COMMISSION STAFF WORKING DOCUMENT Energy Union Factsheet Poland Accompanying the document COMMUNICATION FROM THE COMMISSION TO THE EUROPEAN PARLIAMENT, THE COUNCIL, THE EUROPEAN ECONOMIC AND SOCIAL COMMITTEE, THE COMMITTEE OF THE REGIONS AND THE EUROPEAN INVESTMENT BANK Third Report on the State of the Energy Union
Date: 2017-11-23
Institutions: European Commission, Secretariat-General
Subjects: Poland, climate change policy, competitiveness, economic and social cohesion, energy cooperation, energy policy, innovation, investment, regional cooperation, single market

EN 

  EN 

   EUROPEAN COMMISSION  Brussels, 23.11.2017 SWD(2017) 407 final  COMMISSION STAFF WORKING DOCUMENT Energy Union Factsheet Poland  Accompanying the document  COMMUNICATION FROM THE COMMISSION TO THE EUROPEAN PARLIAMENT, THE COUNCIL, THE EUROPEAN ECONOMIC AND SOCIAL COMMITTEE, THE COMMITTEE OF THE REGIONS AND THE EUROPEAN INVESTMENT BANK  Third Report on the State of the Energy Union  {COM(2017) 688 final} - {SWD(2017) 384 final} - {SWD(2017) 385 final} - {SWD(2017) 386 final} - {SWD(2017) 387 final} - {SWD(2017) 388 final} - {SWD(2017) 389 final} - {SWD(2017) 390 final} - {SWD(2017) 391 final} - {SWD(2017) 392 final} - {SWD(2017) 393 final} - {SWD(2017) 394 final} - {SWD(2017) 395 final} - {SWD(2017) 396 final} - {SWD(2017) 397 final} - {SWD(2017) 398 final} - {SWD(2017) 399 final} - {SWD(2017) 401 final} - {SWD(2017) 402 final} - {SWD(2017) 404 final} - {SWD(2017) 405 final} - {SWD(2017) 406 final} - {SWD(2017) 408 final} - {SWD(2017) 409 final} - {SWD(2017) 411 final} - {SWD(2017) 412 final} - {SWD(2017) 413 final} - {SWD(2017) 414 final}  
 
 
                              Energy Union –Poland 

  Poland 
                          Energy Union factsheet1 

1.  Macro-economic implications of energy activities 

Energy and transport are key sectors for the overall functioning of the economy as they provide an 
important  service  to  the  other sectors  of  the economy.  Together  the activity  in these  two  sectors2 
accounted  for  9.8  %  of  the  total  value  added  of  Poland  in  2015.  Similarly,  their  share  in  total 
employment3  was  6.9  %  in  2015,  of  which  5.8%  in  the  transport  sector  and  1.1  %  in  the  energy 
sector.   

The  decarbonisation  of  the  energy  and  transport  sectors  will  require  significant  investments  and 
economic  activity  beyond  the  remit  of  these  sectors  themselves.  The  energy  transition  implies  a 
structural  shift  in  economic  activity.  Energy-related  investment  and  jobs  will  in  part  migrate  from 
traditional  fossil  fuel  based  activities  towards  construction,  equipment  manufacturing  and  other 
services related to the deployment of low carbon and clean energy technologies. At the moment, the 
efforts related to the low-carbon and clean energy transition in sectors beyond energy can only be 
partially quantified and are therefore not included in this analysis. 

(source: Eurostat) 

1   The indicators used in this country factsheet largely build on indicators developed for the Commission Staff 
Working  Document  "Monitoring  progress  towards  the  Energy  Union  objectives  –  key  indicators" 
(SWD(2017)  32 
final)  https://ec.europa.eu/commission/sites/beta-political/files/swd-energy-union-key-
indicators_en.pdf    

2   Gross value added and employment in NACE sectors D-Electricity, gas, steam and air conditioning supply 

and H-Transportation and storage 

3   National accounts, Eurostat 

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                              Energy Union –Poland 

In  the  case  of  the  renewable  energy  sector,  both  the  direct  as  well  as  the  indirect  effects  on 
employment  are  being  estimated.  According  to  EurObserv'ER,  in  2015,  the  share  of  renewable 
energy related employment in total employment of the economy in Poland was at about 0.28 % (i.e. 
43,300 workers for the renewable energy sector). Most of these jobs are in biomass and biofuels and 
wind industries. The turnover of the renewable energy industry in the same year was estimated  at 
around  EUR  5.1  billion,  about  40  %  being  attributed  to  the  wind  industry  (mostly  foundations 
manufacturing), 35.8 % to biomass industry and almost 14 % to the biofuel industry. 

(source: EC based on Eurobserv'Er and Eurostat) 

The overall investment is usually taken as an indication of the level of efforts and challenges in the 
energy sector. However, data is not available for Poland for this indicator (GFCF)4. 

In terms of trade, Poland is a net importer of fossil fuels and electricity, but it has reduced its deficit 
between 2006 and 2015. The trade deficit in energy products, expressed as a percentage of GDP, fell 
from about 2.4 % of GDP in 2005 to 1.6% in 2015, mainly influenced by falling oil and gas prices. The 
largest  decrease  is  accounted  for  by  oil,  whose  trade  deficit  decreased  by  more  than  1  %  of  GDP. 
There is little trade in electricity, with a balance of trade close to zero. The surplus in coal trade went 
down from 0.6 % to 0.2 % of GDP.  

4 Gross fixed capital formation consists of resident producers´ acquisitions, less disposals, of fixed tangible or 
intangible  assets.  This  covers,  in  particular,  machinery  and  equipment,  vehicles,  dwellings  and  other 
buildings. It also includes foreign direct investment (FDI). 

2 

 
 
 
                                                            
                              Energy Union –Poland 

(source: Eurostat) 

2.  Energy security, solidarity and trust 

2.1. Energy Mix 

In comparison to the average energy mix in the EU, the Polish energy mix of primary products has a 
much higher share of solid fuels (50.5 % vs 16.2 %), which are mainly used in power generation and 
heating.  Poland  has  the  highest  share  of  solids  in  its  energy  mix  among  all  Member  States. 
Consequently,  all  other  fuels  have  much  lower  importance  in  Poland  than  in  the  EU:  natural  gas 
(14.4% vs 22 %), renewables (9.4 % vs 13 %) and oil (25.1 % vs 34.4 %). Over the past years, the share 
of solids has decreased and share of RES and gas increased.  

