Government Adopts Deregulation Projects and Local Tax Reform

The government announced the adoption of a broad deregulation package set to revolutionize the work of Polish administration. The main pillar of the reform is the expanded application of the institution of silent consent. This solution will allow citizens and entrepreneurs to proceed with their plans without waiting for a physical document from the office, which is expected to drastically shorten the duration of procedures in numerous areas of public life. According to government representatives, these changes put an end to months-long waits for decisions that have previously blocked investments and social initiatives. Simultaneously, the Council of Ministers adopted an amendment to the Tax Ordinance, addressing the long-standing problem of unpredictability in local taxes. Previously, individual interpretations issued by municipalities often differed from each other in identical factual situations. The new regulations stipulate the inclusion of all local government interpretations into the nationwide EUREKA database. This will give entrepreneurs access to a uniform and transparent collection of interpretations, minimizing the risk of court disputes concerning, among others, property tax. Attempts to deregulate the Polish administrative system have been made since the early 1990s, but their effectiveness has often been limited by structural barriers and bureaucratic resistance. The principle of silent consent, although present in the Code of Administrative Procedure since 2017, has not yet found as broad application as envisaged by the current project. In the energy sector, significant progress has been noted in financing the transition. The National Fund for Environmental Protection and Water Management (NFOŚiGW), with support from the European Investment Bank, will launch the ELENA program, with a budget of 288 million euros. These funds will be allocated for advisory and technical support for local governments in improving the energy efficiency of public utility buildings. At the same time, the Ministry of State Assets emphasized the importance of the local content strategy in the construction of offshore wind farms, which is intended to make Poland a European production hub for the offshore sector. „Local content to fundament naszej gospodarczej niezależności.” (Local content is the foundation of our economic independence.) — Wojciech Balczun Despite positive news from the investment sector, concerns are raised by data on the state of natural gas reserves in Poland, which have significantly depleted. This situation requires intensified monitoring of energy security, especially in the context of the planned transition towards gas-steam units by Grupa Azoty and Enea. Personnel changes at Grupa Azoty, where a new president has been appointed, are intended to stabilize the financial condition of the chemical giant in the face of market and raw material challenges.