When travelling from Hungary to Austria, one quickly notices the rows of wind turbines lining the roads. The contrast is striking and inevitably raises the question: what explains the markedly different presence of wind energy in two geographically close countries? Do differences in return-on-investment calculations or wind conditions account for this, or are political and cultural factors more decisive? Or does information asymmetry play such a significant role?
The answer is complex but one of the most important factors is undoubtedly the energy policy framework and the related regulatory environment. In this respect, Hungary experienced a prolonged period of relative “calm.” However, in light of commitments undertaken vis-à-vis the European Union, legislative changes have been initiated, accompanied by governmental communication signalling an opening towards the utilisation of wind energy.
As part of this process, a comprehensive legislative amendment package was adopted at the end of 2025, aimed at easing the constraints facing wind energy developments. From 2026 onwards, these changes will create new opportunities, particularly for wind turbine and wind farm projects implemented in so-called “facilitated areas.” Taken together, the amendments follow the logic of the folkloric “clever maiden”: they both do and do not provide regulatory relief, as the opening is targeted and primarily applies within the facilitated areas.
Facilitated Areas and Related Regulatory Relief
One cornerstone of the wind energy opening is the institution of “facilitated areas.” The relevant ministerial decree designates eight districts—primarily in north-western Hungary—as areas where the legislator has expressly sought to ease the conditions for wind turbine and wind farm developments. The concept of a facilitated area is therefore not merely a geographical category but rather a focal point where several interrelated regulatory relaxations converge.
Within facilitated areas, the permitted height of wind turbines may reach up to 199 metres, enabling the use of more modern, higher-capacity turbines. This represents a meaningful step forward from an economic perspective and may partially offset the costs associated with land acquisition, permitting procedures and infrastructure development.
Another significant relaxation linked to facilitated areas is that, in the case of wind turbine and wind farm developments, it is no longer necessary to provide substitute land in connection with the use of agricultural land. In practice, this is one of the most investment-friendly changes, as it eliminates the need for land-swap and land-acquisition arrangements that previously rendered many projects unfeasible or disproportionately expensive.
As a result of these measures, developers operating in facilitated areas benefit from a more predictable and planable regulatory environment. At the same time, the opening remains targeted: the benefits apply only within clearly defined spatial boundaries, while general zoning, land-use planning and setback requirements continue to shape the scope for investments.
Further Amendments Supporting Practical Implementation
The designation of facilitated areas alone does not eliminate all practical obstacles to wind energy development. Accordingly, in addition to the rules specific to facilitated areas, the legislator has adopted several further amendments of a general nature, intervening at critical points of permitting and implementation. These changes do not introduce new incentives but rather aim to reduce prior uncertainties and interpretative disputes.
• Turbine blade overhang
In projects affecting neighbouring properties, the issue of turbine blades extending over adjacent plots was previously not clearly regulated. While, as a general rule, an agreement with the neighbouring landowner remains necessary, the authority may, under certain conditions, authorise the use of the airspace even without the neighbour’s consent.
• Use of agricultural land
An amendment to the legislation on the protection of agricultural land classifies wind farm projects affecting up to 1.5 hectares as “site-specific use,” thereby simplifying land protection procedures. This constitutes a material easing, as it allows for the conversion of higher-quality agricultural land to other uses and places less emphasis on examining alternative locations. However, the relaxation is subject to a size limit; projects requiring a larger area remain governed by stricter rules.
• New safety zone rules for wind farms
Practical implementation is further supported by an amendment, effective from 30 January 2026, to the regulations governing safety zones around electrical installations. Under the previous regime, wind turbines were subject to the general safety zone rules, which in practice often unduly restricted siting options. Due to the broad interpretation of “public roads,” even the proximity of low-traffic rural dirt roads could constitute an obstacle, rendering otherwise suitable sites unviable.
The amendment addresses this issue by establishing specific, targeted safety zone rules for wind farms and exempting them from certain general restrictions. As a result, the predictability of permitting procedures is improved, and the former practice—whereby differing local administrative interpretations could significantly influence the fate of a project—is reduced.
• Zoning-based application of the 700-metre setback
The logic governing the application of the 700-metre setback zone is also clarified. Previously, the prohibition on the placement of wind turbines was linked to a 700-metre distance measured from the boundary of “areas designated for development,” which in practice led to interpretative uncertainties, particularly in the case of undeveloped but development-designated land. Under the new regulation, the setback distance is tied to specific land-use categories. This approach is based not on the actual level of development but on zoning classification, making site selection more predictable and reducing the risk of divergent legal interpretations.
Conclusion
Overall, the legislative changes suggest that, with respect to wind energy, the legislator has sought to move beyond mere political declarations of intent and has addressed detailed rules that hinder practical implementation. The amendments do not introduce a uniform relaxation but rather outline a differentiated regulatory model that facilitates development in certain areas and situations, while continuing to uphold settlement protection, land-use and safety considerations.
At the same time, the clarification of regulatory conditions does not, in itself, mean that the path is fully open for wind energy developments. A key factor for project feasibility remains access to the electricity grid, which in Hungary continues to involve significant uncertainty. It is not yet clear when and under what conditions actual connection capacities will become available on the medium- and high-voltage networks, nor whether wind power projects will receive preferential treatment in the allocation of such capacities. Until network developments reach a level capable of accommodating meaningful new capacity, opportunities for market entry in the wind energy sector are likely to remain limited.