The government is targeting an increase from the country’s current roughly 330 MW of installed wind capacity, which has remained largely unchanged since 2016, toward at least 4,000 MW of new grid connection capacity, according to analysis by Taylor Wessing.

Under a draft decree, at least 700 MW of new capacity would be allocated in the first tender round, which is due to be announced by Aug. 31, 2026. No upper limit has been set for the amount of capacity that may ultimately be awarded.

The government has also announced plans to spend about EUR 1.5 billion on electricity grid development, alongside the designation of new simplified development zones intended to accelerate permitting for wind projects.

A broader package of energy legislation is currently under public consultation, including planned amendments to Decree 11/2025 (IV. 10.) EM governing the allocation of available medium- and high-voltage grid capacity.

The consultation is scheduled to close on Aug. 21, while the final rules will only become known once they are published in the Hungarian Gazette. A draft of the tender documentation has also been released, although the Hungarian Energy and Public Utility Regulatory Authority (MEKH) has reserved the right to amend its contents.

The draft regulation points to a recurring tender system rather than a one-off allocation. MEKH would be required to launch at least one tender annually between 2027 and 2030 for the allocation of grid connection capacity to wind projects, creating a more predictable long-term framework for investors.

Under the current proposal, applications for the first tender would be accepted between Sept. 1 and Sept. 18, 2026.

The draft documentation also includes provisions that could influence investor strategies. Applicants may receive preferential treatment if they agree to grant a purchase option of up to 30% in the project company to a state-owned company designated by government resolution, a municipality, a municipally owned company or a consortium of such entities.

Projects may also receive an advantage if developers commit to selling the electricity generated under long-term arrangements to municipalities, majority municipally owned companies or state-owned companies acting as system users.

The proposed framework would also allow energy storage facilities to be connected to wind projects where technically justified.

Successful bidders would, however, face strict implementation requirements. If the necessary construction permit is not submitted to MEKH by the required deadline, the performance guarantee may be called. Winning projects would also have to begin using their grid connection within 24 months of the specified connection date.

“Although the regulatory framework is still being finalized, the drafts already provide meaningful guidance for investors interested in the Hungarian wind power market,” said Torsten Braner, partner at Taylor Wessing Hungary.

“As applications are expected to begin in September 2026, market participants considering investments in Hungary should already start preparing,” he added.