EVOLUTION OF

POLISH ECONOMY
POLISH ECONOMY TODAY
After the end of the World War II Poland
was
Poland's
high-income economy is the 6th
under Soviet Communist dominance. largest
Since in the EU and one of the fastest
1952 the official name of Poland was Peoples
growing economies in Central Europe, with
Republic of Poland.
an annual growth rate of over 6.0% before
the late-2000s recession. It is the only
At that time Polish economic system was
member country of the European Union to
based on centrally-planned economic model
have avoided a decline in GDP, which
and nationalized companies. The government
means that in 2009 Poland obtained the
was significantly involved in shaping Polish
biggest GDP growth in the EU. As of
market. It turned out quite soon that this kind
December 2009, the Polish economy had
of economic model couldnt work well.
not entered recession nor contracted, while
IMF 2010 GDP growth forecast of 1.9 per
There was a lack of basic products andits
jokes
cent is expected to be upgraded. However,
about vinegar being the only thing avaliable
economic activity of its workforce is
on shop shelves became very popular the
among
59%, one of the lowest in the European
the society.
Union.
In 1989, after Polish Round Table Agreement,
1.Most of Poland's imports are capital goods
Poland had to face economical changes.The
needed
effects of multi-year absolute communist
rule for industrial retooling and for
were hard to imagine: rising inflation, manufacturing inputs, rather than imports
consumption
enormously huge debt, poverty amongfor
the
society.
2.Poland is a founding member of the World
Trade Organization and a memberof
the European Union

Polish energy sector

energy production
a few facts
1. 97% of electricity produced from fossil
Public debt: 47.5% of GDP
fuels
Revenues:$83.68billion
2. Domestic sources of primary energy
Expenses:$93.47billion
dominate the total supply
Foreign reserves: $67.29 billion
Exports: $136.7 billion
3. All consumed oil and half of natural gas
Imports: $149.6 billion
are imported
4. Hard coal and lignite are the main
primary energy sources
5. Renewables still have a small share in

Polish energy sector

structure
1. Electricity generation sector consists
of about 15 large public power plants
and 30 public CHP plants
2. District heat sector is more
decentralized and is characterized by
companies owned by local authorities
3. Coal mining sector is organized in four
hard coal companies (42 mines) and 5
lignite mines

Challenges for the Polish Power Sector

In August 2015, the Polish power system experienced a threat of power
blackouts, and for the first time in 25 years energy consumers experienced
the effects of many years of inattention and lack of system regulations and
strategic decisions concerning the directions of development of the energy
sector.
The Polish Transmission System Operator (TSO) reports that supplies may be
limited again in the coming years, and serious power deficits may occur
after 2020, which means that the condition of the Polish energy sector is
developing into a barrier to Polands economic growth.
In the coming years, it will be necessary to develop a program of activities
concerning the Polish power industry, which should be a leading economic
priority.
These are the key areas of concerned1. Security of electricity supply
Diversification of fuel mix
Development of interconnections and transmission grid
2. Restrictions on SO2, NOx, CO2 emissions
3. Development of new generation sources
4. Increase in electricity generation efficiency

RECOMMENDATIONS

DIVERSIFICATION

DEVELOPMENT OF A
LONG-TERM VISION OF
THE ENERGY SECTOR

Poland needs a realistic, long-term

The key task of the Polish Energy
Policy - PEP 2050 - should be national energy policy to 2050,
which takes into account
development of a rational
vision for diversification of international energy
megatrends.
the Polish energy mix,
establishing a compromise REFORM OF THE ENERGY
The main objective of this policy
between low-emission sources MARKET
should be to ensure a stable energy
and the future role of coal.
supply, which is a necessary
A long-term strategy to shut down
condition for the development of
In the coming years, these
the oldest and the least
the economy and society.
sources can be complementary,
effective power units and
strengthening the secure
replace them with new sources
The perspective of energy
operation of the energy system.
is necessary.
consumers and the public
Relying on fossil fuels for 90% of
Operation of the balancing
the systems needs when their market should be urgently
future in Poland is uncertain is improved and price barriers
risky, considering European
eliminated.
decisions regarding emissions
reductions - to which Poland has
Decisions concerning possible
agreed.
implementation of a capacity
market should be preceded by an
Technical limitations, such as in-depth analysis of the possibilities
limited water resources neededof deploying all available generating
for cooling of conventional
capacities, improving energy

RESOURCES ON THE DEMAND SIDE, SMART

GRIDS
The consumer should be a well-informed, active player on the energy
market.
It is essential to deploy resources on the demand side (demand response)
among other things to improve the delivery of negawatts.

