Gov't plans to prolong household electricity bill support in 2024

The Polish acting government adopted a draft law prolonging government subsidies to household electricity and gas bills to 2024, the minister of climate and environment has announced.

"Today the government has adopted a draft law protecting consumers of electricity, gaseous fuels and heat," Anna Moskwa wrote on the X platform on Tuesday. "The bill involves the extension of shielding mechanisms in force in 2023.

"I look forward to the legislation being swiftly processed by the Parliament in order to ensure the safety of Polish families," she added.

In December 2022, Poland froze electricity prices for households and vulnerable recipients for the year 2023 at the level of 2022 rates up to a consumption limit of 3,000 kWh for all households, 3,600 kWh for households with people with disabilities and 4,000 kWh for large families and farmers.

The proposed legislation provides "a modified continuation of the existing support for household consumers, including support for energy consumption for needs similar to those consumed in households (for example, common parts of buildings, garages, summer houses or collective residences)."

The draft envisages "freezing" prices and distribution fees and the obligation for energy enterprises to apply the tariffs approved for 2022 in their settlements with household customers in 2024 within a specified limit.

According to the document, the household consumption cap will be extended. Meanwhile, the maximum energy price for vulnerable recipients such as local governments, schools, hospitals, and SMEs will remain at PLN 693 (EUR 159) per 1,000 kWh.

Poland's parliament passed the original caps on electricity bills in late 2022 in response to soaring energy prices following the war in Ukraine. It increased global demand for energy commodities as economic activity picked up after the slump caused by the coronavirus crisis.

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