The Council of Ministers adopted a draft specified legislative amendment only 1 day after its disclosure in the form of assumptions. The task itself is very short. Instead, by 30 April, public vendors will have until 31 July to submit tariff applications. And erstwhile approved by the president of URE, the tariffs would enter into force on 1 October, alternatively of 1 July.
The later the cheaper?
The justification and assessment of the effects of the regulation show that the Ministry of Climate calculates as follows: prices on the marketplace are falling and this seems to be a reasonably constant trend, and so the later the sellers contract energy, the little they pay for it. As a result, in the proposals to change the tariffs with which they apply to the regulator they will request less, so the government will gotta pay them less. ‘It is assumed that the price in these tariffs (in force since the 4th fourth - red) will be importantly lower than the current rate“ — it’s justifiable. The wholesale price of PLN 400-500 per MWh is to be indicated for the area for reductions.
On the free marketplace you can find offers of PLN 500 per MWh, although from any state companies you could late hear that specified a level could be forgotten, but there was talk about the April and not July application deadline.
It's a small amazing to see another passage of justification: In order to reduce the hazard of buying electricity at a time of advanced prices, sellers acquisition this energy sequentially, i.e. on an ongoing basis each period of the year. At the same time, the operation of the fresh tariffs as from 1 July 2025 would limit the anticipation for sellers to take into account in the fresh tariffs the period during which they bought electricity at favourable prices. The postponement of the date of entry into force of the revised tariffs for electricity will so make it possible to maximise the benefits of a unchangeable situation on wholesale markets and to reflect more full the marketplace conditions in those tariffs.
Why is it surprising? To date, energy companies have explained that energy under the G tariff for a given year is purchased in the erstwhile year – thus securing the portfolio so as to avoid or at least minimise losses. If the climate ministry had any cognition of the purchasing strategies of companies, that would be very interesting.
The change does not concern the freezing of prices
Assuming the bill enters into force and the president of URE approves fresh tariffs, it is not known how much households will pay for electricity from 1 October. Until 30 September, the right to a statutoryly frozen price of PLN 500 per MWh applies. The difference between the tariff, presently at an average of PLN 623 per MWh and the frozen price is covered by the government sellers. So for the recipient, the amount of the tariff is fundamentally indifferent, and it doesn't pay for electricity as much as it costs.
What's next with the freezing? The government has not decided this yet, but it has not made much sense for months. Only that the summit of the election run is not the best time to defrost anything, due to the fact that immediately the political thunder would fall on the government and any candidates.
