Highlights

• Nearly PLN 1.4 billion will be allocated to the modernisation of the electricity distribution network. The agreements cover the reconstruction of 504 power stations, the modernization and construction of over 177 km of distribution lines, and the installation of nearly 58,000 remote reading meters.
• Thanks to the implementation of these projects, the available connection capacity for new renewable energy sources will increase by 541 MW.
• Part of the investment will include network cabling, i.e. moving overhead lines underground, which will increase the infrastructure's resistance to weather conditions and improve the reliability of energy supplies.
• Nearly PLN 304 million will be allocated to the development of remote network management, which will enable faster detection of and response to disruptions, as well as the development of smart network features.

PGE Dystrybucja has signed seven grant agreements with the National Fund for Environmental Protection and Water Management (NFOŚiGW) concerning the modernisation of the electricity distribution network, for a total amount of nearly PLN 1.4 billion, as part of the National Recovery Plan (KPO). The signing ceremony, which took place on March 11, 2026 in Warsaw, was opened by the Minister for Climate and the Environment, Paulina Hennig-Kloska.

We are taking another step forward on the path to modernising Poland’s energy sector and upgrading the country’s electricity networks. We are signing a PLN 1.4 billion agreement to co-finance the construction and modernization of power grids with PGE Dystrybucja S.A. in Central and Eastern Poland. Enhancing flexibility and improving balance are crucial for reducing energy costs and increasing the grid’s resilience to weather conditions, amongst other things

- said Paulina Hennig-Kloska, Minister of Climate and Environment, at the ceremony of signing agreements with KPO at the headquarters of the National Fund for Environmental Protection and Water Management in Warsaw.

The event was attended by, among others, Minister Paulina Hennig-Kloska, Deputy Minister of Energy Konrad Wojnarowski, Dorota Zawadzka-Stępniak, Chair of the Management Board of the National Fund for Environmental Protection and Water Management (NFOŚiGW), Józef Matysiak, Deputy Chair of the Management Board of NFOŚiGW, Dariusz Lubera, Chairman of the Management Board of PGE S.A., and Jacek Drozd, Chairman of the Management Board of PGE Dystrybucja S.A.

It is vital that we invest in the grid, renewable energy sources and energy storage, so that we can increase grid flexibility and improve load balancing.  These investments will further increase the efficiency of renewable energy sources so that no one in Poland will even consider removing them, whether from a private home or a large-scale investment. These are truly economically viable investments which also improve the country’s energy security

– emphasized Paulina Hennig-Kloska.

Amount of funding for investment projects:

• Warsaw Branch – nearly PLN 432.5 million for the construction and modernisation of the power grid,
• Łódź Branch – nearly PLN 197 million for the development and modernisation of the distribution network,
• Rzeszów Branch – PLN 174.8 million for the construction or modernisation of electricity distribution networks,
• Białystok Branch – nearly PLN 172 million for the construction or modernisation of electricity distribution networks,
• Lublin Branch – over PLN 160 million for the expansion of the electricity infrastructure, 
• Skarżysko-Kamienna Branch – just under PLN 159 million for the construction or modernisation of electricity distribution networks,
• Zamość Branch - over PLN 94 million allocated, among others, for the expansion of the medium voltage (MV) and low voltage (LV) cable line along the S12 Lublin-Dorohusk expressway.

Nearly PLN 304 million will be allocated to developing remote network management capabilities. As part of the funding, medium- and low-voltage substations will be modernised, with plans to install balancing meters fitted with power quality analysers. This will significantly improve the ability of energy suppliers to monitor and respond swiftly to any anomalies in the grid’s operation.

The implementation of tasks under the signed agreements will enable the roll-out of so-called smart grid functionalities, such as real-time load monitoring and visualisation, or the control of active and reactive power flow. Additionally, investments in distribution networks support the development of local energy markets, including prosumers and energy clusters. They provide the infrastructure for citizens to play an active role in the energy transition. The expansion of the network ensures the capacity to serve new customers and accommodate increased connection capacities.