On March 12, 2025, the Polish government presented a draft amendment to the Energy Law that represents the most extensive reform of the grid connection process in over a decade. The proposed legislation is designed to align with EU Directive 2024/1711 and Regulation 2024/1106, and also fulfills key reform milestones outlined in Poland’s National Recovery Plan (KPO). The changes will significantly affect investors, energy companies, and end users, reshaping the way energy connections and supply contracts are managed.
A crucial element of these proposed changes is the establishment of extensive information obligations for energy suppliers. Under these new rules, suppliers must provide consumers with clear, concise summaries of the key contractual terms. These summaries include detailed pricing structures, clearly identifying whether prices are fixed or dynamic, alongside essential contact information and details of payment methods, special offers, or additional services. This transparency is designed to empower consumers, enabling informed decision-making and fostering competitive market practices.
Additionally, energy transmission and distribution companies are required to regularly publish comprehensive data, including details on entities applying for connection to the grid with a voltage over 1 kV, available connection capacities, planned network developments, application statuses, and reasons for any refusals. They must also disclose the criteria for calculating grid capacities and possibilities for flexible connections in constrained areas. Companies are mandated to update this information monthly on their websites.
The amendment also introduces a new type of grid connection agreement designed to address the limited capacity of Poland’s infrastructure. Under the proposed rules, DSOs and TSOs will be able to offer flexible connection agreements in areas where the grid is currently constrained. These contracts allow investors to connect earlier, but with certain limitations. The operator may temporarily reduce the amount of electricity a facility can inject into or draw from the grid, without bearing liability for compensation, until necessary infrastructure upgrades are completed. Each agreement must include a clear timeline and scope of the required investments, specifying when the temporary limitations will be lifted.
Another important innovation in the draft law is the formal introduction of fixed-price, fixed-term energy contracts. Energy suppliers serving more than 200,000 customers will be required to offer at least one such contract with a minimum duration of 12 months and a guaranteed price throughout the term. These contracts must be made available online and clearly presented to consumers. Importantly, customers on fixed-price contracts will still be allowed to participate in flexibility and demand-response programs, providing opportunities to reduce their bills even when prices are locked in. The amendment also limits the use of excessive termination penalties, ensuring that consumers are not unfairly penalized for switching contracts or suppliers.
The reforms also introduce new rules regarding advance payments for connection to the grid. Entities applying for connection to the electricity grid with a nominal voltage exceeding 1 kV will be required to pay an advance of 60 PLN per kilowatt of requested connection capacity, up from the previous rate of 30 PLN. This increase is intended to discourage speculative applications and promote more reliable infrastructure planning. Additionally, the maximum amount of the advance payment has been raised from 3 million PLN to 6 million PLN, aligning the regulatory framework with the growing scale and financial scope of modern energy projects.
Furthermore, a new non-refundable application fee has been introduced. For each connection request involving a grid with a nominal voltage above 1 kV, applicants will be required to pay 1 PLN per kilowatt of requested connection capacity, with a cap of 100,000 PLN per connection point. This fee must be submitted together with the application, along with proof of payment, otherwise the request will not be processed.
Overall, these proposed legislative changes promise a more transparent, flexible, and consumer-focused energy market in Poland. However, some market participants may view the growing number of financial and administrative obligations with caution, as they could pose challenges for smaller investors and prolong the connection process despite intentions to streamline it. Our energy law team is closely monitoring the legislative developments and is ready to support clients in navigating this regulatory transformation.