Highlights

• Poland is pushing for changes to the ETS, calling for, among other things, the ETS2 to remain voluntary until 2030, an increase in the number of free allowances for industry, as well as safeguards for sectors covered by the CBAM, support for the heating sector, and anti-speculation mechanisms.
• The ETS and the Modernisation Fund are directly linked – the Fund’s resources come from CO₂ emission allowances under the ETS, meaning that money from the high-emission sector is returned to the economy in the form of investment in clean energy and modernisation.
• The Modernisation Fund is a key financial instrument for transformation, designed for countries such as Poland that require greater investment support.
• Poland is the largest beneficiary of the Modernisation Fund; on 12 March 2026, the EIB approved another five programmes submitted by Poland, with a total value of PLN 5.5 billion.
• These funds will be allocated to the modernisation of educational establishments and hospitals, support for multi-family housing in rural areas, the development of domestic energy storage systems, and the construction of heat storage facilities within district heating systems
• To date, 32 programmes with a total budget of PLN 53.5 billion have been approved under the Modernisation Fund.
• PLN 18.7 billion has already been paid out, and the National Fund for Environmental Protection and Water Management (NFOŚiGW) has signed over 70,000 contracts, providing beneficiaries with PLN 2.6 billion for the modernisation of Poland’s energy sector.

The Modernisation Fund is a key source of funding for major projects in our country. The total budget for the programmes approved for Poland to date is PLN 53.5 billion, of which over PLN 30 billion has been secured over the last two years. These are highly effective programmes that are hugely popular and are making a real difference in Poland – they reduce pollution, improve energy efficiency and accelerate the decarbonisation of the Polish economy and buildings 

- said Paulina Hennig-Kloska, Minister for Climate and the Environment, during a press conference.

More billions for Poland

Thanks to the Modernisation Fund, Poland is implementing a broad energy modernization program - from the thermal modernization of buildings, through the development of renewable energy sources, to the modernisation of networks and heating systems. We are the largest beneficiary of this instrument, which reflects the scale of our needs and the pace of our investment programme.

On March 12, 2026, the European Investment Bank approved a further five programmes submitted by Poland under the 11th call for proposals, with a total value of PLN 5.5 billion. The new projects will strengthen district heating networks, expand renewable energy sources and improve air quality. These are investments that will directly lead to lower energy costs and greater energy security for the public.

The Modernisation Fund enables the financing of projects that many people and local authorities would not be prepared to undertake on their own today. We are therefore allocating:

• PLN 2 billion for the modernisation of schools and nurseries – to improve energy efficiency, learning conditions and air quality, using renewable energy sources.
• PLN 1 billion for energy efficiency upgrades in hospitals – ranging from thermal insulation to renewable energy installations and energy storage facilities – which will reduce the running costs of these facilities.
• PLN 0.5 billion (PLN 500 million) to support multi-family buildings in rural areas – thermal modernisation and replacement of heating systems – in order to reduce energy poverty.
• PLN 1 billion to subsidise domestic energy and heat storage systems – which increase self-consumption of energy from renewable sources and relieve pressure on the grid.
• PLN 1 billion for heat storage facilities in district heating systems – enhancing the flexibility and efficiency of the network and improving cities’ energy security.

Calls for applications for all five new programmes will be announced later this year.

Support to date

To date, Poland has received approval to implement 32 priority programmes across eleven tranches of the Modernisation Fund. These cover key areas of the transformation: renewable energy, energy efficiency, electromobility, grid modernisation and the development of energy storage facilities. The programmes are aimed at industry, the heating sector, farmers and domestic customers.

The total budget for the approved programmes is PLN 53.5 billion, of which PLN 18.7 billion has already been disbursed and is effectively supporting the modernisation of Poland’s energy sector. The National Fund for Environmental Protection and Water Management has signed over 70,000 contracts, and beneficiaries have already received over PLN 2 billion.