Subsidies for the revitalisation of public spaces have often failed to deliver the expected environmental benefits
PRESS RELEASE ON AUDIT NO 25/24 – 19 October 2026
While projects funded through the “Integrated Regional Operational Programme” (IROP) help revitalise public spaces in cities and towns, their environmental benefits often fall short of the expectations. The risk of inefficient use of funds is further increased by the high level of support, which in some cases reached up to 95% of total project expenditures. This is according to an audit by the Supreme Audit Office (SAO), which examined support for the revitalisation of public spaces and green areas in cities and municipalities. By the end of June 2026, a total of 457 projects had been approved, with nearly CZK 1.3 billion in funding disbursed.
The SAO audited 13 recipients of support. Towns and municipalities used the funds, for example, to restore parks, refurbish town squares, revitalise housing estates, create floodable parks or landscape the river embankment. However, the audit revealed that some projects had a low proportion of green space relative to the total area of the subsidised public space. Green infrastructure accounted for a negligible proportion of these areas – less than five percent, and in some cases even less than one percent of the total area. The Ministry of Regional Development (MoRD), however, had not set a minimum proportion of green space in relation to the total area of the subsidised public spaces.
The SAO has identified shortcomings in monitoring of project outcomes. The MoRD does not separately monitor the extent of newly created green spaces on previously unused land. It therefore lacks data on the progress made in addressing one of the main problem areas for which the subsidies were awarded. Nor does the Ministry have sufficient information on the qualitative changes achieved through the implementation of the projects. The number of residents using new or upgraded green spaces is determined by beneficiaries solely based on estimates.
The subsidies were also intended, in part, to fund the construction of retention reservoirs and improvements to rainwater management. The MoRD’s original estimate envisaged a retention capacity of 52,448 m3. However, the audit revealed that this target would not be met. Beneficiaries who decided to tackle the issue of rainwater management committed to creating less than a third of the planned volume. According to the SAO, the actual interest in building retention reservoirs was significantly lower than the Ministry had anticipated. At the same time, the MoRD did not sufficiently incentivise potential recipients to address this problem.
The audit also focused on certain items of street furniture being purchased. Whilst some towns purchased outdoor benches, including installation, for approximately CZK 11,000 each, in other places the price of a single bench exceeded CZK 150,000. Solar-powered benches were also found, with a price exceeding CZK 200,000 per unit. Although this did not constitute a breach of the rules and the prices were in line with market rates, the SAO does not consider it appropriate for such above-standard equipment to be financed by IROP. According to the auditors, local authorities should cover the costs from their own resources.
Based on its findings, the SAO recommended that the MoRD place greater emphasis on the revitalisation of green spaces and measures supporting rainwater management when selecting projects. At the same time, it recommended reassessing the level of support, particularly in more developed regions.
Communication Department
Supreme Audit Office