2024-11-12 18:18 update: 2024-11-14, 20:21
Photo: PAP/Wiktor Dąbkowski
The European Commission (EC) has provisionally approved Poland's request for a payment of EUR 9.4 billion in post-pandemic money under the second and third tranches of the country's National Recovery Plan (KPO) funding.
"Today, the Commission has endorsed a positive preliminary assessment of Poland's payment request for the second and third instalments for EUR 9.4 billion (EUR 5.3 billion in loans and EUR 4.1 billion in grants) (net of pre-financing) under the Recovery and Resilience Facility, the centrepiece of NextGenerationEU," the EC wrote in a statement on Tuesday.
It was added that, following its assessment of the payment request submitted by Poland on 13 September 2024, the EC "has preliminarily concluded that Poland has satisfactorily completed the 38 milestones and three targets" set out in the EU Council Implementing Decision for the second and third instalments of the KPO.
"Eight investments and 20 reforms will drive positive change for citizens and businesses in the areas of healthcare, digitalisation, spatial planning, and the labour market as well as energy efficiency, air quality and clean mobility," the statement read.
Following the news, Poland's Minister of Funds and Regional Policy Katarzyna Pelczynska-Nalecz wrote on the X platform that Poland should get the transfer of approximately PLN 40 billion (EUR 9.4 bln) "under the Christmas tree."
She added that according to the plan, PLN 10 billion (EUR 2.3 bln) will be invested in Polish wind farms on the Baltic Sea, PLN 7.4 billion (EUR 1.7 bln) in railway line repairs and new trains, and another PLN 4.7 billion (EUR 1.1 bln) in oncology hospitals and care for the elderly.
In addition, PLN 3 billion (EUR 0.7 bln) will be allocated to investments in house insulation and replacing furnaces, PLN 2.1 (EUR 0.48 bln) billion in buses, and PLN 1.5 billion (EUR 0.35 bln) in a fast internet network, Pelczynska-Nalecz also wrote.
The Ministry of Funds and Regional Policy wrote in a Tuesday statement said this will be the largest ever transfer of EU funds that Poland has received at one time.
On November 5, the Ministry of Climate and Environment and the Ministry of Industry was published a regulation tightening the quality requirements for solid fuels, including heating coal burned in households. This was a condition for the payment of the full second and third tranches of the KPO.
On November 4 Pelczynska-Nalecz announced that Poland wants to submit further requests for payments under the KPO in the second half of December, but it will likely be less than the PLN 40 billion recently applied for.
According to the KPO website, the payment request for the fourth and fifth instalments under the Recovery and Resilience Facility can amount to a maximum of PLN 31.5 billion (EUR 7.23 bln).
The Recovery Fund was set up as a post-pandemic plan to help EU member states augment their economies in the aftermath of the Covid-19 pandemic.
Under the KPO, Poland is set to receive a total of EUR 59.8 billion (PLN 257 billion), including EUR 25.27 billion (PLN 110 billion) in grants and EUR 34.54 billion (PLN 150 billion) in preferential loans.
In line with EU targets, a significant proportion of the KPO budget is allocated to climate goals (44.96 percent) and digital transformation (21.28 percent). The KPO funds are also to be spent in sectors such as health and the job market.
In April, Poland obtained nearly PLN 27 billion (EUR 6.2 bln) following its initial payment request from the KPO. (PAP)
mr/mf
