IMPLEMENTATION LEVEL

National

AFFECTED FLOW

Inflow

ANNOUNCED AS TEMPORARY

Yes

NON-TRADE-RELATED RATIONALE

No

ELIGIBLE FIRMS

state-controlled

JUMBO

No

TARIFF PEAK

No
← back to the state act
Inception date: 09 Mar 2018 | Removal date: 31 Dec 2019
Still in force

Price stabilisation

The Energy Ministry decree 23/2018 requires coal miners to sell at least 25% of their production to power stations at a capped price of 70 USD per metric ton. According to media reports (cf. secondary sources), the move is intended to shield the state-owned utility provider PLN from coal price fluctuations. PLN's strategic procurement director was cited telling reporters that the price cap could save the PLN company 1.31 billion USD in 2018 alone, assuming coal prices remain above 100 USD per MT.

The decree came into force on 9 March 2018 but shall apply retroactively starting from 1 January 2018. It will be reviewed at the end of 2019.

The GTA includes state guarantees and other financial incentives that are likely to affect the restructuring and performance of firms facing international competition, whether from imports, in export markets, and from foreign subsidiaries.

AFFECTED COUNTRIES

MAP
TABLE
EXPORT

AFFECTED SECTORS AND PRODUCTS

171 Electrical energy
2716 Electrical energy. (optional heading)
271600 Electrical energy. (optional heading)

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