Investment offer of Zawiercie

Investment areas Business Activity Zone

Investment areas Business Activity Zone 200 ha Zawiercie Business Activity Zone

Investment areas Business Activity Zone Concept of area planning 200 ha

Business Activity Zone area of 50 ha offer for PI&FIA

Direction Częstochowa, Warszawa A1 route (25 km)

Direction Katowice, Warszawa A1 route (13 km)

Direction Dąbrowa Górnicza, Kraków, A4 route (40 km)

City center

Direction Kielce Kraków

Business Activity Zone area A other investment areas area no 1 Plot no 911/21 8,4846 ha Located at Myśliwska Street media Myśliwska Str.: Energy - 110 kV (power up to 100 MW) Gas–gas pipeline Ø150 and Ø200 (available volume 35,9 Nm3/h) Water – water pipeline of capacity 10l/s Owned by: Commune of Zawiercie

Business Activity Zone area A other investment areas area no 2 Located at Cerefisko Street media Podmiejska Str.: Energy - 110 kV (power up to100 MW) Gas – gas pipeline Ø150 and Ø200 (available volume 35,9 Nm3/h) Water – water pipeline of capacity 10l/s

Owned by: Commune of Zawiercie

Business Activity Zone area A area no 2 10 ha covered by KSEZ

Business Activity Zone area A other investment areas area no 3 Total area app. 22,42 ha Located at Mrzygłodzka Street media Myśliwska Str.: Energy - 110 kV (power up to 100 MW) Gas – gas pipeline Ø150 and Ø200 (available volume 35,9 Nm3/h) Water – water pipeline of capacity 10l/s Owned by: Commune Zawiercie Plot no 475/1 - 5,4802 ha Plot no 613/2 - 16,9339 ha

Business Activity Zone area A area no 3 – submitted to „Land for Medal”

Newly built road

Business Activity Zone area A concept of area 3 planning

Business Activity Zone area A concept of area 3 planning

Business Activity Zone area A other investment areas area no 4 Area 14,8651 ha Located at Myśliwska Street media Podmiejska Str.: Energy - 110 kV (power up to 100 MW) Gas – gas pipeline Ø150 and Ø200 (available volume 35,9 Nm3/h) Water – water pipeline of capacity 10l/s Owned by: State Treasury

Business Activity Zone area A other investment areas area no 5 Area app. 80 ha Located at Myśliwska Street media Podmiejska Str.: Energy - 110 kV (power up to100 MW) Gas – gas pipeline Ø150 and Ø200 (available volume 35,9 Nm3/h) Water – water pipeline of capacity 10l/s Owned by: ANR(Agricultural Property Agency), private, Commune

Business Activity Zone area A other investment areas

ANR (Agricultural Property Agency) ANR (Agricultural Property Agency)

37,958 ha

39,9776 ha

ANR (Agricultural Property Agency)

27,3073 ha

Business Activity Zone area of 50 ha offer for PI&FIA ANR 37,958 ha 50ha

Business Activity Zone area of 50 ha offer for PI&FIA

Plot no 1095/13 area 39,9776 ha Owned by ANR (Agricultural Property Agency)

1095/13

1095/11

Plot no 1095/11 area 10 ha (part) Owned by Commune of Zawiercie

Business Activity Zone area of 50 ha offer for PI&FIA

50 ha

Business Activity Zone area of 50 ha offer for PI&FIA

Business Activity Zone area of 50 ha

area development plan areas: services, production, logistics

Business Activity Zone description of area Proposed area is located in the western part of the town in Business Activity Zone. It consists of 2 plots. With ideal communication, flat, without power lines load. The area has a regulated legal status and is prepared for sale. The Owners of the area are ANR /Agricultural Property Agency/ (40 ha) and Commune of Zawiercie (10 ha) There is a possibility of including the area into Katowice Special Economic Zone. Estimate price of the land on the basis of analogy of neighbouring plots is app. 25 PLN net/m2. There is a possibility of perpetual usufruct. This price is the starting base for further negotiations. 1. Power supply In close neighborhood of the land (app. 100 m) there is a HVDC line 110 kV which ensures, according to information provided by energy supplier, power supply up to 10MW in the first phase of investment, with the target volume of 25MW. There is also a possibility of building a transformer station 110 kV/20kV. 2. Gas In the site boundary of Myśliwska Street there is a gas steel pipeline system, medium-pressure (from Górnośląska Spółka Gazownictwa), we also confirm a possibility of connecting to high-pressure gas pipeline system (from Gaz-System S.A.), which is also located in the site boundary. In both cases we can ensure high efficiency.

