There's no plans. We can't avoid investment paralysis?

legalis.pl 2 weeks ago

The Ministry of improvement and Technology keeps monitoring the state of play on general plans in municipalities. The latest data shows that only 30% of municipalities have a general plan.

“These municipalities have the best chance to pass general plans within the time limit, unless they are repealed by the voivode”, said Deputy Minister of improvement Michał Jaros at the gathering of the Parliamentary Committee on Infrastructure.

The Minister's reservation is justified due to the fact that so far only 2 municipalities (Pyskowice and Chojnów) managed to adopt the general plan for almost 2500. And the Pyskowim at the second approach, due to the fact that the first plan was cancelled by the voivode. The same destiny was met by plans made by 3 another municipalities.

What does that mean for investors?

– The absence of a general plan after the end of the survey of conditions and directions of spatial planning will consequence in the municipality not being able to make decisions on the conditions of construction or adopt local plans, including Integrated Investment Plans. If, in fact, according to the Ministry's respect, only 30% of municipalities will adopt general plans on time, then in 7 months we are in danger of a planning hole, or paralysis for fresh projects that investors would like to implement after 30 June 2026. – Maciej Górski, attorney, GPL Real property Law Office.

No plans, he'll have another one, according to mecs. The mountainous, painful consequence is the increase in land prices, which will have valid decisions on the conditions of construction or will be located in the area where the local improvement plan applies. Large investors are aware of this and are trying to ensure, for example, in the case of the IFI procedure, that the deficiency of a local plan does not prevent the adoption of the IFI. The preparation of the ZPI is simply a serious undertaking which is worked on for months, so it is besides expensive. That's why. That's why there's a race against time to keep this occupation and money from being thrown out.

“This must translate into investment costs and real property prices,” adds the expert.

Michał Leszczyński, manager of the legal department in the Polish Association of Developers, points out the akin consequences of hold in preparing general plans.

“This means primarily the hazard of decision-making congestion in municipalities. As of 1 July 2026, the general plan will become the basis for the adoption of local plans and the decision on building conditions. If it does not enter into force, local governments may have limited opportunities to undertake fresh investments, both public and private. This could translate into slowing down the supply of housing and expanding investment uncertainty," says Michał Leszczyński.

Paralysis spectrum dead

“The cities of the Union of Polish Metropolitan Islands are informing that the process of adopting general plans is present burdened with barriers that may lead to planning paralysis. Local governments pay attention to imprecise rules that leave a wide scope of interpretations, which threatens to invalidate plans already at the supervisory phase – even due to insignificant procedural errors. It is besides a dense burden on the fines for the in-term decision-making of the building conditions, which in practice consequence from an overburdening of the avalanche offices of the number of these applications," says Karolina Kopyra, coordinator of the UMP Urban Studies, Infrastructure, Transport and Housing Commission.

The UMP stresses that under the current form of procedures, the hazard of non-compliance with the statutory deadlines is real, and any specified situation threatens with investment chaos in the largest centres of the country. The Union demands urgent improvement of the rules.

How to avoid blocking investments?

The work to adopt general plans was introduced by the erstwhile government in September 2023, but implementing rules were issued in 2024. Originally the municipalities had time to adopt general plans by the end of this year. The current ruling squad extended this deadline until the end of June 2026. Another extension is the problem, due to the fact that the government of Mateusz Morawiecki made a planning improvement 1 of the milestones of KPO and if by mid next year 80 percent of the communes will have no general plans, the money for the municipalities will be lost to make them.

– From the very beginning it was known that the deadline for the adoption of the general plans was unrealistic. This is simply a hard process and should be spread out into three, and optimally for 4 years. besides due to limited staff. What we can do to aid is what we do. We organize training. The revision of the planning bill, facilitating the adoption of general plans, awaits the signature of the President," said Minister Jaros.

However, the municipalities are waiting for an extension of the deadline for the adoption of plans.

"We are constantly seeking this, although we are aware that it depends on the European Commission. possibly we can find another solution. For example, to extend the survey of conditionality and planning, which under the current regulations expires with the date of entry into force of the general plans. uncovering a solution that will give us more time is more crucial than money from the KPO to make plans, due to the fact that the economical consequences of bad planning are improbable – says Marek Wójcik, an expert on government of the Union of Polish Cities.

Mr Piotr Uściński (PiS) and the erstwhile Deputy Minister of improvement propose that investment paralysis be addressed by extending the anticipation of issuing decisions on the basis of existing principles:

“We know that they have their bad side, but they have helped carry out investments over the years erstwhile the municipalities failed to fulfil their obligations imposed in 2003 and did not adopt local plans. Now we besides have a situation where the municipalities have failed. And the state cannot see that it is hard for the authorities to cope, so we punish all possible investors," said Mr Usciński on the infrastructure committee.

According to the head of this committee, Mirosław Suchonia (Poland 2050), the neglect of municipalities in the area of spatial planning is so large that their authorities can only be mobilised to act by imposing severe consequences for failure to meet deadlines.

Government seeks a solution

The government is talking to the EC. present it is not known whether and what concessions it is ready for.

– I will not answer the question present whether the deadline for the adoption of plans will be extended. Any declaration may inhibit the municipalities in their adoption. We will look at the situation at the beginning of the year, and possibly then we will make decisions – says Minister Jaros.

– From an investor position it is crucial to guarantee continuity of the planning process and predictability of the rules. We so welcome the efforts of the government to safe the most urgent investments of the public mark and the declaration by the Ministry of improvement and Technology to find solutions to avoid the “planatic gap”, says Michał Leszczyński.

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