National Funding in Hungary

In general, local governments in Hungary do not launch financing programmes due to the lack of their financial – and often also human – capacities. However, there are some exemptions mainly at municipalities with a higher income level, that is a result of the local industrial tax of larger local companies with seats in the settlement.

The Future Energy Regional Development Foundation (JETA) at Paks is a good example from Tolna County, which is supported by MVM Group, the state-owned dominant electricity wholesale trader in Hungary. MVM operates Hungary’s only nuclear power plant (2000 MW installed capacity) at Paks. The power plant has been engaged in a broader range of environmental support activities for decades. This includes municipal and regional development, as well as assisting the work of various information or multi-purpose municipal associations, as well as health, education, cultural, ecclesiastical and sports support, and NGOs.

The affected geographical area consists of 47 settlements comprising Kalocsa, Paks and Tolna districts and the northern part of Szekszárd district. MVM Paks Nuclear Power Plant Ltd. provided the Foundation with a grant of 500 million HUF annually, as stated in the Articles of Association, but this commitment was terminated in 2014. In 2015 and 2016, the Foundation successfully applied to the Prime Minister's Office for the distribution of regional development subsidies in the beneficiary settlements through a tendering system. In order to carry out this activity, the Foundation received 750 million HUF in 2015 and 1 billion HUF in 2016. The beneficiaries of the grants may be the local governments of the settlements concerned, their associations and institutions operating in their administrative territory.

Eligible settlements: Bátya, Drágszél, Dunapataj, Dunaszentbenedek, Dunatetétlen, Dusnok, Fajsz, Foktő, Géderlak, Hajós, Harta, Homokmégy, Kalocsa, Miske, Ordas, Öregcsertő, Solt, Szakmár, Uszód, Újtelek, Újsolt, Bikács, Bölcske, Dunaföldvár, Dunaszentgyörgy, Gerjen, Györköny, Kajdacs, Madocsa, Nagydorog, Németkér, Paks, Pálfa, Pusztahencse, Sárszentlőrinc Tengelic, Harc, Kistormás, Kölesd, Medina, Sióagárd, Szedres, Szekszárd, Bogyiszló, Fadd, Fácánkert, and Tolna.