In the agricultural sector, the news of the week was the "Energy for Rural Areas 2025" program. In today's article, we present the most important information about the program, explaining its purpose, the scope of funding, and the details of the application process.
As a reminder, this is the second edition of the program, which aims to support investments in renewable energy sources in rural areas. The program supports both individual farmers and groups operating within cooperatives, enabling investments in photovoltaic installations, wind farms, biogas plants, hydropower plants, and energy storage facilities. The program was once again organized by the National Fund for Environmental Protection and Water Management (hereinafter referred to as "NFOŚiGW"). This year, program beneficiaries will receive a total of PLN 1 billion in funding for renewable energy investments.
According to the government, anyone interested can submit an application starting February 3, 2025. Please note that the program will run until December 19, 2025, or until all allocated funds are exhausted. It's worth noting that access to funds is limited, so anyone interested should prepare their documentation well in advance to increase their chances of receiving support.
According to the assumptions, the "Energy for Rural Areas" program is addressed to farmers (individuals, organizational units without legal personality and legal entities conducting agricultural activities for at least 12 months, farmers managing an agricultural farm within the meaning of the agricultural tax regulations or running a special branch of agricultural production) and energy cooperatives
What types of investments are eligible for support? These include photovoltaic and wind installations (for farmers: investments with a capacity of 50 kW to 1 MW, for energy cooperatives: projects with a capacity of 10 kW to 10 MW), hydropower plants and agricultural biogas plants (for farmers: installations with a capacity of 10 kW to 1 MW, for cooperatives: installations with a capacity of up to 10 MW), and energy storage facilities (the subsidy is only available if the storage facility is integrated with the renewable energy installation implemented as part of the investment).
This program is available in two main forms: loans and grants. It's worth noting that farmers running their own businesses can count on additional support in the form of increased subsidies. Furthermore, we remind you that investments cannot begin before the date of submitting the funding , and the project's duration must be at least five years from the date of investment completion.
Regarding the application procedure for funding under the "Energy for Rural Areas 2025" program, it's essential to prepare complete documentation, as the documents vary depending on the beneficiary and the specific investment. Therefore, we encourage you to seek professional assistance to ensure a comprehensive investment process.
In our opinion, the "Energy for Rural Areas 2025" program is a great opportunity for farmers and energy cooperatives to invest in renewable energy sources with minimal upfront costs. Such a program will undoubtedly lead to increased economic efficiency of their operations.
On the plus side, the program's broad scope should be noted, which supports investments in photovoltaic installations, wind farms, biogas plants, hydropower plants, and even energy storage facilities. We also emphasize that if this program is not available, other forms of support are available on the market, including: (i) Agroenergy, (ii) tax relief, (iii) a white certificate system, (iv) a thermal modernization bonus, and (v) financial support programs under Regional Operational Programs.
For investors, the program offers an opportunity not only for long-term savings but, above all, for building stable energy foundations for their farms or cooperatives. Implementing such investments can also improve competitiveness and energy independence in the face of rising energy prices.
If you have any questions regarding this program, please feel free to contact us.
This article is for informational purposes only and does not constitute legal advice.
Legal status as of February 5, 2025
author/editor of the series:
Be the first to receive our articles and legal alerts, straight to your inbox! Sign up for our newsletter by clicking the link or contact us at social@kglegal.pl to personalize your content.