REGIONAL COOPERATION

NEW STRATEGY
FOR
The government should accelerate the implementation
of smart energy
WITHIN
THE
EUROPEAN
grids,
as they
condition
the development of the retail market and the
RENEWABLE ENERGY
provision
UNION of system services by consumers (through aggregators) to the
system operator.
RESOURCES
Securing independence from
It is necessary
develop a about
imported
primary
resources
With
smart
grids,energy
consumers
will benefit
from bettertoinformation
strategy to support RES in a way
from outside the EU, maintaining
that enables Poland to meet its
energy prices as low as possible, and
EU obligations, reduces
improving the flexibility of energy
emissions, and at the same time
systems in connection with the rising
does not burden customers with
integration and share of RES, are
excessive support costs.
challenges for Europe.
Poland should actively and
constructively participate in these
discussions just as the European
energy system needs Polish energy
resources, Poland can benefit from
market integration in the coming
years, particularly given the
expected problems with system
balancing.
It is necessary to solve the problem
of uncontrolled loop flows on the
south-western border and develop a
strategy for coupling electricity

It is therefore essential to support

the cheapest renewable
resources with the greatest
technological potential.
The auction support system
should establish conditions of fair
competition and select projects
with the greatest chance to be
developed before 2020.

Location of selected power plants

LIST OF ALL THE POWER STATIONS

Name
Bechatw Power
Station
[6] [5]
Kozienice Power
Station
[7] Also provides 266
MWth of heat
Turw Power Station

Location

Coordinates

Fuel

Capacit
y, MWe

Operatio
nal

Bechatw

511559N
191950E

Lignite

5,354

1982

Kozienice

513948N
212752E

Coal,
Biomass

2,820

1973

Bogatynia

505645N
145453E

Lignite

2,106

Coal

1,800

Coal

1,775

1974

Coal

1,772

1974

Lignite

1,674

Coal

1,535

Coal

1,492

Coal

1,155

[8] [5]
Poaniec Power Station

Poaniec

Rybnik Power Station

Rybnik

502614N
212013E
500804N
183122E

[9]
Dolna Odra Power
Station
[10] [5]

Nowe
Czarnowo

Ptnw Power Station

Konin

Jaworzno Power
Station
[11]

Jaworzno

Opole Power Plant

Opole

aziska Power Station

aziska
Grne

agisza Power Station

Bdzin

Ostroka Power
Station
Siersza Power Station

Ostroka
Trzebinia

531224N
142759E

521805N
181403E
501225N
191218E

504504N
175257E
500758N
185047E
502059N
190832E
530614N
213642E
501231N

Coal,
Biomass
Coal,
Biomass
Coal

1,060
740
666

1963

192739E
[14]
Siekierki Heat Power
Station

WarszawaSiekierki

Adamw Power Station

Turek

Biaystok Power
Station
[15]
Skawina Power Station

Biaystok

Skawina

521113N
210519E
520044N
183234E
530853N
231008E

Coal

622

Lignite

600

Coal

505

495835N
194826E

Coal

490

19571961

19771985

1961

[16]
Krakw Heat Power
Station
era Heat Power
Station
Stalowa Wola Power
Station
[18]
Pozna Karolin Heat
Power Station
[19]
Wrocaw Heat Power
Station
[20]

