swinkaPolish Ministry of Climate and Environment has prepared a draft legislation implementing energy allowances for sensitive consumers. In connection with the pan-European energy crisis leading to significant increases in energy prices group of people eligible to receive energy allowance has been expanded, which will be granted on the basis of an income not exceeding 1 563 PLN in a household of one person and 1 115 PLN / person in a household of more than one person.

„According to the assumptions of this draft, the amount of support for payment of the recipient's bill will increase from 30% to 50%. The rates of the subsidy will also be higher – from 324 PLN to 876 PLN per year. Changing the value of electricity consumption limits will affect on growth of the amount of the energy allowance and will be more in line with the actual situation of energy consumption by households. In order to support the energy-sensitive recipient, polish government plans to allocate amounts from about PLN 1.5 billion to about PLN 1.7 billion for the years 2022-2031, increasing each year " - from the Ministry's announcement.

This project also includes, for the first time in Polish legislation, a definition of energy poverty in the following form:

„Energy poverty means a situation in which a household headed by a single person or by several persons together in a self-contained household or in a building with no business related to the household is unable to afford sufficient heat, cooling, lighting, and electricity to power appliances as a result of a combination of low income, high energy expenses and low energy efficiency”.

The amendment will enable the preparation of local support programs: "The energy poverty criteria qualifying for energy poverty reduction programs shall be defined each time in programs introducing energy poverty reduction instruments," reads in the ministry's communication.

According to the Minister of Climate and Environment, Michał Kurtyka, such a definition will allow for a flexible approach to this phenomenon by adapting appropriate support programs: "The universal nature of our proposed definition of energy poverty provides the opportunity for flexible adjustment of support programs for energy poor consumers both now and in the future. It is therefore a practical response to the needs of local centres, which have already taken measures aimed at reducing energy poverty (e.g. municipalities in the Małopolska region)".

The introduction of amendments to the Energy Law and certain other laws also results from the need to implement the EU Directive 2019/944 into the Polish legal order. It obliges EU Member States to provide a legal framework for supporting vulnerable electricity consumers and to prepare a definition of energy poverty.

For further proposed changes to the energy law, please see the ministry's announcement here: https://www.gov.pl/web/klimat/minister-klimatu-i-srodowiska-michal-kurtyka-skierowal-do-prac-rzadu-projekt-ustawy-wprowadzajacy-dodatki-dla-odbiorcy-wrazliwego