The effects of the National Recovery Plan will be felt by every citizen. These will include investments and reforms to help effectively address demographic challenges and climate changes, and which enable Poles to participate in the creation and use of new technologies and digital solutions,

said the Minister of Development Funds and Regional Policy Grzegorz Puda.

Closing of negotiations regarding the National Recovery Plan is a success. We have come to an agreement on all issues that were discussed with the European Commission. The College of Commissioners agreed yesterday to refer the plan to the EU Council. The investments and reforms that we will implement thanks to NRP money will strengthen the Polish economy, increase its productivity and provide high-quality jobs,

stressed Waldemar Buda, the Minister of Economic Development and Technology.

The year 2020 has brought big changes in the picture of the world we live in. The COVID-19 pandemic has caused a slowdown in European economies, a significant crisis in many industries, and a change in the lifestyles and work of a huge number of Europeans. The European Commission's efforts to mitigate the effects of the pandemic have focused on developing an appropriate legal basis for the creation of the Recovery and Resilience Facility. The funds collected in it are intended to help all EU countries overcome the crisis that has affected them to varying degrees. Each EU country has developed its own Recovery and Resilience Plan, including the necessary reforms to be carried out and the investments expected to be made.

Poland has also prepared such a document. The non-refundable funds negotiated in Brussels, amounting to PLN 106.9 billion and PLN 51.6 billion of preferential lending, will be invested as strictly defined in the National Recovery and Resilience Plan.

The NRP consists of six components, including five thematic ones:

• A. Resilience and competitiveness of the economy
• B. Green energy and reducing energy intensity
• C. Digital transformation
• D. Efficiency, accessibility and quality of the health care system
• E. Green, smart mobility

and one institutional:

• F. Improving the quality of institutions and conditions for implementing the National Recovery and Resilience Plan.

Support under the NRP focuses on interventions that will contribute to economic stimulation, investment, economic growth and employment. Activities aimed at entrepreneurs, public institutions and other socio-economic entities will be implemented. Each component will also include measures for territorial cohesion - depending on the problems identified - targeting rural areas, cities, or areas particularly affected by pandemics, where there is an accumulation of socio-economic problems.

We will continue to reform the business law to further reduce the regulatory and administrative burdens affecting businesses. The effect of adopting the so-called "legal shield" will be to speed up the issuance of decisions and to remove barriers to business development. The legal shield will reduce excessive bureaucracy, make it easier for companies to invest and diversify their operations, and will promote post-pandemic economic development.

The NRP will also fund new places in nurseries and children's clubs. There will be a single coherent system for establishing and supporting childcare institutions for children up to the age of 3. The reform will improve the situation of parents on the labor market.

The NRP funds will make it possible to replace even more heat sources to improve the quality of the air we breathe.

With the support of the Recovery Fund under the NRP, we will connect at least 931 thousand households to internet of a speed of at least 100 Mbps.

We will level digital inequalities in access to education. Portable computers with the necessary software for teachers' use will be provided to schools. This will ensure that children, even those from the smallest towns in our country, will have equal access to digital education.

Thanks to the health care reform, new equipment will be purchased in 300 hospitals and the infrastructure will be improved in 280 hospitals.

Significant funds have been planned for improving rail travel conditions. We will also improve traffic safety by, among others, reconstructing dangerous places, building road bypasses and installing automatic recording devices.

Poland's National Recovery and Resilience Plan

The year 2020 has brought huge changes in the picture of the world we live in. The COVID-19 pandemic has caused a slowdown in European economies, a significant crisis in many industries, and a change in the lifestyles and work of a huge number of Europeans. The European Commission's efforts to mitigate the effects of the pandemic have focused on developing an appropriate legal basis for the creation of the Recovery and Resilience Facility. The funds collected in it are intended to help all EU countries overcome the crisis that has affected them to varying degrees. Each EU country has developed its own Recovery and Resilience Plan, including the necessary reforms to be carried out and the investments expected to be made.

Poland has also prepared such a document. The non-refundable funds negotiated in Brussels, amounting to PLN 106.9 billion and PLN 51.6 billion of preferential lending, will be invested as strictly defined in the National Recovery and Resilience Plan. The Ministry of Development Funds and Regional Policy will coordinate the cooperation of more than a dozen ministries in the process of preparing and implementing 48 reforms and 115 related milestones, as well as 54 investments and 168 related indicators.

The reforms and investments planned in the NRP are aimed not so much at restoring the economy to its pre-COVID-19 pandemic state, but at shifting it to a new track of development so that we, as a country, can face demographic challenges and climate changes, participate in the creation and use of new technologies, and take advantage of the benefits of digitalization. The impact of the implementation of the NRP will be felt by every citizen.

The NRP implements the 2019 and 2020 recommendations of the EU Council for Poland. The recommendations regarding the need for environmental and digital transformation have been particularly strong. Projects implementing climate goals will account for 42.7% of the value of the NRP. The second key area of reform is digital transformation, for which we will allocate 20.85% of the NRP funds.