description of area 3. Water Currently there is water pipeline system located in the site boundary of Myśliwska Street with diameter 100mm ensuring supply of approximately 30 m3/h, For 2013 the construction of water pipeline system with diameter 250mm has been approved in Podmiejska Street, which will reach ensure expected water supply efficiency to 100 m3/h. The media supplier, Rejonowe Przedsiębiorstwo Wodociągów i Kanalizacji, belongs in 100% to the commune of Zawiercie. 4. Sewage Currently there is sewage system located in the site boundary of Myśliwska Street ensuring capacity of approximately 36 m3/h, For planned investment, the commune will build sewage system ensuring sewage collection up to 50 m3/h. Vicinity of modernized wastewater treatment plant in Zawiercie is a guarantee for realization of this task. 5. Precipitation water For this investment, the commune will build a dedicated installation for collection of precipitation water. 6. Thermal energy Currently there is lack of thermal energy supply. 7. Roads The main access to the land from newly built road (end of road construction in the first quarter of 2013) connecting regional road with national road (target plan). Distance from A1 road is 13 km. 8. Area reserve There is additional land available of area approximately 24 ha, composed of 10 ha area which belongs to Zawiercie commune and 14 ha area owned by State Treasury. Both areas are adjacent to the offered area. 9. Charges Tax rates on property in Zawiercie are ones of the lowest in the region. In the presentation, sample tax rates for 2012 are presented. Charge related to media connection result from required power supply volume and can be settled after getting the details related to individual media. In 2012 the fees are 0,61 PLN/m2 for land and 16,98 PLN/m2 for buildings.

description of area 10. Incentive package • The Commune offers exemption from property tax. As of today, this exemption is given for 7 years within de minimis aid program. Additionally, there is a possibility of including the area into Special Economic Zone, which will ensure release from income tax. • The commune offers wide support in recruitment, training of staff. The commune ensures financing of trainings, change of qualifications of employees. As regards new employees we guarantee opening new faculties in vocational schools, adapted to investor’s needs, including foreign language courses. • We propose support in the process of preparing investment, design and realization. • We propose support in accommodation of managing personnel, building accommodation facilities for rent. • The commune will ensure building a golf facility on the area of 40 ha. • It will be possible to propose further incentives after learning investor’s expectations. 11. Employees, costs of employment • In the town, there is a high school specializing in motor faculty, teaching professional staff. There is a possibility to adapt the teaching faculty according to investor’s needs. Such is the case with Canon company and CMC Zawiercie. Within a distance of 45 there are technical colleges, with Politechnika Śląska at the forefront, which ensure a stream of qualified specialists. Perfect connection with city agglomeration (from Koleje Śląskie railway company) facilitates employees with easy mobility. • Costs of employment in production sector in Zawiercie are lower than remuneration in the region by 14% and are net 2.364 PLN. Average remuneration in Zawiercie is on the level of 1.862 PLN. Comparison of average remunerations are displayed in the presentation. 13. Business environment, co-operation Flexibility and mobility of businessmen from Zawiercie, their experience and capital, make a potential for co-operation within the planned investment. The number of entrepreneurs in the region, including those related to the branch, eg. car industry, guarantees quality and promptness of co-operation. A template form of Pi&FIA is attached.

Business Activity Zone area A

TAX EXEMPTIONS Local*

Regional* KSEZ

• Property tax exemption • New job positions

• Property tax exemption • New job positions or investment expenditures • Income tax exemption • Investment expenditures or employment costs

* The assistance granted is de minimis aid and cannot be higher than 200 000 Euro, and in road transportation it cannot exceed 100 000 Euro and is subject to summing up with other aid received with reference to the same qualified costs and it cannot be higher than permissible aid intensity for a given purpose.

Business Activity Zone area A

TAX EXEMPTIONS Tax exemptions related to tax on property within de minimis aid program – resolution of Town Council RESOLUTON NO XXVIII/358/08

local

• 3 persons release from tax for 3 years. • over 10 persons release from tax for 5 years. • over 50 persons release from tax for 7 years.

