Norwegian Funds – support for hydro and geothermal power plants

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The National Fund for Environmental Protection and Water Management has announced two successive calls for proposals from the European Economic Area Financial Mechanism (EEA FM) 2014-2021 in the program area: “Renewable Energy, Energy Efficiency, Energy Security”. Over 44 PLN million (EUR 10 million) was allocated to co-finance small hydropower plants (up to 2 MW) and construction of geothermal heat sources. Applications will be accepted from 1 July to 30 October 2020.

The main purpose of recruitment is: increasing the production of energy from renewable sources, its efficiency, reducing the potentially adverse impact on the environment of existing small hydropower plants to 2 MW by modernizing them, building energy production systems using deep geothermal energy, using the energy obtained for heating purposes or energy and reduction of CO2 emissions. In addition, projects at small hydropower plant should be accompanied by educational activities – training of experts in the field of hydropower.

The total amount of funds allocated to two calls is over PLN 44 million, including almost PLN 13 million for enterprises and PGW Wody Polskie for projects in the field of small hydropower plants and over PLN 31 million for enterprises and local government units for the construction of heat sources using geothermal energy (deep geothermal energy). The implementation of such projects will significantly contribute to the introduction of technological and infrastructural changes into already existing heating systems. Construction of a new heating infrastructure, modernization of equipment and installations for energy production, or adaptation of small hydropower plants to applicable standards regarding, among others aquatic ecosystems will have a real impact on improving the environment.

National Fund for Environmental Protection and Water Management on March 13 this year announced 8 other calls for proposals under the Financial Mechanism of the European Economic Area (EEA FM) 2014-2020, covering three thematic areas:

  • “Environment and ecosystems”,
  • “Mitigation of climate change and adaptation to its effects”,
  • “Renewable energy, energy efficiency, energy security.”

Funds allocated to the above areas are over PLN 580 million from subsidies. In addition, NFOŚiGW will provide PLN 500 million for loan co-financing of projects in the field of energy. The dates of individual calls were extended by two months due to the coronavirus pandemic. Poland with the allocation of EUR 809.3 million, as in previous years, remains the largest beneficiary of Norwegian Funds.

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