Hogan Lovell OffshoreBook 2023 230809 OnlinePDF - Flipbook - Page 199
Offshore Wind Worldwide 2023
(seven projects – see the table above).
The maximum price for the support was
set at PLN 319.60 per MWh (approx. EUR
70), which was below market expectations. Due to there being no competitive
procedure for granting public support,
each decision is to be notified to the
European Commission. After obtaining
approval, the ERO individually adjusts
the final support price for each first
phase project by way of a decision. The
price cannot be higher than the maximum price or the price indicated in the
European Commission’s decision. The
investor can waive its right to receive
support if the final price is lower than the
maximum price.
(b) Second phase, after 2022 – the support
will be granted by way of a ‘pay-as-bid’
auction (similar to the existing RES support system). The schedule stipulates
an auction in 2025 (up to 2.5 GW), 2027
(up to 2.5 GW), and in 2028, but – only if
the remaining capacity exceeds 500 MW.
The Council of Ministers can decide on
the decrease of this capacity, as well as
on any further auctions to take place in
other years. The auction can only take
place if at least three offers have been
proposed. The auction support regime is
subject to notification to the European
Commission.
A recent draft related to renewable
acts (including the Offshore Wind Act)
199
has proposed additional schedules for
auctions, i.e., in 2029 and 2031. It has also
introduced increased capacity values
from up to 2.5 GW in 2025 and in 2027 to
4 GW in 2025 and 2027 and for auctions
in 2029 and in 2031 the capacity value is
each 2 GW, respectively. An additional
auction may take place in 2032 (not in
2028) if the legal requirements are satisfied and starting from 2033 auctions can
be held in other years. 27
In order to apply for an individual decision, as well as to take part in an auction,
the company needs to attach in particular:
(i) the GCA, or the GCC, or preliminary
GCC;
(ii) the final OWF location permit, and in
the case of an auction, the final environmental decision as well;
(iii) the substantive and financial schedule (confirming the realisation of the
OWF within the specified deadline);
(iv) the local supply chain plan (the plan
of the investment’s contribution to
local and national economic growth);
and
(v) the establishment of a security in
the amount of PLN 60 per kW of a
particular OWF’s installed power
(approximately EUR 15 per kW), in the
27 The project is at the stage of governmental arrangements and, once completed, may be sent to the Polish Sejm and Senate for enactment. The current
status is available at: https://legislacja.rcl.gov.pl/projekt/12357005 (in Polish only).