The projects included in the NRP are grouped into six thematic components:

A. Resilience and competitiveness of the economy

The budget for the grant part is PLN 20 billion, the loan part is PLN 1.1 billion; the responsible ministries are: Ministry of Economic Development and Technology, Ministry of Agriculture and Rural Development, Ministry of State Assets, Ministry of Infrastructure, Ministry of Education and Science, Ministry of Culture and National Heritage, Ministry of Defense, Ministry of Family and Social Policy, Ministry of Development Funds and Regional Policy.

Selected reforms and investments

We will continue to reform the business law to further reduce the regulatory and administrative burdens affecting businesses. The effect of adopting the so-called "legal shield" will be to remove barriers hindering entrepreneurship and speed up the issuance of decisions. The legal shield will reduce excessive bureaucracy, make it easier for companies to invest and diversify their operations, and will promote post-pandemic economic development.

We are allocating PLN 1.3 billion to prepare investment sites for key investments in the economy. This will involve the consolidation of land, the settlement of technical and legal issues, the connecting of the necessary infrastructure (water, gas, energy) and the construction of production and storage areas for industrial or service purposes. This will benefit individual regions, and within them, among others, medium-sized cities in need of investment that are losing their socio-economic functions, along with their surrounding municipalities.

Investment in the implementation of environmental technologies and innovations, including those related to the closed-loop economy with a budget of PLN 0.7 billion will contribute to reducing the pressure of human activity on the environment, without impeding economic development. The transformation of small and medium-sized enterprises to a closed-loop economy means the use of green technologies, increased productivity, the creation of quality jobs, increased use of secondary raw materials and energy savings (reduced energy intensity).

There will be a single coherent system for establishing and supporting childcare institutions for children up to the age of 3. The reform improves the situation of parents in the labor market by increasing the number of nursery places, as well as their affordability and quality of care. The reform-related investment of PLN 1.7 billion will finance the creation of 47.5 thousand of new child care places for children under 3.

Total main effects of investments

• 4.2 hectares of investment land,
• support for companies and employees,
• 47.5 thousand places in nurseries and children's clubs,
• new products and services.

B. Green energy and reducing energy intensity

The budget for the grant part is PLN 25.5 billion, the loan part is PLN 36.7 billion; the responsible ministries are: Ministry of Climate and Environment, Ministry of Infrastructure, Ministry of State Assets, Ministry of Culture and National Heritage, Ministry of Economic Development and Technology, Ministry of Agriculture and Rural Development, Ministry of Development Funds and Regional Policy.

Selected reforms and investments

Amendments to the Law on Energy Efficiency, reform of the housing financing system, and an update of the National Air Protection Program will increase the effectiveness of the activities carried out so far to improve air quality in Poland.

The governmental Clean Air Program launched in 2018 initiated the elimination of so-called „black-smoke-belching stoves" and the replacement of heat sources with environmentally friendly solutions. Thanks to the NRP funds of PLN 14.3 billion, it will be possible to replace even more heat sources that negatively affect air quality. The measure includes:

• replacement of inefficient sources for heating of premises and usable warm water preparation;
• thermal modernization of residential buildings;
• installation of photovoltaic panels and solar panels.

We will allocate PLN 1.3 billion for the replacement of heat sources and energy thermal modernization along with the application of modern installation solutions for educational buildings. Another PLN 0.3 billion will be spent on comprehensive energy upgrades to libraries and community centers across the country.

Thanks to the NRP, offshore wind farms in the Baltic Sea could become the foundation of the Polish energy industry. The Law on Promoting Electricity Generation in Offshore Wind Farms already went into effect in February 2021.

The nearly PLN 15.6 billion reserved for this purpose in NRP funding clearly shows the scale of the undertaking. Planned to be operational by 2026, the 1,500 MW of power generated will be the largest source of renewable energy in Poland

Total main effects of investments

• 33.9 thousand of new connections in terms of water supply infrastructure,
• construction of offshore wind farms with a capacity of 1,500 MW,
• replacement of 791.2 heat sources in one-family buildings,
• energy modernization of 332 buildings of educational institutions,
• modernization or construction of 320 km of electricity grid,
• 2.5 million hectares of agricultural and forest land that will benefit from improved water retention.

C. Digital transformation

The budget for the grant part is PLN 12.5 billion, the loan part is PLN 9.4 billion; the responsible ministries are: The Chancellery of the Prime Minister, Ministry of the Interior and Administration, Ministry of Education and Science, Ministry of Finance.

Selected reforms and investments

We will increase the scale of digital applications in the public sphere, economy and society. We will be launching new public e-services, public data platforms and information systems. We will also simultaneously improve the digital competence of citizens. This will be served by the adoption of the Digital Competence Development Program defining the management of the development of digital competence and education, as well as by support for the digital competence of citizens and employees in various sectors of the economy in the perspective until 2030. We plan to train 380 thousands people.

The security of information systems will be increased, and data processing infrastructure will be strengthened as a result of the amendment of the Law of 5 July 2018 on the National Cyber Security System. This will allow, among other things, the establishment of a network of sectoral computer security incident response teams and the strengthening of mechanisms for cooperation between the government and local government units in responding to security incidents.

