Electricity Bills Set to Surge for Polish Businesses and Consumers
Warsaw, Poland – Polish companies, especially those categorized under C tariffs (business, industry, agriculture), are bracing for significant increases in electricity costs following recently announced rate hikes. Large consumers will see their peak-hour rates (7 a.m. to 10 p.m. on weekdays) jump from PLN 0.1412 to PLN 0.2194 per kilowatt hour – a rise of approximately 55 percent. The changes, impacting bills beginning in 2024, come as a result of adjustments to both the capacity fee and the cogeneration fee.
The increases stem from the capacity fee, introduced in 2021 to finance Poland’s capacity market. This system is designed to ensure energy supply stability and prevent power outages by maintaining reserve generating units, activated when renewable sources like wind and solar are insufficient. According to URE (the Office for Regulation of Energy),funds collected through the fee go to energy companies committed to supplying power during shortages,as steadfast through auctions organized by Polskie Sieci Elektroenergetyczne.
Beyond the capacity fee, the cogeneration fee is also set to rise from PLN 3/MWh to PLN 4.36/MWh, as outlined in a draft regulation published in the Government Legislation Center.URE states this increase aims to support high-efficiency cogeneration – a more environmentally friendly electricity and heat production method – acknowledging its higher operational costs. This fee is directly passed on to end users via distribution system operators.
Experts suggest investing in renewable energy sources, such as photovoltaic installations, as a key strategy to mitigate the impact of rising costs. “Rising costs may accelerate decisions about installing photovoltaic installations both in companies and in private homes,” reports next.gazeta.pl. Self-generated energy reduces reliance on grid electricity and offers a long-term solution for stabilizing energy expenses amidst fluctuating market prices.