 (source: ESTAT) 

2.2. Import dependency and security of supply 

Poland  has  a  much  lower  import  dependency  (29.3  %)  than  the  EU  average  due  availability  and 
exploitation of its own coal resources. The overall import dependency has been, however, increasing 
over the past years and much faster than for the whole EU. In 2015, Poland imported over 70 % of its 
natural gas needs and all of its oil needs. While Poland has been consistently a net coal exporter, the 

3 

 
 
 
 
 
  
   
                              Energy Union –Poland 

net exports have diminished over time with coal imports growing (more than doubling since 2005) 
and  exports  decreasing  (by  1/3rd    since  2005).  In  2015,  Poland  imported  almost  9  Mt  (mostly  hard 
coal). Currently, there are serious concerns about the competitiveness of coal mining in Poland and 
the restructuring of the mining sector is ongoing. 

For gas, Russia currently supplies over 72.5% of Poland imports and it is also the dominant supplier of 
crude  oil  (88.3  %).  However,  the  recently  opened  oil  terminal  in  Gdańsk  increased  the  import 
capacities for crude oil by sea and may facilitate the further diversification of suppliers. 

Diversifying energy supply is a key objective of Polish energy policy, which has led to the construction 
of  an  LNG  terminal  and  several  projects  of  gas  interconnection  (with  Norway,  Lithuania,  Slovak 
Republic  and  Czech  Republic).  On  the  other  hand,  the  exploration  of  domestic  shale  gas  resources 
was  without  success.  Finally,  the  Polish  Nuclear  Power  Program  envisages  construction  of  two 
nuclear power plants by 2035 but this deadline is still achievable only for the first NPP of 3 GWe.  

 (source: Eurostat) 

The security of gas supply regulation requires that, if the single largest gas infrastructure fails in one 
Member State, the capacity of the remaining infrastructure is able to satisfy total gas demand during 
a day of exceptionally high gas demand. Poland complies with this rule. 

(source: gas coordination group) 

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                              Energy Union –Poland 

3.  Internal market 

3.1. Interconnections and wholesale market functioning 

3.1.1.  Electricity 

 (source: EC based on ENTSO-E scenario 
outlook and adequacy forecast 2014) 

(sources: EC services based on Eurostat for the left graph  and based 
on Platts and European power exchanges for the right graph) 

The interconnection level in electricity5 in Poland in 2017 is 4 % (including the LitPol Link). This is the 
lowest  level  in  the  EU.  Day-ahead  market  coupling  is  implemented  on  Polish  borders  with  Sweden 
and Lithuania, and operated within the Multi-Regional Coupling (MRC) arrangements. The Polish TSO 
and Power Exchange are also members of CORE Flow Based Market Coupling Project, which aims at 
implementing market coupling mechanism in the CORE region. After implementation of this project 
(planned in 2019), all Polish EU borders will be included in day-ahead market coupling mechanism. 
The domestic infrastructure still needs modernisation and Poland is using effectively European funds 
for this purpose (ESIF and EFSI).  

Because of the inefficiencies inherent in the current delineation of bidding zones in Central Europe6 
(in  particular  between  Germany  and  Poland),  there  are  limitations  on  how  much  electricity  Poland 
can import through its synchronous interconnection7 .  

In  the  past  years,  the  Polish  electricity  wholesale  market  has  become  increasingly  competitive  as 
concentration of the power generation market is now much below the EU average and, even despite 
low interconnection, Poland in the past few years has had lower wholesale electricity prices than the 
EU  average  (except  in  2014).  However,  Polish  wholesale  electricity  prices  have  been  higher  than 
those  in  Germany,  much  higher  than  those  of  its  Nordic  neighbours  and  slightly  higher  than  in 
Slovakia  and  the  Czech  Republic.  Due  to  the  above  referred  limitation  of  electricity  imports, 

5 The interconnectivity level is calculated as a ratio between import interconnection and net generation capacities 
of the country (i.e. the 2017 value is the ratio between simultaneous import interconnection capacity [GW] 
and net generating capacity [GW] in the country at 11 January 2017, 19:00 pm as resulted from ENTSO-E 
Winter Outlook 2016/2017) 

6 In particular Poland struggles with unscheduled power flows from Germany 
7 The volume of available cross-border capacity was recently increased on PL-DE border and implementation of 
allocation constraints mechanism on PL-LT and PL-SE4 borders. 

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                              Energy Union –Poland 

wholesale  electricity  prices  might  show  significant  and  sudden  increases  in  peak  demand  periods 
(e.g.: heat waves during summertime). 

Electricity PCI projects 

  Cluster Germany-Poland "GerPol Power Bridge" 
  Cluster Germany-Poland "GerPol Impovements " 
  Reinforcements in Lithuania and Poland necessary for operation of LitPol Link I 

3.1.2.  Gas 

The  gas  wholesale  market  remains  relatively  closed  as  Poland  has  not  yet  fully  implemented  the 
Third  Package  rules  and  is  dominated  by  the  incumbent:  PGNiG.  In  2015,  Poland  had  an  average 
market concentration, being similar to the EU average and the situation has been stable since 2011. 
In 2016, there was a further development of the wholesale natural gas market with the increase in 
the  number  of  undertakings,  holding  licences  for  trade  in  gaseous  fuels  and  the  number  of 
undertakings actively participating in this trade, as well as with the obligation to sell (55% of gas in 
the network) on the commodity exchange. As a result, an increased liquidity has been observed on 
the commodity exchange (including on the sport markets, as a result of introduction of the Balancing 
Network Code). However, following subsequent revisions of the natural gas stock-piling Law in 2016 
and  2017,  new  requirements  have  been  placed  on  gas  undertakings  that  are  worrying  from  the 
perspective of the competition on this market. 

Gas  interconnection  is  in principle  better  than the in  case  of  electricity  due  to  the LNG  terminal  in 
Świnoujście and to the German interconnection, but it has to be noted that Poland is not connected 
with 3 out of 4 neighbouring Member States (as the existing connection with Czechia allows only for 
0.5 bcm/year flow). The situation should improve with the construction of additional interconnectors 
of  regional  importance:  Stork  II  with  Czechia,  GIPL  with  Lithuania  and  the  interconnector  with 
Slovakia.  

Considering  the  expected  increase  in  gas  demand  by  2020,  the  work  advances  on  the  gas 
interconnector  to  connect  Poland  and  Denmark  (BalticPipe),  which  is  to  deliver,  together  with  an 
interconnector  Denmark  –  Norway,  Norwegian  gas  to  Poland  and  further  down  to  South  Eastern 
Member States and Ukraine. A final investment decision is expected to be reached by 2018 and the 
project is reported to be commissioned by 2020-2022. As an alternative, a further expansion of LNG 
terminal is considered. 

Wholesale gas prices are aligned with EU average, similar as those of neighbouring central European 
countries but higher than in Germany. 