We aim to have broadband Internet access in every place in our country. This will be ensured by investing in an Internet connection of a speed of at least 100 Mbps (with the possibility of upgrading to gigabit speeds) to at least 931 thousand households located in so-called "blank spot" areas.

We will also level out digital inequalities in access to education. Portable computers with the necessary software will be delivered to schools for use by teachers and students.

Total main effects of investments

• 931 thousand households with high-speed Internet access,
• Portable computers with the necessary software delivered to schools for use by teachers and students.
• 380 thousand people trained in digital competence,
• 65 modern public e-services,
• 4.2 thousand 5G base stations deployed in rural areas.

D. Efficiency, accessibility and quality of the health care system

The budget for the grant part is PLN 18.3 billion, and the loan part is PLN 1.23 billion; the responsible ministries are the Ministry of Health and the Ministry of Economic Development and Technology.

Selected reforms and investments

Health care reform is a complicated and complex process involving many legislative acts. The changes in hospital operations as well as improvements in primary health care are planned. With the implementation of the reforms, it will be possible to launch investments of PLN 9.5 billion to support the infrastructure of health care entities. The funds will enable, among others, reconstruction, expansion and modernization of hospitals and spas. This facilities will also receive state-of-the-art medical equipment and apparatus to improve the quality of patient treatment.

Health care reform also requires digital transformation. The COVID-19 pandemic has raised awareness of the importance of developing an e-health system. The amount of PLN 4.5 billion will be used, among other things, to digitize medical records taking into account data security. Health care infrastructure becomes useless without properly qualified medical staff. In order to increase the number of health care workers, the reform included in the NRP provides for the introduction of a system of incentives for medical students in such fields as medicine, emergency medical services, nursing, and physiotherapy. It should not be forgotten that it is essential to provide the right conditions for learning. To this end, we will modernize teaching facilities, for example through the creation of medical simulation centers, but also through improvement of the infrastructure of libraries and student dormitories. As much as PLN 3.2 billion will be allocated for this purpose.

Total main effects of investments

• new equipment for 300 hospitals,
• works will be carried out in 280 hospitals to improve the condition of their infrastructure,
• renovation, modernization or retrofitting at 212 health sciences teaching facilities,
• financial support for 80 research projects,
• financial or mentoring support for 25.4 thousand health science students.

E. Green, smart mobility

The budget for the grant part is PLN 30.6 billion, the loan part is PLN 3.1 billion; the responsible ministries are: Ministry of Infrastructure and Ministry of Climate and Environment.

Selected reforms and investments

Reducing environmental pollution is not only a matter of replacing heat sources, but also of replacing outdated transportation fleets. A number of new regulations that make up the reform will help increase the share of alternative fuels. The amendment to the law on electromobility will increase the share of green vehicles in public procurement and introduce a statutory obligation for cities to replace buses with electric and hydrogen ones.

We will combine this measure with improving communications in all regions. The planned activities include the purchase of modern rolling stock, electric, hydrogen and gas-powered buses, as well as the construction of bicycle paths and safe pedestrian routes. It is also a broad-based effort to popularize electric cars.

Increasing the share of zero- and low-emission transport, counteracting and reducing the negative environmental impact of transport will also be possible by making it mandatory to create clean transport zones in cities with a population of more than 100 thousand.

Significant funds have been planned for improving rail travel conditions in both regional and inter-regional transportation. The purchase of more than 100 modern units for PKP Intercity and regional operators will be possible from the grant part, and another 75 units (modernized or new) will be possible from the loan part. The total amount of support is nearly PLN 6.6 billion.

We will also improve traffic safety by, among others, reconstructing 305 dangerous places, building 90 km of road bypasses and installing automatic recording devices. The purpose of this investment, valued at PLN 3.1 billion, is to increase the level of traffic safety, especially for its vulnerable participants, as well as to eliminate transit traffic from areas with dense residential development.

Total main effects of investments

• purchase of 1,738 eco-friendly buses for urban and non-urban transportation,
• repairs to 478 km of railroad lines,
• construction of 90 km of bypasses,
• purchase of 110 trams,
• upgrading of 305 dangerous places (black spots).

F. Improving the quality of institutions and conditions for implementing the National Recovery and Resilience Plan.

There are only reforms and no investments in this component; the responsible ministries are: Ministry of Development Funds and Regional Policy and the Chancellery of the Prime Minister.

The reforms identified in this component will contribute to:

• improving the quality of lawmaking by strengthening consultations with social partners in the lawmaking process, increasing the use of regulatory impact assessments and reducing the use of the fast-track procedure in the lawmaking process;
• involvement of social and economic partners and NGOs in the implementation of NRP reforms and investments within the Monitoring Committee;
• preparation of a national information system that works with the EC's Arachne system to implement effective control and audit activities.

The relevant ministries are responsible for individual NRP reforms and investments. Among other things, they are the ones who: define the criteria for selecting projects, model documents and directly or with the help of so-called support units transfer support to the final recipients.

The ministries will provide information about the ongoing activities through their websites. They will be responsible for communicating with potential project originators and for informing the public.

The Ministry of Development Funds and Regional Policy is coordinating the implementation of the NRP, and among other things will report to the EC on the NRP and submit payment applications.