Hungary’s Fidesz-dominated government approved a law allowing Orbán to make unilateral decisions concerning COVID-19 resources, response funding and guidelines. Orbán has since exploited this ruling, taking steps to weaken the platforms of opposing politicians, largely from left-leaning mayors, as the 2022 parliamentary election approaches. While this legislation was to bolster local responses to the virus without needing approval from parliament, its loopholes enabled Orbán to also reallocate municipal funds, neglect transparency about vaccination updates and control the media more tightly.
  2. Flawed Communication: Orbán has failed to provide local leaders data about vaccinations, case numbers, hot-spots and other vital public health information. As mayors lack this data, they have struggled to decide if and when their constituents can return to normal economic and social activities. Although parliament formally ended the Hungarian state of emergency in June 2020, the March legislation remains. Orbán and future prime ministers, through another legislative loophole, will still wield many of the unilateral decision-making powers that enable poor communication and vertical collaboration within the government.
  3. Targeted Tax Cuts: A contentious component of Orbán’s COVID-19 response strategy has been the tax cuts on both public and private businesses that stimulate local level economies. Before the pandemic, the Hungarian economy was relatively stable, with increased wages, low unemployment and steady growth despite the looming issue of inflation. Almost immediately after COVID-19 hit Hungary, Orbán cut taxes on several municipal services by making public parking free. With urban cities like Budapest already losing revenue from public transit and other public services, Orbán’s parking tax cut appears to assist citizens but drains local funding vital to the efficiency of politics in Hungary and virus containment.
  4. Economic Zoning: In another unilateral decision, Orbán categorized certain businesses as “special economic zones.” Under Orbán’s plan, revenue and taxes that businesses generated, qualifying as “special economic zones,” go toward the national COVID-19 response fund instead of stimulating local economies. Projections determine that working-class and factory towns, like God, could lose up to $170 million over the next four years as a result of Orbán’s zoning legislature.
  5. Refugee Restrictions: For the last decade, Orbán has vocalized his conservative stance on refugees and migrants. Using his newly acquired emergency power, Orbán, like many world leaders, has slowed the influx of all immigrants, even vulnerable refugee populations. In May 2020, despite low COVID-19 infection rates, Orbán further threatened the institution of asylum in Hungary. Justifying his actions with the pandemic, Orbán ordered the relocation and detainment of refugees and continued to build a fence at the country’s Serbian and Croatian borders. A product of unsound politics in Hungary, Orbán’s refugee policies leave former citizens of Afghanistan, Pakistan and Iran more vulnerable to the virus and with even fewer options for obtaining asylum in Europe.

Moving Forward

With an election approaching, approximately half of Hungarians approving of the Fidesz party and Orbán’s approval rating at an all-time high of 57%, the stability of politics in Hungary is in danger. As partisan leaders have largely failed in efforts to hold Orbán democratically accountable, NGOs like Freedom House are stepping in to influence politics in Hungary. Freedom House collects data on political overreach and provides educated reports and quantitative scores on the status of democracy in Hungary, where critical press coverage of the government is punishable. The reliable and in-depth assessments that Freedom House generates provide crucial evidence for Orbán’s political opposers. If these opposers, who advocate for democracy and decentralized government, can regain parliament seats in 2022, Hungarians in the political minority will likely regain a voice.

– Caledonia Strelow
Photo: Wikimedia Commons

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Anti-Refugee Sentiment Grows Throughout Europe

Anti-Refugee Sentiment
On October 2, Viktor Orban, prime minister of Hungary, held a nationwide referendum to address growing anti-refugee sentiment. Orban asked the question, “Do you want the European Union, even without the approval of the Hungarian parliament, to be able to prescribe the mandatory resettlement of non-Hungarian citizens in Hungary?”

Resoundingly, 98 percent of voters backed the government’s opposition to the EU refugee acceptance quotas, even though Hungary would only have to accept 1,300 of the 160,000 refugees taken into consideration by the distribution plan. Although voter turnout was only around 43 percent, the rejection of refugees and belief in their inherent dangers is no anomaly.

Anti-refugee and anti-Muslim sentiment is spreading across Europe, especially in the wake of major terrorist attacks in Brussels, Paris, Nice and the everyday acts of violence consistently occurring throughout Europe. Opposition to refugees also heavily fueled the Brexit vote.

Within the Visegrád Group, an alliance of the Czech Republic, Hungary, Slovakia and Poland, refusal to accept refugees is at its peak. The Czech Republic and Hungary have only accepted 520 and 146 refugees respectively in the last year, a drop in the ocean of millions needing asylum.

In 2015, Hungary also built a heavily guarded, razor wired fence along its southern border to control the flood of migrants into Hungary. Many have criticized the country for treating refugees “worse than wild animals;” some have even called for Hungary to be temporarily or permanently expelled from the EU for its behavior.

Even in more accepting countries like France and Germany, growing fear and misunderstanding have lead to more anti-refugee and anti-Muslim policies. More than 20 French mayors have refused to lift their bans on the “burkini,” a full body swimsuit worn mainly by Muslim women, even though the national court system has deemed the ban unconstitutional.

Even in Germany, the biggest proponent of refugee acceptance, anti-refugee sentiment has spread. After several regional elections went to the far-right, Angela Merkel, Chancellor of Germany, plans to take a step back from her heavily controversial open-door refugee policy.

Although the current situation for many refugees may seem bleak, the future may well be brighter. Even after several devastating attacks in France, French president Francois Hollande is still holding firmly to his open refugee acceptance policy. In Syria and Iraq, as well, the end seems to be near. After capturing Fallujah, allied forces have now moved on -to Raqqa, the ISIS capital, and Mosul. The U.S. and EU can now begin to rebuild infrastructure and resettle the remaining refugees.

– Henry Gao

Photo: Flickr