New grid connection rules – what do you need to know?

In response to these issues, the proposed amendment to the Energy Law seeks to simplify the connection procedure and improve the efficiency of the entire system. The legislator also plans to counter speculative activities by certain investors, which mainly involve the resale of reserved connection capacity.

Legal basis for the proposed changes

The Ministry of Climate and Environment has prepared a draft amendment to the Act of 10 April 1997 – Energy Law (draft number: UC84). The changes stem from the need to implement the latest EU regulations: Directive 2024/1711, Regulation 2024/1747 and Regulation 2024/1106. Draft No. UC84 is currently under review by the Council of Ministers and – as announced – should be adopted later this year.

In addition, from 1 August 2025, Polskie Sieci Elektroenergetyczne S.A. (“PSE”) has implemented measures to streamline the procedure for connecting to the transmission network. The changes relate in particular to the rules for assessing applications for connection conditions and the manner in which these are issued, which should reduce the time taken to process applications.

Changes introduced by PSE from 1 August 2025.

The changes introduced focus primarily on the technical aspects of processing applications. Solutions designed to speed up the procedure include, in particular:

• processing, out of turn, applications concerning solely technical changes, provided they do not lead to an increase in connection capacity or exceed established limits;
• the possibility of quickly correcting minor technical errors within 14 days of being notified without losing one’s current place in the queue. This applies strictly to clearly defined errors, such as clerical or calculation errors; submission of a power of attorney in the incorrect form or without the necessary documents for its verification;
• permission for minor modifications to the application that do not increase the connection capacity, without the need to withdraw it;
• the automatic issuance of rejection decisions in cases where connection to a given substation is impossible due to the connection limit being exhausted and the inability to further expand it;

In addition, the following have been introduced:

• an obligation to pay an advance towards the connection fee of PLN 30 for each kW of connection capacity (up to a limit of PLN 3,000,000); failure to pay results in the application being left unexamined;
• publication on the PSE website of a list of substations where available connection capacity has been exhausted (so-called ‘fully loaded’ substations).

Draft No. UC84

The primary objective of the draft is to amend the Energy Law, aimed at: strengthening the position of the end user, streamlining the grid connection process, optimising the use of existing infrastructure, and countering unfair practices of blocking connection capacity.

New measures designed to streamline the connection process and increase its flexibility include:

• Digital facilitation: the ability to submit connection applications entirely electronically;
• Flexible connection agreements: the introduction of non-guaranteed, flexible connection agreements that will allow for temporary connection in areas with limited capacity (e.g. until such areas are expanded or modernised). Under such agreements, the operator will be able to specify periodic restrictions on the consumption or supply of energy by a given installation;
• Transparency of available capacity: an obligation for distribution system operators (DSOs) and the transmission system operator (TSO) to publish and update information on available connection capacity for new connections and the criteria for calculating it, as well as to provide information on the status of application processing and the grounds for rejection decisions;
• Extension of Cable Pooling: enabling the sharing of connections not only for renewable energy installations, but for any installations meeting the technical requirements.

The draft provides for strengthening the protection of end-users of electricity through the introduction of the following regulatory measures:

• Fixed-price contracts: an obligation on suppliers (in particular the largest ones, serving over 200,000 customers) to offer the option of concluding a fixed-term contract of at least 12 months with a fixed price;
• More than one contract: allowing end consumers to enter into more than one comprehensive contract or electricity supply contract simultaneously (subject to meeting metering requirements at the same supply point).

The draft also introduces measures to discipline investors, aimed at freeing up blocked connection capacity reserved by projects that have not been implemented:

• Application processing fee: introduction of a non-refundable fee for examining an application to determine connection conditions, intended to curb the practice of repeatedly submitting identical applications;
• Security deposit: the establishment of a security deposit for projects above 1 kV, which will be forfeited if the connection is not completed;
• Milestones: introduction of milestones into connection agreements reflecting the Investor’s actual schedule of activities (e.g. obtaining key administrative decisions, concluding contracts for the supply of main equipment); failure to meet these milestones results in the termination of the agreement and the release of the reserved capacity;
• Shortening of the validity period of the terms and conditions: reduction of the validity period of the connection terms and conditions from 2 years to 1 year.
• Auctions for released capacity: following termination of the contract due to failure to meet milestones, the operator will be able to hold an auction for the recovered connection capacity, ensuring a transparent and competitive allocation.

Summary

The changes to the grid connection rules described above may have many positive effects. On the one hand, they may speed up and simplify the existing procedure at a formal level by introducing numerous digital solutions. On the other hand, they are also intended to curb speculative practices by some investors. The practice of obtaining connection terms solely for the purpose of reselling them will be significantly hampered by the introduction of an application processing fee, a security deposit, and the milestone system. Some observers note, however, that these measures may also result in the exclusion of smaller investors who will be unable to meet the new requirements, which in turn may encourage market concentration.