China Energy Storage Network News: Reporter Dong Zitong reported that Polish Minister of Climate and Environment Anna Moskova recently announced that the subsidy level for distributed solar storage projects will be increased. According to the latest policy, for each solar-storage project in Poland, the tax rebate for photovoltaic systems has increased from the original US$885 to US$1,328, and the tax rebate for energy storage systems has increased from the original US$1,660 to US$3,542. The latest tax refund plan will be implemented on December 15, 2022, and the tax refund application period for users is expected to be extended from December 2022 to the end of March 2023.

photovoltaic system

It is understood that tax rebates are currently the main form of distributed photovoltaic subsidies in Poland. In 2019, the Polish government launched a subsidy program called “My Power”, funded by the Polish state treasury. This subsidy adjustment is the fourth time the Polish government has adjusted the tax rebate amount since the implementation of the “My Power” program. This subsidy applies to household rooftop solar storage projects with a scale between 2 kW and 10 kW.

With the implementation of the “My Power” plan, the Polish people’s enthusiasm for installing solar storage systems has greatly increased, which has effectively stimulated the growth of the installed capacity of renewable energy in Poland. So far in 2019, the program has distributed about US$376 million in subsidies, accepted more than 410,000 applications, and reduced carbon dioxide emissions by 1.9 million tons. It is estimated that from 2021 to 2023, the “My Power” program will distribute subsidies of approximately US$190 million.

Against the above background, Poland’s photovoltaic installed capacity has maintained growth. As of August this year, the cumulative installed capacity of photovoltaics in Poland reached 11 million kilowatts. In the first eight months of this year, Poland’s newly installed photovoltaic capacity reached 3.36 million kilowatts, approaching the new installed capacity for the whole of 2021. Among them, distributed photovoltaic has become the main growth pole.

Since the beginning of this year, under the influence of the tense situation in Ukraine and Russia, the energy crisis in Poland has accelerated, coal prices have risen, and electricity prices have soared. To this end, the Polish government hopes to further increase the social demand for photovoltaics and continue to develop the photovoltaic industry.

It is worth noting that the total appropriation amount of the “My Power” program is 1.182 billion US dollars, and the Polish government plans to open the tax refund channel until the funds are exhausted. In this regard, some foreign media quoted experts as saying that with a subsidy cap, the plan’s stimulus to photovoltaic demand is unsustainable. At the same time, installing more photovoltaic systems does not solve the goal of reducing electricity costs.

Grzegorz Wisniewski, head of the Polish Renewable Energy Research Institute, said that as more and more photovoltaic systems are integrated into the grid, the stable operation of the Polish grid will face challenges. “We need to upgrade and transform the grid to make it smarter to accommodate huge green power.” But estimates show that this will require billions of dollars in investment.

In addition, although Anna Moskova affirmed the positive significance of the “My Power” plan for Poland’s energy transition, saying that “the plan is working and showing environmental and economic benefits”, this is not the case. As of now, more than 70% of Poland’s electricity still comes from coal power, and about one-third of Polish households still use coal for heating. At the same time, the Polish government recently announced that in response to the current energy crisis, Poland will postpone the phase-out of coal, and even plans to build new coal mines.