Poland is set to enhance its infrastructure with an additional 2 billion PLN allocated for road investments, necessitating the adjustment of contracts tied to the construction of 855 kilometers of roads. This significant funding increase comes as the Generalna Dyrekcja Dróg Krajowych i Autostrad (GDDKiA) must adapt to elevated contract valuations.
Previously, the mechanisms for contract adjustments allowed for a value increase of up to 10%, and then 15%. Recently, this limit was raised to a maximum of 25%. The announcement regarding this increase was made in early June by Deputy Infrastructure Minister Stanisław Bukowiec, covering 67 ongoing projects with a cumulative length of 855 kilometers. Since 2022, more than 5 billion PLN has been dedicated to adjusting contracts, which is expected to exceed 7 billion PLN following this latest increase.
Response to Construction Price Changes
The GDDKiA emphasized that the adjustment mechanism is responsive to market price changes, balancing rises and falls in costs across various materials. According to data from GUS as of April 2026, price correction indicators for both asphalt and concrete surfaces have risen compared to March.
The valuation mechanism relies on a so-called price correction basket, which considers key cost factors in road contracts, including fuel, cement, asphalt, steel, aggregate prices, average wages in the sector, and the CPI inflation index. This framework ensures a fair distribution of risk between contractors and clients, with 50% of the contract value being subject to adjustment. This approach aims to prevent uncontrolled and unlimited increases in road investment costs.
98 Amendments and 15% Limit
As of December 2023, GDDKiA has signed 98 valuation amendments with a +/-15% limit with 23 contractors. Additionally, it has executed 78 amendments related to design contracts and 72 for project supervision contracts. The agency is also in the final stages of adjusting contracts for routine road maintenance and smaller investment tasks, having signed 361 amendments from 435 applications submitted.
GDDKiA clarified that the valuation adjustments apply to contracts signed for more than 12 months, particularly those where bids were submitted before the onset of the Russian aggression in Ukraine or that meet specific timeline criteria for contract execution.
Furthermore, GDDKiA highlighted that the adjustment mechanism does not exempt contractors from the obligation to provide accurate bid valuations and risk analysis. Many submitted bids in ongoing tender processes remain significantly lower than estimated costs, indicating sustained high competition within the construction market.
