On 23 October 2024, the bill amending the Act on Electromobility and Alternative Fuels and certain other acts was submitted before the lower house of the Polish Parliament. The proposed solutions are aimed at optimizing technological innovation and creating conditions conducive to the development and introduction of modern, environmentally friendly solutions in the transportation sector.

Aim of the Bill

The bill seeks to:

  • cut CO2 emissions by 2030 and improve air quality through reducing emissions of nitrogen oxides and particulate matter;
  • reduce traffic noise;
  • boost development of the Polish automotive industry related to electromobility (Poland produces zero-emission buses, batteries, electric vehicle engines, and accessories, and is also home to companies specializing in recharging infrastructure);
  • reduce Poland’s dependence on fossil fuels and increase security of supply of energy materials.

Proposed solutions

The bill proposes, among other measures, the establishment of mandatory clean transportation zones in cities with populations over 100,000 where NO2 emissions exceed permissible levels. Additionally, it mandates that in cities of such population, public transportation services be provided exclusively by zero-emission buses or trolleybuses and that contracts for such services be awarded only to entities operating these vehicles.

Moreover, the bill repeals the obligation for local government units of more than 50,000 residents to perform and contract public services with an adequate share of electric or natural gas-powered vehicles. It also provides for the abandonment of the threshold for the share of zero-emission or biomethane-powered buses in the fleet of vehicles in use, applied to provide or contract public transportation services within the local government unit.

Finally, the bill sets forth reporting obligations related to the use of electric vehicles in fleets of government bodies, as well as zero-emission and biomethane-powered buses in public transportation and provides an exemption for entities handling vehicles used for the transportation of the Minister of Defence from having to ensure an adequate share of electric vehicles in the authority's fleet.

Full text of the bill (in Polish) can be found at: Druk nr 751 - Sejm Rzeczypospolitej Polskiej

KPMG services

The proposed amendments are of major importance to the entire automotive industry, especially to its share related to electromobility.

KPMG supports companies investing in electromobility projects, in particular within the frames of the CEF facility (more information thereon can be found in KPMG’s Tax Alert - Calls for tenders under the Connecting Europe Facility (CEF) - KPMG Poland) and under a new priority aid scheme “Support of the construction and/or expansion of publicly available recharging stations for heavy duty transport” managed by the National Fund for Environmental Protection and Water Management (more information thereon can be found in KPMG’s Tax Alert - Consultation on the new priority aid scheme of the National Fund for Environmental Protection and Water Management - KPMG Poland).

Our KPMG Team remains at your disposal for any further information you might require.

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