6 

 
 
 
                              Energy Union –Poland 

(source: ACER for the left graph and EC services based on Platts, gas hubs, Eurostat for the right graph) 

Gas PCI projects 

  Poland-Czech Republic interconnection "Stork II" 
  Poland - Slovakia interconnection 
  PCI Poland - Denmark interconnection "Baltic Pipe" 
  PCI Poland-Lithuania interconnection "GIPL" 
  Capacity expansion of LNG terminal in Świnoujście  

3.2. Retail electricity and gas markets 

On  the  retail  markets,  Poland  continues  to  regulate  electricity  prices  for  most  of  small  customers 
(mostly households) and gas prices for households and companies. There is already a time schedule 
fixed to liberalise the gas prices as required by the judgement of the European Court of Justice on gas 
price regulation (36/14 Commission v. Poland): January 2024 for households and October 2017 for all 
the other customer groups. Poland currently lacks a roadmap for electricity price deregulation.  

3.2.1.  Electricity 

In 2016, households' electricity prices (average band) in Poland were below the EU average. Between 
2013  and  2016,  average  band  retail  electricity  prices  for  households  slightly  decreased,  while 
wholesale  prices  have  been  relatively  constant.  At  the  same  time,  the  share  of  taxes  and  levies  in 
household electricity prices has remained constant and, in 2016, over 10 percentage points below EU 
average.  

Poland is lagging behind in the deployment of smart meters. Despite its positive cost-benefit analysis 
for a wide-scale roll-out of electricity smart metering by 2020, there are no provisions adopted yet on 
the large-scale roll-out of smart metering and no legal  obligation in place for DSOs to undertake this 
deployment.  

Annual switching rates from one electricity supplier to another are very low, partly because the retail 
electricity market is dominated by regional power suppliers with low competition among and within 
the regions and partly because relatively low, regulated, energy prices for households do not provide 
a strong driver for searching for better prices.  

7 

 
 
 
 
 
 
 
 
 
                              Energy Union –Poland 

(source: ACER) 

      (source: Eurostat) 

(source: Eurostat) 

3.2.2.  Gas 

The retail gas prices are progressively liberated. In 2016, households' gas prices (average band) in 
Poland were below the EU average. Between 2013 and 2016, average household gas prices slightly 
decreased (faster than the EU average) and the share of taxes and levies has been constant. 
Shares of taxes and levies in household gas prices have been constant since 2013 and lower than EU 
average. 

The  retail  gas  market  is  dominated  by  the  undertakings  of  the  incumbent  (PGNiG)  as  retail  price 
regulation is still preventing market entry of new suppliers. Market conditions as well as consumer 
satisfaction have been improving in recent years. In 2015, a further increase in share of alternative 
suppliers on the retail market has been observed. PGNiG's share in the sales of natural gas to end-
users has been decreasing and in 2016 amounted to 74 %, whereas in the preceding year it was equal 
80 %8. The remaining gas sales to end-users was carried out by other trading companies active on the 
domestic sales market and by companies selling gas mostly on the German market, directly to large 
final customers, who bring this gas to Poland on their own. As a consequence, annual switching rates 
for gas are very low. 

8 Yearly report of the President of URE. 

8 

 
 
 
 
 
 
 
 
 
 
 
                                                            
                              Energy Union –Poland 

(source: ACER) 

     (source: Eurostat) 

(source: Eurostat) 

3.2.3.  Market performance indicators 

According to the periodical survey of DG JUST, in 2015 Polish consumers were less satisfied than the 
EU average about the services received on electricity retail markets. Their satisfaction with services 
received on the gas retail markets is in line with EU average.  

(source: DG JUST survey) 

3.3. Energy affordability  

The  share  of  energy  in  total  household  expenditures  is  influenced  by  lower  purchasing  power  of 
Polish households and high heating needs due to low thermal integrity of the majority of buildings 
(75  %  of  residential  buildings  were  constructed  before  1990s  and  thus  to  a  rather  poor  standard) 
further exacerbated by often harsh winter conditions.  

Regarding  energy  poverty,  the  share  of  energy  in  total  consumption  expenditures  of  the  lowest 
quintile  of  population  is  higher  than  the  EU  average,  and  slightly  increased  since  2005.  There  is, 
however,  a  significant  progress  in  the  reduction  of  energy  poverty  when  looking  at  the  strong 
decrease (-32.5 %) in the part of citizens deemed at risk of poverty who consider that they are unable 
to  keep  their  home  adequately  warm.  This  progress  can  be  explained  by  increasing  purchasing 
power,  regulated  retail  electricity  and  gas  prices  and  also  by  some  progress  in  energy  efficiency 
standards of residential buildings. 

9 

 
 
 
 
 
 
 
 
 
 
 
                              Energy Union –Poland 

 (source: ad-hoc data collection of DG ENER based on HBS with the support of Eurostat and national statistics) 

4.  Energy efficiency and moderation of demand 

Since  2005,  Poland  has  increased  its  primary  energy  consumption  by  2.7  %,  reaching  90.0  Mtoe  in 
2015.  Over  the  same  period,  final  energy  consumption  also  increased  by  6.5  %  to  62.25  Mtoe  in 
2015. This is partly explained by the strong economic growth and historically high energy intensity of 
the Polish economy. In 2015, Poland already achieved levels of primary and final energy consumption 
below the 2020 indicative national targets (96 Mtoe in primary energy consumption and 72 Mtoe in 
final energy consumption). These targets have, by design, allowed for energy consumption growth - 
linked  to  economic  growth.  Nevertheless,  Poland  will  need  to  continue  the  efforts  to  keep  these 
levels of energy consumption until 2020.  

(source: Eurostat) 

Although primary energy intensity is one of the highest in the EU, its decrease over the 2005-2015 
period  was  among  the  fastest  in  the  EU.  A  detailed  sectoral  assessment  can  illustrate  this  trend. 
Likewise,  sectoral  indicators  show  high  energy  intensity  in  all  of  the  sectors,  but  also  visible 

10 

 
 
 
 
 
 
 
                              Energy Union –Poland 

improvements in final energy consumption since 2005. With the exception of the residential sector, 
there have been faster improvements in Poland than for the EU as a whole. 

In 2015 in Poland, the residential sector was the largest energy consuming sector representing a 30.3 
%  share  in the total  final  energy consumption,  which  is  well above  than for  the whole EU  (25.4%). 
Also strikingly, the share of the agriculture sector in final energy consumption in Poland was twice as 
much as for the whole EU due to the significant share of agriculture in the Polish economy and its 
low  degree  of  modernisation.  In  contrast,  the  energy  consumption  of  the  Polish  transport  sector 
represented 27.7 % in total final energy consumption, well below the 33.1 % for the whole EU. The 
shares of services and industrial sectors in energy consumption are similar to the whole EU. 

