Polish Briefing 19 December, 2022 7:30 am   

Polish Briefing: Despite a cap, power bills to go up | Plan for the NPP in Pątnów to be ready by eoy


What goes on in Poland on the 19th of December.

Frozen energy price will increase anyway

We already know how much electricity bills will be in 2023, because the Energy Regulatory Office approved the tariffs for the largest distribution companies in Poland. Despite the freezing of energy prices, the return of VAT, higher distribution costs and inflation will increase the bills.

– This year’s tariffs, calculated as always on the basis of the category of justified costs, will be the basis for calculating the level and payment of compensation due to energy companies – points out Rafał Gawin, President of the Energy Regulatory Office.

The increase in tariffs will not affect energy prices up to the limit covered by the freeze under the act that will come into force in 2023. The threshold is 2,000 kWh for households and 3,000 kWh for farms and households with disabled people or with many children. It assumes that the rates from last year will be maintained up to this limit. Consumption exceeding it will be billed according to the new rates, with the reservation that the maximum price will be PLN 0.693 per kWh without excise duty. However, prices may increase due to an increase in other charges, such as the distribution fee or the return of the VAT rate after the lifting of the anti-inflation shield, or other economic phenomena such as inflation.

The development plan for the nuclear power plant in Pątnów to be ready by the end of the year

The President of the Polish Energy Group Wojciech Dąbrowski spoke in an interview with about the construction of a nuclear power plant in Pątnów in cooperation with ZE PAK and KHNP. He announced that by the end of the year, a development plan for the project would be created.

The president of PGE said in an interview with that the war in Ukraine changed a lot on the energy market in Poland, because the European Union began to look at energy security issues differently. – At PGE, we have always communicated that only nuclear energy can ensure energy security when we limit the extraction and combustion of coal. As a result of the energy crisis and Putin’s attack on Ukraine, we accelerated these actions and changed the strategy.

Dąbrowski added that PGE was invited to the project in Greater Poland by ZE PAK and Koreans. – The arrangements are very ambitious, but realistic. We are to propose a development plan together by the end of the year. It will show whether the geological and seismic conditions are suitable for erecting nuclear power plant units there. The plan will also include an investment schedule and an investment financing model. Even today, our representatives are in Korea together with ZE PAK, the talks are intense. At the beginning of the year – after all these activities – we will decide what we do next – he said.