500314N
200024E
521741N
205936E
503309N
220452E

Coal

460

Coal,
Biomass

350

Coal

341

Pozna

522611N
165919E

Coal,
Biomass

276

Wrocaw

510723N
170128E

Coal,
Biomass

263

Lignite

248

Natural
gas

231

Krakw-g
Warszawaera
Stalowa
Wola

Konin Power Station

Konin

Lublin-Wrotkw Heat
Power Station
[21]

LublinWrotkw

521705N
181609E
511258N
223334E

Zielona Gra Heat

Power Station

Zielona
Gra

515704N
152920E

Natural
gas,
Coal

221

Gdask

542243N
183825E

Coal

217

514753N
192517E

Coal

205

[22]
Gdask Heat Power
Station
[23]
d Heat Power
Station EC3

1968

[24]
d Heat Power
Station EC4
[24]
Bydgoszcz Heat Power
Station EC2
[25]
Blachownia Power
Station
[26]
EC Nowa
Katowice Heat Power
Station
[27]
Pomorzany Power
Station
[10] [5]
Miechowice Heat
Power Station
Chorzw Heat Power
Station
[28]
Gdynia Heat Power
Station
Rzeszw Heat Power
Station
[29]
Halemba Power Station

514443N
193216E

Coal

200

Bydgoszcz

530559N
180520E

Coal

183

KdzierzynKole

502123N
181724E

Coal

165

Dbrowa
Grnicza

502051N
191634E
501708N
190314E

Coal

150

Coal

135

Coal

134

Coal

125

Coal

113

Coal

105

Natural
Gas

101

Coal

100

Coal

100

Coal

98

Coal

97

Katowice

Szczecin

Bytom
Chorzw

Gdynia
Rzeszw

Ruda lska

532327N
143138E

502055N
185034E
501828N
185808E

543312N
182840E
500354N
220150E

501356N
185113E

[30]
Czechnica Heat Power
Station
Zabrze Heat Power
Plant
Gorzw Heat Power
Station
[31]

Siechnice
Zabrze
Gorzw
Wielkopolski

510216N
170853E
501756N
184844E
524459N
151609E

1977

1940

d Heat Power
Station EC-2
[24]
Bdzin Power Station
Bielsko-Biaa Heat
Power Station EC1
[33]
Szczecin Power Station

lskie
Bielsko-Biaa

514431N
191656E

501814N
19816E
494844N
190315E

Coal

87

1958

Coal

81

1975

Coal

81

Szczecin

532441N
143514E

Coal

70

CzechowiceDziedzice

495230N
190147E

Coal

55

Kielce

505351N
203659E

Coal,
Biomass

10.5

Coal

8.8

Coal

1916

[10]
Bielsko-Pnoc Heat
Power Station EC2
[33]
Kielce Heat Power
Station
[34]
Szombierki Heat Power
Station
Bydgoszcz Heat Power
Station EC1
[25]

Bytom
Bydgoszcz

Kawczyn Heat Plant

WarszawaKawczyn

Prszkw II Power Plant

Pruszkw

502042N
185311E
530809N
175859E

521605N
210743E
521030N
204433E

1920

Coal
never
opened

Fuel Structure of
Electricity Generation
in Poland
58.7%

35.0%

1.7%

2.0%
2.2%

0.3%
0.1%
Hard coal power stations and CHPs
Lignite power stations
Gas power stations

Hydro power stations (included pumped-storage)

Wind power stations
Biogas and biomass power stations
Other fuels

Age Structure of the

Existing Power Plants
in Poland
6%

7%

5%

5%
16%

44%
17%
to 5 years
20-25 years

5-10 years

25-30 years

10-15 years
over 30 years

15-20 years

Energy efficiency improvement

Increasing security of fuel and energy supplies
Diversification of power generation sources through implementation of nuclear power
Increasing use of renewable energy sources, including bio fuels
Development of competitive fuel and energy markets
Limitation of energy sectors impact on environment

Nuclear fuel
15.7%
Net electricity
Other fuels
generation0.5%
by

Lignite
21.0%

fuel type in 2030

RES
18.8%

Natural gas
6.6%
Oil products
1.5%

Hard coal
36.0%