(source: Eurostat) 

In  the  residential  sector,  many  single-family  houses  use  obsolete  and  inefficient  boilers,  which  are 
fed with solid fuels. While new and renovated buildings have better performance, in line with the EU 
legislation, the overall improvement of the energy efficiency in the residential sector since 2005 has 
been slower than the EU average. 
The  energy  intensity  of  the  Polish  industry  is  one  of  the  highest  in  the  EU  but  has  decreased 
remarkably  since  2005  mostly  due  to  the  transformation  of  the  Polish  economy  towards  lighter 
industry and services. This is also, to a lesser extent, true in the services sector albeit improvement 
rate is slower than in the industrial sector.  
There is untapped potential for energy efficiency in all sectors, notably in residential buildings as well 
as in the transport sector. This unexploited potential represents a significant business opportunity for 
domestic  companies,  which  could  build  a  know-how  and  a  competitive  advantage  on  this  large 
domestic  market.  Renovation  of  houses  combined  with  replacement  of  coal-fired  boilers  is  an 
opportunity for both energy savings and reducing coal use in domestic heating, and thus contributing 
to decrease in health problems, such as premature deaths and other problems linked to current air 
quality – which is one of the worst in Europe.  

11 

 
 
 
 
 
 
                              Energy Union –Poland 

(source: Eurostat)  

      (source: Eurostat) 

  (source: Odyssee database) 

Between 2005 and 2015, final energy consumption in transport recorded an average annual increase 
of  3.4  %  in  Poland,  only  slightly  slower  than  the  3.9  %  average  annual  increase  of  the  GDP.  When 
comparing  the  evolution  of  energy  consumption  with  transport  activity,  passenger  mobility  has 
increased by 16% over 2005-2015, while freight transport has registered a higher increase of 35.3% 
over the same period. 

According to the IEA, Poland has still a relatively low motorisation rate but also one of the oldest and 
thus  most  energy-consuming  passenger  car  fleets.  There  are  more  than  20  million  passenger  cars 
registered  in  Poland9  and  the  average  age  of  a  car  in  Poland  is  17.5  years,  compared  to  an  EU-28 
average of 9.7 years10.  

(source: Eurostat)  

        (source: Eurostat and DG MOVE pocketbook) 

The share of collective passengers' land transport in all passengers' transport decreased significantly 
between 2005 and 2015, indicating an increasing use of private transport means. However, the share 
of public transport was still higher than the EU average. 

9 Eurostat, table code "road_eqs_carage" 
10 Energy Policies of IEA Countries – Poland, 2016 Review, IEA, based on ACEA (2015). 

12 

 
 
 
 
 
 
 
 
 
 
 
                                                            
                              Energy Union –Poland 

(source: Eurostat)  

The  main  priorities  for  transport  are  set  by  the  Responsible  Development  Strategy,  which  Poland 
adopted in 2016. Electromobility is one of the key areas identified in the strategy and the aim is to 
create favourable conditions for the promotion of electric vehicles, in particular in the context of the 
public transport in cities,  both with regard to electric buses and to other means of transport using 
electric  propulsion  with  charging  infrastructure.  The  Electromobility  Development  Plan  sets  out  a 
vision with a three stage implementation until 2025.  

Despite  positive  developments  in  recent  years,  the  state  of  the  Polish  infrastructure  continues  to 
pose  a  challenge,  especially  in  railways.  The  National  Railway  Programme  for  (2014-2023)  was 
adopted  in 2015,  and  ensures  the continuity  of  investment  projects  and  defines  the projects  to  be 
implemented using  EU and national funds. Among  rail infrastructure projects, priority is set on the 
up-grading  of  the  existing  major  rail  links,  the  elimination  of  bottlenecks  and  raising  technical 
standards.  

As  regards  the  road  network,  the  National  Road  Construction  Programme  (2014-2023,  with  a 
perspective to 2025) defines the capital investments to be made until 2025. The strategic goal is to 
complete the core network of high capacity roads as set in the TEN-T regulation and an intermediate 
aim is set at 88% of the core TEN-T road network by 2020/2023. 

5.  Decarbonisation of economy 

5.1. GHG emissions 

By 2016, Poland's total GHG emissions declined by 16.1 % compared to 1990 levels. This is a smaller 
decrease than for the EU as a whole. 

Poland's  2020  target  for  the  Effort  Sharing  Decision  is  +14  %  compared  to  2005.  GHG  emissions 
increased between 2005 and 2016 in non-ETS sectors by 7.1 %. According to the latest projections, 
the 2020  target is  expected to  be achieved: 5.6 %  emissions growth is projected in 2020  (an "over 
performance" of 8.4 percentage points). 

13 

 
 
 
 
 
 
 
                              Energy Union –Poland 

(source: EC and EEA)   

GHG  intensity  of  the  economy  has  decreased  considerably  since  1990  levels  but  is  still  one  of  the 
highest  in  the  EU.  GHG  emissions  per  capita,  are  also  higher  than  the  EU  average,  and  have 
decreased at a slower pace than in the EU as a whole. 

(source: EC and EEA)   

Preliminary accounts under the Kyoto Protocol for Poland show overall removals of -14.6 Mt CO2-eq. 
as  an  annual  average  in  the  period  2013-2015.  For  comparison,  the  annual  average  of  the  EU-28 
accounted  for  removals  of  -119.0  Mt  CO2-eq.  It  should  be  noted  that  in  this  preliminary  simulated 
accounting exercise, removals from Forest Management did not exceed the accounting cap.  

Removals by Afforestation are notably higher than very limited emissions by Deforestation; however, 
removals  by  Forest  Management  are  by  far  much  higher  in  all  years.  Overall,  there  is  a  strongly 
decreasing  trend  in  removals,  due  to  declining  removals  by  Forest  Management.  Removals  by 
Afforestation show no particular trend over the course of the three-year period.  

14 

 
 
 
 
 
 
 
                              Energy Union –Poland 

Note: Forest Management credits are capped and presented as yearly averages when the total Forest 
Management credits of the considered period exceed the simulated cap over the same period. 

(source: EC and EEA) 

CO2 emissions in transport and alternative fuelled vehicles 
In 2016, the average CO2 emissions of new cars in Poland were above the EU average and over the 
period 2005-16 decreased less than the EU average. 

 (source: European Environment Agency) 

Over  the  three  years  between  2014  and  2016,  the  number  of  charging  points  in  Poland  has  been 
increasing, reaching the amount of 324 points in 2016. 

15 

 
 
 
 
 
 
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 (European Environment Agency)  

       (European Alternative Fuels Observatory) 

National Policy Frameworks under Directive 2014/94/EU on alternative fuels infrastructure have to 
establish targets, objective and measures for the development of the market of alternative fuels in 
the  transport  sector  and  the  deployment  of  the  relevant  infrastructure.  Poland  has  submitted  its 
National Policy Framework as requested under article 3 of the Directive 2014/94/EU.  

