Polish President signs Electricity Price Freeze Act

The statute sets maximum prices for electricity sold to eligible consumers that will be valid until the end of 2023. Such consumers include micro, small and medium-sized enterprises to the extent that they consume electricity for their core business operations. 

For enterprises and other sensitive consumers, the maximum price will apply from 1 December 2022 to 31 December 2023. In some cases, it will be possible to use the maximum price before 1 December 2022. 

Enterprises that want to take advantage of the maximum electricity prices are required to file a statement with the utility company. Among other things, the statement should contain a confirmation of meeting the conditions allowing the entity to be recognised as an eligible consumer, and additional details (including an estimate of how much of electricity will be consumed for purposes entitling the entity to benefit from the maximum price).

The statement should be filed in writing (in paper or electronically) by 30 November 2022. If the statement is filed after that date, the maximum price will apply from the month following the filing date. A statement template will be defined by an official regulation.

The statute also entitles utility companies to compensation for the application of maximum prices. 

Obligations of renewable power producers have been maintained in the final version of the bill. They will be required to pay contributions to the Price Difference Payment Fund in an amount linked to the volume of sold electricity. The statute, however, allows an exemption from this requirement. The exemption is offered to production units with a total installed capacity of not more than 1MW and renewable energy installations benefiting from incentives (including RES auctions). It applies to the portion of sold electricity that is incentivised.

If you have questions about the electricity price freeze - please contact us.