Lublin utility wins nearly PLN 40m from KPO
Lublin water utility funding secured nearly PLN 40m from the KPO to upgrade water and sewer networks and boost environmental safety.
Lublin’s municipal water company has secured nearly PLN 40 million from Poland’s Recovery Plan today. The Lublin water utility funding will upgrade local water and sewer networks and deliver long-term, low-cost finance.
Lublin water utility funding: what was financed
The deal is the fifth agreement between the company and Bank Gospodarstwa Krajowego. Moreover, the latest contract covers work on Bliska, Skowronkowa, Węglarza and Lubelski Lipca ’80 streets. In addition, contractors built about 4.17 km of water mains and almost 3.7 km of sanitary sewers. Therefore, the company obtained over PLN 10.5 million as a preferential loan from the Recovery Plan. The loan finances up to 100 percent of net investment costs. Furthermore, it carries a very low interest rate of 1 percent per year. The repayment term extends to 20 years.
Projects, scope and prior investments
MPWiK in Lublin has already used Recovery Plan funds for four earlier projects. For example, it funded sludge sanitisation silos at the Hajdów wastewater plant. Moreover, it rebuilt the liquid waste collection point on Azaliowa Street. In addition, it installed photovoltaic systems with energy storage at pumping stations. Consequently, it modernised water tanks at the Zemborzycka station. The total KPO financing for these initiatives is about PLN 40 million. However, the company has also secured wider EU support over many years. To date, MPWiK has completed projects worth nearly PLN 740 million. Therefore, it has obtained more than PLN 351 million in grants.
Why this matters for residents and expats
The upgrades will improve drinking water reliability. Furthermore, they will reduce the risk of leaks and contamination. Consequently, the city will expand sewer connections to previously unserved areas. In addition, the investments support public health and environmental protection. The company points out that better sanitation aligns with EU rules on municipal wastewater treatment. Moreover, cheaper financing frees local budgets for other services.
Upcoming works and regional funding context
MPWiK also announced a new phase of sewer expansion funded by the FEnIKS programme. The next project will build over 3.1 km of sanitary sewers. Therefore, around 390 households will gain the option to connect to the network. The project costs about PLN 7.8 million. In addition, 69 percent of that sum comes from FEnIKS co-financing. The company plans completion by 31 March 2028. Furthermore, regional Bank Gospodarstwa Krajowego director Marcin Wiczuk says the province received PLN 210 million for 60 projects. Consequently, Lublin’s utility stands out as the top regional beneficiary.
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