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Eurofound's EU PolicyWatch collates information on the responses of government and social partners to the COVID-19 crisis, the war in Ukraine, rising inflation, as well as gathering examples of company practices aimed at mitigating the social and economic impacts.

Factsheet for measure PL-2022-34/2776 – Updated – measures in Poland

Price control and subsidies for heating for households and vulnerable entities

Rozwiązania związane z sytuacją na rynku paliwowym

Country Poland , applies nationwide
Time period Open ended, started on 16 August 2022
Context War in Ukraine, Green Transition, Cost of Living Crisis
Type Legislations or other statutory regulations
Category Promoting the economic, labour market and social recovery into a green future
– Support for energy bills
Author Jan Czarzasty (Warsaw School of Economics)
Measure added 24 August 2022 (updated 02 March 2023)

Background information

The rise in energy prices can be linked to the Russian aggression against Ukraine. The Russian invasion had a negative impact on the amount and unpredictability of gas and other raw material prices. After the introduction of the carbon subsidy, the government proposed further solutions (aimed at supporting households in rising energy costs).

Content of measure

According to the new measures:

  • Heat producers will be forced to set average prices to be paid by households and public utility institutions: PLN 150.95 / GJ (approx. €32.12 / GJ) for natural gas or fuel oil; PLN 103.82 / GJ (€22.09 / GJ) for other sources. Companies producing heat will be entitled to receive compensation. The support covers the period from October 2022 to April 2023.
  • Households whose main heat source is powered by wood pellets, lump wood, liquefied LPG, and fuel oil, will receive a one-off subsidy. The amount varies depending on the source from PLN 500 (approx. €106) to PLN 3,000 (€638).
  • Some vulnerable entities (hospitals, schools, nurseries, cultural institutions, etc.) will receive an allowance, which will cover the 40% increase in heating costs.

Updates

The following updates to this measure have been made after it came into effect.

30 November 2022

30 November 2022 was the last day to apply for subsidies for homes heated with wood pellets, lump wood and other biomass, and LPG or fuel oil. Subsidies are currently being paid out, for which the government has earmarked PLN 1.9 billion (€398.322 as at 19 February 2022). The number of applications is not yet known.

Under the terms of the Act, the heat price cap will continue to apply until the end of April 2023. However, it is possible that this could be replaced by a new government scheme.

Use of measure

No information available.

Target groups

Workers Businesses Citizens
Does not apply to workers Companies providing essential services
Applies to all citizens

Actors and funding

Actors Funding
National government
Company / Companies
National funds

Social partners

Social partners' role in designing the measure and form of involvement:

Trade unions Employers' organisations
Role No involvement No involvement
Form Not applicable Not applicable

Social partners' role in the implementation, monitoring and assessment phase:

  • Unknown
  • Main level of involvement: N/A

Involvement

Unknown.

Views and reactions

Unknown.

Sectors and occupations

    • Economic area Sector (NACE level 2)
      D - Electricity, Gas, Steam And Air Conditioning Supply D35 Electricity, gas, steam and air conditioning supply

This case is not occupation-specific.

Sources

  • 23 August 2022: Projekt ustawy o szczególnych rozwiązaniach w zakresie niektórych źródeł ciepła w związku z sytuacją na rynku paliw (www.gov.pl)

Citation

Eurofound (2022), Price control and subsidies for heating for households and vulnerable entities, measure PL-2022-34/2776 (measures in Poland), EU PolicyWatch, Dublin, https://static.eurofound.europa.eu/covid19db/cases/PL-2022-34_2776.html

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Disclaimer: This information has not been subject to the full Eurofound evaluation, editorial and publication process.