Newly constructed buildings, construction sites or their parts dedicated to running business are being released from property tax, except for trading business, on condition of creating new job positions. Tax release starts at the moment of arising of the tax duty and these tax payers are entitled, who by effecting this investment will create one full-time job position and will maintain this job position throughout the period of exemption: Creating new job positions, indicated in a declaration, must result in employment increase when compared to the period preceding the investment (12 months) and must continue throughout the whole period of tax exemption.

Business Activity Zone area A

TAX EXEMPTIONS Tax exemptions related to tax on property within de minimis aid program – resolution of Town Council RESOLUTON NO XXVIII/358/08 The condition to receive the aid, which is mentioned in §1 section1 of the resolution, is submittion of application for granting the aid. Investors applying for tax exemption are obliged to attach the following documents to the application form: 1) Declaration or information on property tax indicating the property subject to exemption, 2) Declaration in a written form about the status of employment before its increase, i.e. within 12 months preceding the increase of employment and in a month, in which the employment rate increased, 3) Declaration in a written form including a list of at least 3 newly employeed persons. 4) Certificates of de minimis aid received by the entrepreneur for the last 3 calendar years and information about any aid other than de minimis aid (received not only during a 3-year period) with reference to the same qualified costs, which will be subject to property tax exemption on the basis of this resolution, 5) Declaration, that entrepreneur applying for tax exemption on the basis of this resolution is not in a difficult economic situation in the understanding of points 9- 11 of EU guidelines related to state aid for the purpose of saving and restructuring of unsafe companies (EU Journal of Law C 244 from 01.10.2004.).

Business Activity Zone area A

TAX EXEMPTIONS Tax exemptions related to tax on property within de minimis aid program – resolution of Town Council RESOLUTON NO XXVIII/358/08 Property tax rate for business activity in 2012: 0,61 PLN/m2 – land 16,98 PLN/m2 – building permanently fixed onto the ground 2% of construction value not permanently fixed onto the ground (eg. hall)

Business Activity Zone area A

TAX EXEMPTIONS Tax exemptions related to tax on property within regional investment aid program RESOLUTION NO XXXVIII/539/09

regional

• 100 th. Euro of expenditures or min. 5 job positions release from tax for 1 year. • 150 th. Euro or min. 10 job positions release from tax for 2 years.

Buildings, construction sites or their parts dedicated to running business are being released from property tax, where new investments or new job positions are created, except for trading business. Applicants to use tax exemption due to creating new job positions are obliged to justify employment level increase related to new investment from the application date to the date of tax due term.

Business Activity Zone area A

TAX EXEMPTIONS Exemption from income tax within Katowice Special Economic Zone (KSEZ).

KSEZ

• min. 40% (50% medium, 60% small) investment expenditures. • min. 40% (50% medium, 60% small) two-year employment costs.

Company running business activity on the area of Katowice Special Economic Zone (KSEZ) on the basis of received approval. Approval to run activity on the area of KSEZ contains two conditions, that must be fulfilled by investor. The first one – creating a certain number of new job positions on the area of the zone until a fixed date. The second one – bearing certain amount of investment expenses on the area of the zone until a fixed date. Investor specifies both due dates of these two conditions.

Business Activity Zone area A

TAX EXEMPTIONS Exemption from income tax within KSEZ. . on the basis of: Tax exemption calculated INVESTMENT COSTS

CREATION OF NEW JOB POSITIONS

Total amount of tax exemption can be up to 40%of born investment expenses

Total amount of tax exemption can be up to 40% of two-year costs of employment on newly created job positions in the zone

For small and medium entrepreneurs tax exemption is additionally:  

10 percentage points gross for medium companies 20 percentage points gross for small companies

In case of companies other than small or medium ones, fixed assets, whose purchase cost is calculated to qualified costs, should be new.

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Business Activity Zone (BAZ) municipal investments road in BAZ (project value 10 mln. PLN Ist stage)

Business Activity Zone municipal investments Zawiercie Industrial&Technological Park

INVESTOR SERVICE CENTER

Concept of area planning Technology transfer center

Investor Service Center 42-400 Zawiercie, Piastowska Street No 1 Tel/fax +48 32 672 43 31 www.gospodarka.zawiercie.eu , www.wboi.zawiercie.eu Wojciech Dziąbek Head of Department of Development and Promotion of Zawiercie tel./fax +48 326724331, mob. +48 666023123 e-mail: [email protected]