No more power relief! Power charge returns and hits the wallets of millions of Poles

No more relief on electricity bills. Since July 2024 on invoices of all recipients in Poland returns power levywhich was temporarily suspended by government shielding activities. For millions of households this means 1 – inevitable increase in monthly electricity charges. The increases, depending on the yearly energy consumption, will amount to respective to respective zlotys per month, which will translate into a crucial burden on home budgets each year. The Energy Regulatory Authority (URE) has already published the final results of the complementary auction, and the deficiency of a decision to cancel them by the climate minister sealed the return to the old rules. The time for lower bills is definitely over, and Poles must prepare for higher expenses.

Power fee's back. How much precisely will you pay?

The amount of the power levy depends strictly on the yearly electricity consumption of the household. The strategy has been constructed in a progressive way, which means that the more power we consume, the higher the monthly rate we bear. The Energy Regulatory Authority has set 4 consumption thresholds to which circumstantial amounts are attributed. It is worth checking your yearly consumption on erstwhile invoices to find out which group we belong to.

The power charge rates from July 2024 are as follows:

• Less than 500 kWh per year: 2,86 PLN net per period (mainly vacation cottages, garages).
• From 500 kWh to 1200 kWh per year: PLN 6.86 net per period (small single and double farms).
• From 1200 kWh to 2800 kWh per year: 11.14 PLN net per period (the most common scope for typical, 3-4 people families).
• Over 2800 kWh per year: 16.01 PLN net per period (large families, houses with electrical heating, heat pump or air conditioning).

Please note that these amounts are net values. Each will include 23% VAT, which will further rise the final amount shown on the account.

Most Poles in the most costly groups. Check your wear

The statistic are inexorable. The average Polish household uses between 2000 and 2500 kWh of electricity per year. That means that the vast majority of families in Poland will be placed at the 3rd threshold, which entails a net fee of PLN 11,14 per month. In practice, for a household that consumes 2200 kWh per year, the power levy itself is an additional cost of the order PLN 133.68 net per year, or about 164 PLN gross. On a monthly basis, this is over 13 PLN extra charge.

Higher-consumption farms, for example single-family houses with heat pump or intensive air conditioning in the summer, which exceed the threshold of 2800 kWh per year, will pay even more. For them, the monthly rate is PLN 16.01 net. By year it gives you an amount PLN 192,12 netand after VAT has been added – almost PLN 236 gross. This is simply a crucial sum that will surely be felt in the home budget.

What is simply a power charge and why do we gotta pay it?

Many people mistake the power charge as another tax. In fact, it is simply a marketplace mechanics to guarantee Energy safety of Poland. The money collected under this charge does not go to the state budget, but straight to power generators. In return for these measures, manufacturers undertake to keep their power blocks on a permanent readiness to supply power to the system.

This “readyness” is crucial in moments of highest request for electricity, for example during the sulfuric winter frosts or during summertime heats, erstwhile we are mass-on air conditioners. The power charge is simply a kind of insurance policy to defend the country from Blackout risk, means a sudden, extended power failure. Maintaining spare capacity generates costs that are distributed to all energy consumers through this mechanism, ensuring stableness of supply for the full economy and all citizen.

No government relief. What's next with the electricity prices?

The temporary suspension of the power levy was 1 of the key elements of the government's shield package to mitigate the effects of the energy crisis and advanced electricity prices. This protective period has just ended. The return of the power charge is the first tangible signal to return to marketplace realities and unfortunately – higher accounts.

It is worth noting, however, that the current rates were set on the basis of a supplementary auction and are in force in the second half of 2024. The final fee level for the full 2025 year will not be determined until September, after the main power auction. However, experts do not anticipate reductions, alternatively to keep rates at akin levels or to increase them slightly. For Poles, this means taking into account permanently higher energy costs in their home budgets.