The Council of Ministers has approved a draft amendment to the Act on the Functioning of Hard Coal Mining. The legislation is designed to align Polish law with the realities of the energy transition while safeguarding the interests of workers and local communities. The new framework will allow mining companies to independently decommission coal mines, gradually limit state subsidies for ongoing operations, and introduce a package of protective benefits for employees exiting the sector.
“This amendment is a concrete response to the challenges of the energy transition — and real support for thousands of miners. We want the transformation to proceed responsibly, with respect for local communities,” said Minister of Energy Miłosz Motyka. He added that post-mining areas hold strong potential to become the foundation for new investments and sources of employment.
What does the amendment introduce?
The draft legislation includes several key measures:
- Mining companies will be allowed to independently close mines, with financial support from the state.
- A social protection package — including mining and processing leave entitlements and one-time severance payments for departing workers.
- A gradual reduction of operating subsidies used to maintain coal production capacity.
- The possibility to transfer post-mining land as a donation for public, investment or revitalisation purposes.
Crucially, social protection measures will not be limited only to the largest state-owned companies (PGG, PKW, Węglokoks Kraj). The amendment foresees the potential inclusion of JSW and LW Bogdanka, should a decision be made to bring them under the same mechanism.
How will post-mining land be used?
The new regulations open up broad opportunities for the redevelopment of assets belonging to decommissioned mines. Property may be transferred to municipalities or state institutions — on the condition it is used for public or economic purposes.
Eligible uses include:
- Industrial and commercial investments
- Construction or modernisation of infrastructure
- Revitalisation and regional development projects
- Maintenance of mine dewatering and safety systems
Local governments will be allowed to transfer the land to other entities — provided the designated purpose is preserved and EU state aid rules are respected.
Phasing out coal — but in a controlled and socially responsible way
The amendment is in line with the 2021 Social Agreement, which envisions the gradual phase-out of thermal coal mining while ensuring socioeconomic stability in coal regions. The government stresses this is not about abrupt shutdowns, but a predictable and socially acceptable transition.
The legislation is expected to come into force before the next stage of talks with the European Commission on public aid notification for the mining sector.
