The EU court cancels the green light for Hungarian aid to build Russian reactors
Luxembourg – The Court of Justice of the European Union annulled on Thursday, following a complaint from Austria, the Commission’s green light for Hungarian aid to have Russia build nuclear reactors.
The Commission “should have verified whether the direct award of the contract (…) to a Russian company” was “in accordance with EU rules on public procurement,” the Court stated in its ruling.
In 2017, the Commission had approved Hungarian state aid to the Russian company Nizhny Novgorod Engineering, which was entrusted with the expansion of the Paks nuclear power plant.
In return, Moscow promised to grant Budapest a loan to finance 80% of the work for the two reactors that were to be added to the four already existing.
However, Austria contested the Commission’s approval decision, and the Court ruled in its favor.
The decision was “not sufficiently reasoned,” as it did not allow for “understanding the specific reasons that led” Hungary to award this contract directly to Russia without a public tender. (September 11, 2025)
