European Commission gives green light to multibillion-dollar offshore wind project in Poland
The European Commission has approved, in accordance with EU state aid rules, a Polish offshore wind technology support program.
The assistance will be provided in the form of a contract bonus for difference in both directions, for 25 years, but only up to 100,000 hours at full load per megawatt of installed capacity. In this model, this variable premium is calculated as the difference between the reference price and the market price of electricity. When the market price is lower than the reference price, the beneficiaries will be entitled to receive payments equal to the difference between the two prices.
However, when the market price is higher than the reference price, the beneficiaries will have to pay the difference between the two prices to the State.
The program has a maximum total budget of 22.5 billion euros ($ 27.5 billion) and will operate until 2030.
In January, the Polish Senate adopted the Offshore Law regulating the development of offshore wind farms in the Polish Baltic Sea. Polish energy companies will pull out of most of their coal operations and focus more on offshore wind after the law comes into force.
“The energy potential of the Baltic Sea is enormous and the conditions in the Polish part of the sea are among the best for this type of investment. We should take advantage of it. Ultimately, we can connect up to 28 GW of capacity in offshore wind farms to the Polish system and thus become the leader in the region ”, commented Kamila Tarnacka, Vice President of the Polish Energy Association. wind turbine earlier this year.