A detailed assessment of the Polish National Policy Framework in terms of its compliance with the 
requirements  of  Directive  2014/94/EU  on  alternative  fuels  infrastructure,  its  contribution  to 
achievement  of  long-term  energy and  climate objectives  of  the  Union  and  coherence of  its  targets 
and objectives in terms of cross-border continuity has been published as part of the Communication 
on  Alternative  Fuels  Action  Plans  (COM(2017)652)  and   the  related  staff  working  document 
SWD(2017)365. 

5.2. Climate change adaptation strategies 

The 'Polish National Strategy for Adaptation to Climate Change by 2020 with the perspective by 2030' 
was adopted by the Polish government in 2013. Risk assessments have covered the following sectors: 
agriculture,  forestry,  biodiversity,  human  health,  water,  coastal  areas,  mountain  areas,  transport, 
energy,  built  environment,  and  spatial/urban  planning.  The  strategy,  alongside  the  strategic 
objectives,  sets  out  a  number  of  relevant  monitoring  indicators,  but  no  systematic  framework  has 
been  developed  and  monitoring  of  the  strategy,  although  foreseen,  has  not  been  undertaken  yet. 
There  is  no  Government  proposal  to  prepare  a  national  adaptation  action  plan;  however,  a 
prominent ongoing initiative will develop action plans for 44 cities above 100 thousand inhabitants. 

5.3. Taxes on energy and transport and fossil fuel subsidies 

The overall tax burden on energy and transport in Poland amounts to 2.3 % of GDP, which is broadly 
in  line  with  the  EU  average.  Tax  revenue  on  transport  fuels  constitutes  a  higher  share  of  GDP  in 
Poland  than  in  the  EU  average,  whereas  the  opposite  holds  true  for  the  tax  burden  on  transport 
vehicles. Finally, heat and electricity tax revenue in Poland is also lower than the European average. 
This overall structure of tax revenue from the different sources has been broadly stable since 2007, 

16 

 
 
 
 
 
 
 
                              Energy Union –Poland 

even if the overall revenue has fallen slightly (by 0.2 p.p.) There is no CO2 component in the taxation 
frameworks for vehicles or energy products in Poland. 

 (source: Eurostat) 

in  Poland  comes  mainly 

in  the  form  of  compensations  for  the 
Support  for  fossil  fuels 
decommissioning  of  coal  mines  and  for  the  termination  of  long-term  Power  Purchase  Agreements 
(PPAs)  that  were  signed  with  power  plants.  The  stranded-costs  compensation  scheme  provided  to 
power plants was introduced in 2008 and peaked in 2009 but has slightly declined since. The abrupt 
decrease in total support observed since 2011 calls, however, for caution since no data are available 
for several of the support measures.  

State  aid  was  granted  for  Coal  Plans  for  the  periods  2011-201511  and  2015-201812,  to  cover  for 
exceptional social and environmental costs and production losses of the mines until their closure (14 
mining units to close out of 22). 

11 Total budget of EUR 603,6 million, cf 

http://ec.europa.eu/competition/state_aid/cases/240638/240638_1421165_117_2.pdf 

12 Total budget of €1.79 billion, of which Ca €1.71 billion was attributed to exceptional social and environmental 
costs and the remainder of the aid is to cover production losses of the mines until closure, according to 
http://ec.europa.eu/competition/state_aid/cases/257337/257337_1866791_407_2.pdf and 
http://europa.eu/rapid/press-release_IP-16-3824_en.htm  

17 

 
 
 
 
 
 
                                                            
                              Energy Union –Poland 

(source: OECD) 

5.4. Renewable energy  

Solid biomass was the largest renewable energy source in 2015 in Poland  accounting for 100 % in 
renewable heating and a share of 43 % in renewable electricity generation (mostly in co-firing of coal 
and  biomass).  In  the  transport  sector,  biodiesel  was  the  main  renewable  fuel  in  2015  (88  %  of 
biofuels  produced  and  80  %  of  biofuels  consumed).  The  share  of  renewable  electricity  in  the 
transport  sector  reached  8  %.  With  its  decreasing  technology  costs,  wind  power  also  developed 
considerably during the most recent years. 

In a 2030 perspective, Poland has large renewable energy resources that could be increasingly used 
as domestic alternative to fossil fuels, notably biomass and wind. 

While in 2015 Poland was at a 11.8 % renewable energy share in the gross final energy consumption, 
which  is  above  the  2015–2016  indicative  trajectory  towards  its  2020  renewable  energy  target  (15 
%)13,  the  achievement  of  its  2020  renewable  energy  target  remains  challenging14.  Significant 
additional  investments  will  be  still  necessary  for  reaching  the  2020  targets,  requiring  mostly  legal 
certainty.  Investment  framework  conditions  in  the  renewable  energy  sector  have,  however, 
worsened  as  a  result  of  subsequent  revisions  of  the  Renewable  Energy  Law  (in  2016  and  2017)  as 
well as because of the law on investments in on-shore wind adopted in 2016. The former changed 
the  operation  of  the  green  certificates  market  for  existing  installations  and  the  latter  introduced 
more restrictive conditions for establishment of new wind farms.  

Poland  is,  like  most  Member  States,  lagging  behind  in  reaching  the  target  of  10  %  for  renewable 
energy share in transport – in 2015 it achieved 6.4%, and this share has been constant since 2010. 
The share of renewable energy was more than 14% in the heating and cooling sector and was more 
than 13 % in electricity generation in 2015.  

13   In  terms  of  renewable  energy  sources,  biomass  (mostly  imported  and  mostly  co-fired  with  solids)  is 
dominant whereas other sources represent less than 1% of energy mix. Biomass dominates the heating and 
cooling sector. In power generation, wind has been the growing fast and its share in the renewable electricity 
reached 46% in 2015 (biomass share was 43%, hydro share – around 11%, solar – less than 0.5%). Biomass 
co-firing supports the role of solids in energy mix. 

14   Country Report Poland 2017, SWD(2017) 86 final of 22.2.2017 

18 

 
 
 
 
 
 
                                                            
                              Energy Union –Poland 

 (source: Eurostat-SHARES) 

(source: Eurostat-SHARES) 

Until 2016, electricity and heating from renewable energy sources were mainly promoted through a 
technology-neutral green certificates scheme. The new support scheme is based on tenders but so 
far  only  one  test  action  took  place  and  not  without  difficulties.  The  main  support  mechanism  for 
transport is an incorporation of obligations put on fuel suppliers. 

Due  to  a  consistent  deployment  of  renewables  since  2005,  it  is  estimated  that  Poland  avoided  in 
2015 about 6.3 % of the fossil fuels in gross inland consumption and about 5 % of GHG emissions at 
national level15. Both fossil fuel and GHG emission avoidances were lower in Poland than those in the 
EU as a whole in the 2005-2015 period. 

