The Croatian oil pipeline operator, JANAF, has responded to allegations from Hungary’s MOL regarding excessive transit charges. JANAF contends that the discrepancies in oil pricing are primarily due to the price differences between Russian crude and other supplies, rather than the transportation fees themselves.
The tension escalated when MOL claimed that JANAF’s transit costs are significantly higher than those of comparable European routes. MOL asserted that JANAF’s fees are approximately three times greater than those on the TAL pipeline system, which connects Italy, Germany, and Austria, and about 50% higher than the costs associated with the Ukrainian route.
In its rebuttal, JANAF issued a statement arguing that comparing transport prices per ton per 100 kilometers is misleading. The company highlighted that its pipeline is considerably shorter than Russia’s Druzhba pipeline network. Therefore, they assert that the total transport cost per ton of oil delivered to its final destination is a more relevant metric for buyers.
JANAF claims that when assessed using this broader measure, its transportation route is actually more competitive. The operator stated that transporting crude oil through its system is roughly three times less expensive per ton compared to shipments via the Druzhba pipeline, which they describe as a pertinent market comparison.
Moreover, JANAF emphasized that transportation costs constitute only a minor fraction of the overall crude oil price. The operator pointed out that Russian crude is currently available at a discount of around 30% compared to non-Russian grades, which it identifies as the primary factor influencing the price disparities noted by MOL.
JANAF further underscored its commitment to regional supply security by noting that it has received eight tankers carrying non-Russian crude recently to ensure continuous deliveries to Hungary and Slovakia. The company asserts that its system remains fully operational and capable of accommodating alternative supply routes as necessary.
In conclusion, JANAF raised questions regarding whether MOL’s criticisms genuinely reflect concerns about supply security or if they stem from MOL’s preference for discounted Russian oil imports. The Croatian operator maintains that its infrastructure operates reliably and that diversifying supply through its system continues to be a feasible option for the region.
