Hungarian company files complaint against Naftogaz over supply halt

(BUDAPEST) - Hungarian gas company EMFESZ announced on its website Saturday that it had filed a complaint against Ukrainian group Naftogaz following the complete halt of Russian gas supplies via Ukraine.

"EMFESZ, Hungary's second largest gas importer, filed a complaint with the European Commission on January 9 against Naftogaz and Ukraine," the Hungarian company said in a statement.

"EMFESZ regrets that Naftogaz managed the gas as if it was its own and did not ensure its transit (to Hungary)," it added.

It pointed to Article 22 of the European Energy Charter Treaty, which states that "each Contracting Party shall ensure that any state enterprise which it maintains or establishes shall conduct its activities in relation to the sale or provision of goods and services... in a manner consistent with the Contracting Party's obligations (under the treaty)."

This is the first legal action outside Russia and Ukraine to emerge since the beginning of the gas dispute.

EMFESZ, which supplies gas to some 100,000 Hungarian homes and 400 industrial companies, said it had lost some 30 million dollars (22 million euros) as a result of the delivery halt.

Most of Hungary's 10 million people however receive their gas from the much larger group MOL, which has a near-total state monopoly.

EMFESZ has a contract with Gazprom's subsidiary RosUkrEnergo to receive some three million cubic metres of gas per year until 2015.