15 Avoided GHG emissions mentioned here have a theoretical character as these contributions do not necessarily 
represent 'net GHG savings per se' nor are they based on life-cycle assessment or full carbon accounting. 

19 

 
 
 
 
 
 
 
                                                            
                              Energy Union –Poland 

 (source: EEA) 

5.5. Contribution of the Energy Union to better air quality 

Air quality in Poland continues to give serious cause for concern. The European Environment Agency 
estimated that in 2013 about 48,270 premature deaths were attributable to fine particulate matter 
(PM2.5) concentrations and over 1,610 to nitrogen dioxide (NO2) concentrations16.  

For both pollutants, Poland reported exceedances of the binding EU air quality standards17. For the 
year  2015,  Poland  reported  exceedances  of  the  limit  value  for  PM10  in  39  out  of  the  46  air  quality 
zones in Poland, while exceedances of the limit value for PM2.5 were reported in 23 zones and of the 
limit value for NO2 in 4 of the 46 zones 18.  

(source: EEA) 

The health-related external costs from air pollution in Poland have been estimated to be more than 
EUR 26 billion/year (income adjusted, 2010), which includes the intrinsic value of living a healthy life 
without premature death as well as the direct costs to the economy such as healthcare costs and lost 
working days due to sickness caused by air pollution19. 

The  Energy  Union  can  substantially  contribute  to  addressing  these  air  quality  problems  through 
measures reducing emissions of both GHG and air pollutants such as PM and nitrogen oxides (NOx) 
from  major  contributing  sectors  such  as  (industry  and  residential  heating  (e.g.  stoves  and  boilers), 
energy production and (road) transport  as shown in the figure below20. 

16  European  Environment  Agency,  2016,  Air  Quality  in  Europe  –  2016  Report,  table  10.2.  The  report  also 
includes details as regards the underpinning methodology for calculating premature deaths.    
17 Directive 2008/50/EC of the European Parliament and of the Council of 21 May 2008 on ambient air quality 
and cleaner air for Europe, OJ L 152, 11.6.2008, p.1-44 
18  Compliance  data  as  reported  by  the  Member  States  as  part  of  their  official  annual  air  quality  report  for  the 
calender year 2015 (available on the European Environment Agency's (EEA) Eionet/Central Data Repository), 
http://cdr.eionet.europa.eu/pl/eu/aqd  
19  See  also  the  EU  Environmental  Implementation  Review  Country  Report  for  Poland,  SWD(2017)53  final  of 
3.2.2017 
20 National emission data as reported by the Member States to the EEA (available on the EEA's Eionet/Central 
Data Repository), http://cdr.eionet.europa.eu/pl/eu/nec_revised 

20 

 
 
 
 
                                                            
                              Energy Union –Poland 

(Source: EEA. This table reflects only sources of primary PM2,5 emissions.) 

21 

 
 
 
 
                              Energy Union –Poland 

6.  Research, innovation and competitiveness  

6.1. Investments on Energy Union R&I priorities and patents  

Poland  has  adopted  seven  strategic  interdisciplinary  directions  for  science  and  research  and 
innovation (R&I) in its National Research Programme, including one called 'New Technologies in the 
Field  of  Energy'.  The  main  focus  of  this  programme  is  energy  efficiency,  renewable  energy  and 
CO2 emissions  reduction.  It  covers  new  energy  sources  (including  shale  gas  and  nuclear  energy)  as 
well as the traditional energy sources of coal, gas and renewable sources. Also included are materials 
science, electricity distribution and the modernisation of the national electricity grid. Due to Poland’s 
important domestic resources of hard coal, low-emission coal technologies including gasification are 
strongly supported. 

Poland is not a very active contributor to the ongoing work of the Strategic Energy Technology (SET) 
Plan. It only participates in two (out of fourteen) temporary working groups for the implementation 
of the integrated SET Plan, the ones dedicated to energy efficiency in industry and nuclear safety. 

Regarding  the  Horizon  2020  programme,  Poland  has  received  so  far  0.8  %  of  the  EU  contribution 
devoted to the 'secure, clean and efficient energy' part of the programme. As of September 2017, 79 
participations from Polish organisations in Horizon 2020 energy projects have been awarded EUR 15 
million. This includes a grant of EUR 0.7 million to Baltic Ceramics Spolka Akcyjna for its participation 
in  project  PEGASUS  (innovative  solar  energy)  and  four  grants  totalling  almost  EUR  1.5  million  to 
Polish beneficiaries participating in project UPGRID (low voltage smart grids). 

Poland does not participate in Mission Innovation, apart from the indirect participation by means of 
EU budget increase for clean energy innovation21. 

6.2. Investments and patents in the Energy Union R&I priorities 

Based  on  provisional  reporting,  in  2016,  public  (national)  investments  in  the  Energy  Union  R&I 
priorities, amounted  to EUR 29 million22. The largest share of these investments (47 %) was attracted 
by the Smart Systems R&I priority of the Energy Union, followed by Efficient Systems and Sustainable 
Transport  (30  %  and  16  %  respectively).  In  the  period  2008-2016,  the  maximum  annual  public 
investment was EUR 138 million, reported in 2011. In 2014, the most recent year for which data for 
most  Member  States  are  available,  public  investment  per  GDP  in  Poland  was  lower  than  the  EU 
average. 

Private investment in the Energy Union R&I priorities in 2013 was estimated at EUR 182 million (1 % 
of the private R&I investment in Energy Union R&I priorities in the EU). The focus was on renewables, 
which received 30% of these investments, followed by Sustainable Transport with a share of 28 %.

In  2013,  the  most  recent  year  for  which  complete  patent23  statistics  are  available,  110  companies 
and research organisations based in Poland filed 146 patents in low-carbon energy technologies (2 % 

21   http://mission-innovation.net/ 
22   The  values  reported  for  2016  are  provisional;  the  respective  figure  for  2015  was  EUR  88  million,  10% 

higher than 2014. 

23   In  the  context  of  this  document,  the  term  'patent'  refers  to  patent  families,  rather  than  applications,  as  a 
measure  of  innovative  activity.  Patent  families  include  all documents  relevant to  a  distinct  invention (e.g. 

22 

 
 
 
 
 
                                                            
                              Energy Union –Poland 

of  the  EU  total).  The  focus  was  on  Efficient  Systems  (30%),  followed  by  Renewables  (27  %)  and 
Sustainable transport (24 %). 
In 2013, private R&I investments and patents in Energy Union R&I priorities were lower than the EU 
average  when  normalised  by  GDP  and  by  population  respectively.  In  the  period  2007-2013,  both 
private  R&I  investments  and  the  number  of  patents  in  Energy  Union  R&I  priorities  increased  on 
average by 24 % and 25 % per year, increasing faster than the same indicators at EU level (average 
rates of increase of 6 % and 15 % respectively).   

