Record biogas financing in Poland: PLN 376 million for Galia Green Power

A consortium made up of PKO Bank Polski, Bank Gospodarstwa Krajowego and mBank will provide Galia Green Power with financing of PLN 376 million, which according to the announcement may be increased by a further PLN 225 million. The agreement was announced on 27 August 2026. The financing period is 18 years, and the first funds are to reach the company in the current quarter. The media called it a record in the Polish biogas sector.

Structure and purpose

The funds are to finance the acquisition of biogas plants and the development of projects: the expansion of existing installations and the construction of new biomethane plants. The financing model allows further biogas projects to be added if they meet specified technological and environmental criteria. Galia Green Power entered the Polish market in September 2024. It currently has three biogas plants – in Michałów, Drzonów and Iłówiec Wielki. The newest, in Michałów, it acquired on 24 July 2026: it operates in cogeneration with a total capacity of 1.2 MW and supplies heat to residents, a clinic, schools and a swimming pool. The company's strategic goal is 25 biomethane installations by 2032.

Representatives of the banks (BGK – director of regional project financing, mBank – director of structured finance) stressed the importance of the sector. Market context from May 2026: in Poland 440 biogas plants operate, including 209 agricultural ones; 203 of them operate in cogeneration; the most are in Greater Poland (35), the fewest in Lesser Poland (1), and according to the Podlaskie deputy voivode Michał Gąsowski there are more than a million dairy cattle in the Podlaskie voivodeship (a figure from an interview), which is a potential feedstock base.

Why it matters

The value of the financing and the 18-year period are a signal that banks are beginning to treat biogas as a long-term asset. As recently as January 2026 BGK indicated that biogas and biomethane are among the least bankable investments in energy; within a few months the market moved forward thanks to consortium structures, guarantees and the expected auction system. The "acquire and develop" model – buying operating biogas plants with substrate contracts and a heat offtaker, and then converting them into biomethane plants – shortens the investment time.

Significance for the industry in Poland

For owners of small biogas plants this means a growing secondary market, and for municipalities and heat consumers – new, professional operators. The Michałów example shows the value of local heat: the installation supplies public institutions, which improves social acceptance. For public programmes, commercial financing shows that grants (FEnIKS, the Modernisation Fund) are supplemented by bank credit.

It is important that the target of 25 installations by 2032 assumes a close link to regulations: without auctions and connections to the gas grid, the development of conversions into biomethane plants would be difficult.

What to watch

The announcement does not give how many biogas plants or megawatts the first tranche covers, or the interest rate conditions. The value of PLN 225 million is an option for an increase, not a commitment. Risk assessment requires checking the substrate contracts and the revenue model after changes in support.