Draft of Polish offshore wind act eyes more than 10GW in awards by 2027

  • Jan 16, 2020
  • Recharge News

Poland’s ministry of state assets has published a much-anticipated draft of legislation to promote offshore wind power, aiming at awarding more than 10GW of capacity in the Baltic Sea by 2027, the Polish wind power association (PWEA) said.

“Time will come for a detailed analysis of the draft act. Today, on behalf of all companies who are already part of the supply chain for offshore wind, I would like to express my satisfaction with the publication of the bill,” PWEA president Janusz Gajowiecki said.

Up to 4.6GW in capacity from pre-developed wind project could be granted support by Polish energy regulator ERO by the end of 2022 under a contract for difference (CfD) system with a fixed price set by the government.

Andrzej Kazmierski, director for renewable and distributed energy at the Polish ministry of energy, in late 2018 had told Recharge that the complex legal situation for pre-developed offshore wind projects owned by private Polish utility Polenergia and Norway’s Equinor, Polish utility PGE, and possibly also PKN Orlen and Baltic Trade and Invest (BTI), called for a different treatment in regards to support than future projects to be developed from scratch.

As there are only some 2.8GW of projects in advanced stages of development, it is not entirely clear whether the government will be able to award the full 4.6GW under the initial mechanism.

The remainder of the capacity is slated to be tendered of in competitive CfD auctions of at least 500MW in 2023, and 2.5GW each in 2025 and 2027. Concessions will be granted for 25 years.

The government’s offshore wind plans according to PWEA could lead to the generation of about 34,000 jobs during the investment stage.

Job demand would come from both the energy sector and other industries, including construction, finance, transport and services.

PWEA also stressed that wind at sea will diminish the risk of future power shortages seen by Polish transmission system operator PSE and the country’s energy regulatory office.

“The development of offshore wind farms in the Baltic Sea will significantly contribute to minimizing the risk of capacity shortages,” Gajowiecki said.

“At the same time, the introduction of this large-scale, zero-carbon and increasingly cost-effective RES technology to our energy mix will help in the transition of the Polish economy.”

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