Note: Data only available from 2008 onwards. The international comparison (right) is shown for 2014 (Poland 
had reported EUR 83 million). Reporting at EU level for 2015 is not as complete, and very few countries have 
reported for 2016.

(Data sources: Public investment as available in the International Energy Agency RD&D Statistics database24 for 
codes  relevant  to  Energy  Union  RIC  priorities.  Patent  data  based  on  the  European  Patent  Office  PATSTAT 
database25. Private investment as estimated by JRC SETIS. The detailed methodology is described in a JRC study 
26.) 

6.3. Competitiveness 

applications to multiple authorities), thus preventing multiple counting. A fraction of the family is allocated 
to each applicant and relevant technology. 

24 http://www.iea.org/statistics/RDDonlinedataservice/  
25 https://www.epo.org/searching-for-patents/business/patstat.html#tab1  
26 https://setis.ec.europa.eu/related-jrc-activities/jrc-setis-reports/monitoring-ri-low-carbon-energy-technologies  

23 

 
 
 
 
 
 
 
 
 
 
 
                                                                                                                                                                                          
                              Energy Union –Poland 

In 2014, the real unit energy costs (RUEC)27 in the total value added in the manufacturing sector in 
Poland was 20.3 % - above the EU average (15.3 %). This was almost three times more than those in 
the US but below Japan and China. This can be partly explained by a significant presence of energy 
intensive  industries  in  Poland.  The  electricity  prices  paid  by  industrial  customers  in  Poland  were 
below the EU and OECD averages. Gas prices for industrial consumers were also slightly below the EU 
and OECD-Europe averages. Gas prices for industry are to be deregulated from October 2017. 

(source: ECFIN) 

                   (source: Eurostat and IEA) 

Poland is not specialised in either wind or solar technology but there are signs of domestic capacity 
developing.  The  revealed  comparative  advantage  indicator  in  both  solar  PV  and  wind  technologies 
are  below  128,  but  have  increased  between  2005  and  2015.  Whereas  for  solar  this  performance  is 
almost in line with the European average, in the wind sector Poland does not match the EU average. 
The relative trade balance29 confirms that Poland is a net importer of solar components. Poland was 
also a net importer of wind technology components, except from wind turbine towers. 

27  This  indicator  measures  the  amount  of  money  spent  on  energy  sources  needed  to  obtain  one  unit  of  value 

added. 

28 The RCA index for product "i" is defined as follows: RCAi =

Xj,i
∑ Xj,i
i
Xw,i
∑ Xw,i
i

 where X is the value of exports, and j is 

the country and w is the reference group, the World economy. 2005 refers in the text to the indicator average 
over the 2000-2009 period, while 2015 represents the average over the 2010-2016 period. The same applies for 
the RTB indicator - see below. 
29 The RTB indicator for product "i" is defined as follows: 𝑅𝑇𝐵𝑖 =
exports and 𝑀𝑖 imports. 

 where 𝑋𝑖 is the value of product's "i" 

𝑋𝑖−𝑀𝑖
𝑋𝑖+𝑀𝑖

24 

 
 
 
 
 
 
 
 
                                                            
                              Energy Union –Poland 

(source: UN comtrade) 

7.  Regional and local cooperation 

BEMIP 
Poland participates in the BEMIP initiative (Baltic Energy Market Interconnection Plan), which aims at 
further integrating the energy markets of the Member States of the Baltic Sea region. BEMIP covers 
various aspects of the energy policy, including infrastructure, wholesale markets and renewables. For 
example,  in  the  gas  infrastructure  area,  the  BEMIP  group  monitors  the  implementation  of  the 
interconnector Poland – Lithuania (known as GIPL), while in the electricity sector the work is being 
carried  out  on  integrating  the  power  system  of  Lithuania  and  the  two  other  Baltic  States  into  the 
synchronous grids of the European Union. 

In  the  framework  of  the  BEMIP  Working  Group  on  Renewable  Energy  (established  in  2016),  Polish 
wind industry is interested in the participation in regional cooperation on offshore wind  – a sector 
identified  by  BEMIP  Member  States  as  the  sector  with  high  regional  cooperation  potential.  This 
interest was also supported by the Polish Ministry of Energy. 

Continental Central Eastern Europe integration initiative 
The ENTSO-E Continental Central Eastern Europe integration initiative that aims at strengthening the 
transmission network in between Germany, the Czech Republic, Slovakia and Poland. The driver for 
investments  in  this  region  is  to  decrease  price  differences  between  Poland  and  the  neighbouring 
countries,  as  well  as  the  need  to  increase  security  of  supply.  ENTSO-E  analysis  indicates  that  the 
optimal level of interconnection in this region ranges from 2.5 GW to 4.5 GW. Compared to present 
and planned investments, this shows potential for further projects. 

Other areas of regional cooperation  
Poland will likely be involved in discussions on better preparedness for emergency situations, ex-ante 
cooperation  with  neighbouring  Member  States  (including  solidarity  schemes,  compensations), 
priority of market measures, etc. This is closely linked with ongoing regional  discussion around the 

25 

 
 
  
 
 
 
 
 
                              Energy Union –Poland 

January  cold  spell  and  the  Security  of  Supply  proposals  in  the  Clean  Energy  for  All  Europeans 
package. 

In  August  2015,  confronted  with  abnormally  high  temperatures,  Poland  experienced  an  electricity 
crisis situation due to a combination of generation inadequacy and lack of import transfer capacity. 
In order to cope with the crisis situation, Poland ordered industrial clients to temporarily reduce their 
electricity  consumption  which  in  turn  resulted  in  welfare  losses.  In  reaction  to  the  August  2015 
electricity  crisis,  temporary  arrangements  have  been  made  to  reduce  the  transmission  capacity 
problem  on  Poland's  synchronous  interconnections30.  Due  to  increasing  concerns  about  security  of 
supply, Poland is considering the introduction of a capacity mechanism in the near future. 

The EU macro-regional strategy for the Baltic Sea Region in which Poland takes part can be used as a 
basis  for  regional  cooperation  on  energy.  European  Territorial  Cooperation  –  'Interreg'  –  under  EU 
cohesion policy also provides further opportunities for cross-border, transnational and interregional 
cooperation, including in the Energy Union areas. 

