’Seriously about Paks’ – series of events has started
The planned new nuclear power plant in Paks raises a number of economic, security, geopolitical and social problems. All these problems have barely been mentioned in the Hungarian public media.
Therefore, Energiaklub launches a series of events named ’Seriously about Paks’. The first event, Paks II project budget and economic policy implications were discussed. Balázs Romhányi (Budapest Institute for Fiscal Responsibility), Mária Zita Petschnig (Financial Research Office) and László Jankovics (European Commission, Directorate-General for Economic and Financial Affairs) spoke on the topic.
Balazs Romhányi (Institute for Fiscal Responsibility) reveals his study "Budget-policy implications of the Paks II investment" ordered by Energiaklub.
Romhányi said, that according to the European Union's statistical accounting rules it’s sufficiently clear, that the project has to be accountable in the government sector. In preparing the analysis concluded that the Paks investment financial burden should not be passed on to future generations, it should be support primarily by those who pay the taxes at the time of investment or benefit from public funds.
Romhányi also spoke about the requirement of a transparent and sustainable fiscal policy. The government should disclose their assumptions, calculations, and ideas on corrective fiscal measures. No later than spring 2015, in the convergence program (prospective until 2018), the government must answer these questions.
Mária Zita Petschnig (Financial Research Office) believed that Balazs Romhányi ‘s assumptions are too well-intentioned. For example, the total cost of the investment is only supposed to HUF 3,750 billion, and does not take into account that additional investments will be required. The macroeconomic consequences will be far worse than the study says.
László Jankovics (European Commission, Directorate-General for Economic and Financial Affairs) said that the effects that increase the deficit will only be determined in light of the specific details, but the investment’s impression on increasing the debt will require compensation.
Furher themes of the series of events with expected dates:
2. Environmental impacts (8 October)
3. Security and geopolitics (16 October)
4. Execution (28 October)
5. Paks II Conference (Jan 2015)
