Croatia’s JANAF says Hungarian MOL Group is not seeking energy security but extra profits from Russian oil

https://janaf.hr/en

On Wednesday, Hungarian energy group MOL, in cooperation with its Slovak subsidiary Slovnaft, filed a complaint against Croatian oil pipeline operator JANAF with the European Commission’s Directorate-General for Competition, alleging an abuse of a dominant position.

In a press release, JANAF Plc stated that it provides crude oil transport services to all users on equal terms. The supply of crude oil to Slovakia and Hungary is secure, as demonstrated by MOL Group’s arrangement of eight tankers carrying non-Russian oil at the Omišalj Terminal during this period, the company stated. Moreover, JANAF said that MOL Group has indicated that this issue is not about energy security, but rather an attempt to maintain commercial advantages linked to the import of sanctioned Russian oil.

On Wednesday, MOL stated, “JANAF has a monopoly over the supply of Hungarian and Slovak refineries by sea. Even though supplying these two countries with seaborne Russian crude oil is permitted and fully complies with EU and US sanctions (including OFAC regulations), JANAF has been delaying its acceptance, citing additional legal checks. MOL Group holds the right and responsibility for procuring crude oil.”

In response, the Croatian company explained that the energy security of Croatia and the European Union should not be compromised by individual interests, especially when the supply of non-Russian oil is running smoothly and in sufficient quantities. The acceptance of individual shipments of Russian oil is considered solely within the framework of applicable European and international sanctions, in consultation with all competent authorities and interested parties, emphasised JANAF. “As always, JANAF will act in accordance with the decisions of the relevant authorities to ensure the proper functioning of the system.”

The Croatian company specified that agreement on oil transportation prices is part of a standard negotiation process, in which the unit price depends on the contracted volumes: higher volumes result in a lower price. There is no single “market price” for oil transportation, as each pipeline system operates under specific technical, geographic, and market conditions. MOL and Slovnaft are pursuing their own commercial interests, and their complaint to the European Commission is part of a negotiation strategy and pressure tactics, stated JANAF.

JANAF will continue to guarantee the energy security of Central and Southeast Europe and will fulfil its strategic role as an energy hub for the European Union, the company highlighted, ensuring the transportation of non-Russian oil to refineries in Slovakia and Hungary in quantities sufficient to meet their total annual needs.

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