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Slovakia: Wind of Change for Renewable Energy? New Legislative Package Gives Hope to Investors

Issue 12.6
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Slovakia is known as many things, but a leader in renewable energy is not one of them. Given the prominent role of nuclear energy in its energy mix, this is unlikely to change. Nevertheless, the situation in the renewable energy sector is expected to improve in the coming years – and the ministries seem determined to make it happen. As outlined in its Integrated National Energy and Climate Plan, the government intends to, for example, install wind energy plants with a total capacity of 750 megawatts by 2030 – a significant increase compared to the current state.

Ambitious plans require equally ambitious implementation measures. The year 2025 marks the introduction of a legislative package aimed, among other things, at promoting renewable energy and streamlining related processes. These expected legislative changes are largely driven by EU legislation, such as the Renewable Energy Directive (RED III).

Key changes include:

Renewable energy as an “overriding public interest:” As required by RED III, this concept will be defined in the Renewable Energy Act and implemented primarily through the Environmental Impact Assessment Act (EIA Act). Authorities are already aware of the transformative potential of this concept, and it is likely to be incorporated into other relevant laws and procedures. In one way or another, the notion of overriding public interest is expected to play a significant role in accelerating permitting procedures in the renewable energy sector. The legislative proposal, which is to be discussed and approved by the Parliament in the second half of 2025, defines the activity in overriding public interest as planning, construction, and operation of facilities using renewable energy and their connection to the grid system. The definition also covers related infrastructure, including heat distribution facilities, electricity storage facilities, and gas storage tanks.

Streamlined permitting procedures: Proposed amendments to the EIA Act and the Integrated Prevention and Pollution Control Act introduce a unified permitting process for renewable energy projects (excluding hydropower), merging environmental impact assessments with building procedures. The goal is to create a single procedure and single permit for renewable energy projects issued by the Slovak Inspectorate of Environment. Long desired by investors, this process has the potential to eliminate endless appeals and fragmented procedures. If implemented correctly, a dedicated and well-staffed department at the inspectorate could become an effective one-stop-shop and contact point for investors for procedures commencing after July 1, 2026. The whole permitting process should then take only six months from application.

Contracts-for-difference support scheme: The proposed amendment to the Renewable Energy Act introduces, among other things, the promising concept of contracts for difference – a support mechanism not used in Slovakia yet. If adopted, it would significantly benefit investors in wind, solar, geothermal, and hydropower projects (excluding pumped-storage plants). Given the capital-intensive nature of large-scale projects, state-guaranteed protection against price volatility could be an attractive option for investors seeking long-term price stability rather than risky gains on a volatile electricity market. The Ministry of Economy will be responsible for organizing auctions, setting participation conditions, and evaluating offers. If adopted as proposed, installations with a total capacity exceeding 11 kilowatts will be eligible for support after July 17, 2027. Similar mechanisms are also planned for nuclear energy.

Improved transparency: In addition to predictability, transparency is a key feature of an investor-friendly environment. The proposed amendment to the Energy Act includes an obligation for distribution system operators to publish monthly data on accepted and rejected connection requests, available capacity, and other relevant information. This measure aims to enhance transparency and improve predictability during the planning phase.

We have highlighted the most relevant proposals to showcase the potential of this legislative package. As uncertainty is a part of life, it remains to be seen whether the ministries will make further changes based on feedback received during the legislative process. It is also uncertain whether MPs will propose and adopt additional amendments once the package reaches Parliament.

While predicting the future is always risky, we believe that the essential changes will be adopted, as they reflect and transpose relevant EU legislation. Once adopted and implemented, investors in the renewable energy sector will benefit from a more predictable and investor-friendly environment.

By Annamaria Tothova, Partner, and Marek Prityi, Associate, Eversheds Sutherland

This article was originally published in Issue 12.6 of the CEE Legal Matters Magazine. If you would like to receive a hard copy of the magazine, you can subscribe here.

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Eversheds Sutherland with offices in Bratislava and Prague and as part of an international network, provides comprehensive legal advice also in foreign jurisdictions.

Our team consists of a total of more than 40 lawyers in the Czech Republic and Slovakia, most of whom have previously worked at major international and local law firms and have extensive experience in particular in the areas of corporate law, including mergers and acquisitions, capital markets, real estate, employment law, competition law, litigation and arbitration, energy, infrastructure, as well as environmental and ESG law.

Our advisory services are offered in Slovak, German, Czech and English language. Members of our team include attorneys registered with the Austrian Bar Association. On this basis, and because we are part of Eversheds Sutherland, we are also able to offer extensive legal support on various foreign legal issues.

We listen to our clients, we understand their business and we also understand what they need. So we can always find the best solution for the particular situation. We work quickly, efficiently and take responsibility for our work.

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