The government has abandoned the PiS idea for energy transformation. It has its own
Since the NABE concept emerged, i.e., from 2022, the share of electricity production from hard coal and lignite in the energy mix has significantly decreased compared to the initial assumptions. This trend is related to the dynamic development of renewable energy sources, primarily photovoltaics. We need less electricity from coal, which would further reduce NABE's revenues. The government also feared that NABE would not receive approval from the European Commission for state aid. "Brussels prefers more competitive solutions. If all the power plants were in a single entity, it would be very difficult to convince the EC that there is any competition," said the head of MAP. He emphasized that the government recognizes the problems that gave rise to the NABE idea.
Three forms of support instead of separationWhat's the alternative? There are three solutions: a capacity market, a decarbonization mechanism, and a non-fossil flexibility mechanism. Their launch requires negotiations with the European Commission and notification of state aid. "We've completed initial discussions with the European Commission. We have a working version of these mechanisms ready. State aid under these new mechanisms should last for approximately 10 years," said Wojciech Wrochna, government plenipotentiary for strategic energy infrastructure. Minister Wrochna added that it's difficult to estimate the costs of these three mechanisms at this stage. "We're in talks with the European Commission. However, in principle, the costs of this system should be as low as possible," he emphasized.
To ensure the security of the energy system, PSE, which is responsible for some of these solutions, would like to separate support mechanisms. "On the one hand, we want to ensure the flexibility of the energy system, such as energy storage, and on the other, a minimum of available power. Generation assets, as reserve sources, require—and we are seeing this increasingly clearly—not only funds for investments, but also for ongoing operations, since they are only intended to operate for a few weeks at a time," explained Grzegorz Onichimowski, president of PSE.
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Who will be able to benefit from these new mechanisms? The President of PSE explained that the first of these mechanisms, the capacity market after 2030, should be focused on new gas-fired units. "We would like to differentiate the duration of support depending on the degree to which a given source is decarbonized. For sources such as SMR, biogas, and biomethane, support could last longer," the President of PSE said. He indicated that if the analysis of generating resource adequacy indicates that there are too few generating projects for a given year, then a second form of support would emerge – a transformation mechanism. This would be a mechanism to support the owner of a given power plant, e.g., a coal-fired one, provided that it declares to build a new, lower-emission unit, e.g., a gas-fired one, in its place. The third flexibility mechanism would be aimed at energy storage facilities, for example.
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