Cities and urban areas have a key role in the energy and climate challenge. The Urban Agenda for the 
EU,  established  by  the  Pact  of  Amsterdam  in  May  2016,  better  involves  cities  in  the  design  and 
implementation of policies, including those related to the Energy Union. It is implemented through 
Partnerships, in which the Commission, Member States, cities and stakeholders work together on a 
number  of  important  areas,  including  on  Energy  Transition,  Urban  Mobility,  Air  Quality,  Climate 
Adaptation  and  Housing.  Poland  is  participating  in  the  partnerships  on  Energy  Transition,  with  the 
city of Gdansk as co-coordinator, Urban Mobility, with the city of Gdynia as member, Air Quality, as 
member, Climate Adaptation, as member, and Housing, with the city of Poznan as member. 

By 2016, in the context of the Covenant of Mayors, the sustainable energy action plans delivered by 
34  Polish  municipalities  had  been  assessed.  Overall,  these  municipalities  cover  about  3.6  million 
inhabitants,  representing  slightly  below  10  %  of  the  total  population  in  Poland.  All  together,  these 
municipalities  committed  to  reduce  by  2020  the  GHG  emissions  by  20.8  %  (as  compared  to  1990 
baseline). 

Average  GHG  emission  per  capita  in  Covenant  Baseline  Emission  Inventories  and  corresponding 
estimates by 2020 (source: JRC) 

30  Commissioning  of  phase  shifting  transformers  in  Mikulowa  and  temporary  switch-off  of  the  Krajnik 

Vierraden line. 

26 

 
 
 
 
 
 
 
                                                            
                              Energy Union –Poland 

In Poland, by September 2016, 1 city (covering 0.12 million inhabitants) had committed to conduct 
vulnerability and risk assessment and develop and implement adaptation plans in the framework of 
the Covenant of Mayors for Climate and Energy. 

8.  Cohesion policy and EU clean energy investments  

EU  cohesion  policy  makes  a  key  contribution  to  delivering  the  Energy  Union  objectives  on  the 
ground, including important investment possibilities to implement energy policy objectives in Poland 
which are complemented by national public and private co-financing, aiming at optimal leverage. It 
also  ensures  integrated  territorial  solutions  to  energy  and  climate  challenges,  supports  capacity 
building and provides technical assistance. 

Over  2014-2020,  cohesion  policy  is  investing  some  EUR  5  632  million  in  energy  efficiency 
improvements  in  public  and  residential  buildings  and  in  enterprises,  as  well  as  in  high-efficiency 
cogeneration  and  district  heating,  renewable  energy  and  smart  energy  infrastructure.  Cohesion 
policy  is  also  investing  significantly  in  R&I  and  in  SME  competitiveness,  based  on  one  national 
strategy and 16 regional strategies for smart specialisation. For Poland, the national strategy includes 
a focus on the sustainable energy sector in three areas: highly-efficient, low-emission and integrated 
circuits  of  manufacturing,  storage,  transmission  and  distribution  of  energy;  smart  and  energy 
efficient construction; and environmentally friendly transport solutions. Some of  the regional smart 
specialisation  strategies  also  identify  similar  priority  areas,  e.g.  renewable  energy,  low-carbon 
economy, sustainable energy, advanced construction materials. At this stage, at least EUR 453 million 
are foreseen for investments in R&I and adoption of low-carbon technologies, but this might increase 
further in line with the evolving content of the smart specialisation strategy. A further estimated EUR 
12  954  million  is  invested  in  supporting  the  move  towards  an  energy-efficient,  decarbonised 
transport sector. 

(source: DG REGIO) 

These investments are expected to contribute to around 102,000 households with improved energy 
consumption  classification  and  a  decrease  of  around  1,181,502,000  kWh  per  year  of  decreased 
primary energy consumption of public buildings, around 960 MW of additional capacity of renewable 
energy production, around 543,000 additional users connected to smart grids, as well as to around 
10 km of new railway lines, 2,320 km of reconstructed or upgraded railway lines, 190 km of new or 

27 

 
 
 
                              Energy Union –Poland 

improved  tram  and  metro  lines,  and  10  km  of  new  or  improved  inland  waterways.  Overall,  the 
cohesion  policy  investments  in  Poland  over  2014-2020  are  expected  to  contribute  to  an  estimated 
annual decrease of GHG emissions of around 4,281,000 tonnes of CO2eq. 

For example, the LNG Terminal in Świnoujście has improved Poland’s energy security. It is the largest 
liquefied  natural  gas  facility  in  the  Northern  and  Central  Eastern  Europe.  The  Świnoujście  LNG 
terminal has been designed to receive, enable re-gasification and deliver up to 5 billion cubic meters 
of gas per year to the transmission system (30% of Polish gas demand). The project was co-financed 
by  the  European  Regional  Development  Fund  (EUR  224  millions),  EIB  (EUR  145  millions)  and  the 
European Energy Programme for Recovery (EUR 55 millions). 

As another example, the power interconnection between Lithuania and Poland, the so called LitPol 
Link,  completes  the  Baltic  Ring,  a  chain  of  electricity  interconnections  around  the  Baltic  Sea.  It 
includes construction of four transmission lines of 350 km in overall length. The project puts in place 
grid infrastructure allowing around 450  MW of  power  capacity  to  be accessed on the cross-border 
interconnection  with  Lithuania.  The  contribution  from  the  European  Regional  Development  Fund 
(ERDF) to the project amounts to EUR 244.5 million. 

Through  its  support  to  sustainable  transport  systems,  the  Connecting  Europe  Facility  (CEF)  also 
contributes  to  the  goals  of  the  Energy  Union.  Following  Polish  participation  in  the  CEF  –  Transport 
2014-2015  Calls,  the  Polish  action  portfolio  comprises  33  signed  grant  agreements,  allocating  EUR 
3,834 million of actual CEF Transport Funding to Polish beneficiaries (state-of-play February 2017)31. 
The transport mode which receives the highest share of funding is rail (82% of actual funding). The 
focus  under  this  priority  is  definitely  on  the  Core  Network  Corridors  development,  including  both 
studies and works to increase capacity and safety for passengers and freight. In long term they will 
contribute to improve effectiveness and competitiveness of rail traffic in Poland.  

Another  large  share  of  the  Polish  CEF  actions  is  in  road  transport,  where  the  objectives  are  to 
improve  the  road  infrastructure,  to  develop  and  implement  Intelligent  Transport  Systems  and 
Services (ITS), to optimise the deployment and functioning of the alternative fuel filling and energy 
supply  infrastructure,  and  to  prepare  for  the  construction  of  a  CNG/LNG  filling  station  network. 
Poland  is  also  involved  in  maritime  actions,  where  the  interventions  mainly  focus  on  the 
modernisation of port infrastructures in Świnoujście and Gdańsk with emphasis on improving port-
hinterland connections and intermodal operations.32 

31 Note that European Economic Interest Groups and International Organisations are excluded from the analysis. 
32 Source: INEA 

28