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Renewable Energy Poland Privatization

Poland Energy Post-mining areas are turning into renewable energy basins

The transformation has already been taking place for several years in Western Poland, where major energy groups are investing. It is the lignite basins that are the first to undergo this new transformation.

Areas previously used for mining operation, most of which are of low value for agriculture or other uses, are now becoming a good place for the development of solar and wind farms. The transformation has already been taking place for several years in Western Poland, where major energy groups are investing. It is the lignite basins that are the first to undergo transformation.

Polish energy company Energa, which operates on land reclaimed from the Adamow lignite mine open pit mine, has built a 31 MW wind farm here, as well as two photovoltaic power plants with a capacity of over 25MW. Two more photovoltaic farms are already under construction in the immediate vicinity, whose capacity will exceed 65MW. Their construction should be completed by the end of 2024.

EDP Renewables (EDPR) has also made similar investments, and last September launched the second largest solar farm in Poland to date. The plant has a total installed capacity of 200 MWp and will generate nearly 220 GWh of energy per year. More than 308,000 double-sided photovoltaic panels fit on the 270-hectare site.

This is not the end of RES investments at the site. Ultimately, 650-700 MW of new capacity will be built there. These capacities will replace the capacities offered by the Adamow power plant, that was phased out in 2020.

A similar situation exists in the post-mining areas of the Belchatow region where Poland’s largest coal-fired power plant, with a capacity of 6GW, is in operation. Renewable energy projects are also being developed there because the lignite resources for the Belchatow power plant are only sufficient until 2035. It is estimated that in 2030 the total installed capacity from RES, (renewable energy sources), could reach 700 MW, including 600 MW of photovoltaic farms and 100 MW of wind farms. It is also planned to build energy storage facilities of up to 300 MW.  

PGE, which owns the Belchatow power plant and mine, is now investing in RES. The first investment will be an expansion of the already operating farm on Mount Kamiensk, while the second is to be located on the internal heap. The potential of RES projects in the Belchatow Region is estimated at around 200 MW by 2030.

Post-mining areas represent a huge potential for the development of large-scale photovoltaic farms. This potential seems to be increasingly recognized by all stakeholders, but especially by the owners of such areas. According to Polish legislation, they are obliged to rehabilitate mine sites within five years of the cessation of mine operations.

Poland received the largest support in the entire European Union from the Fair Transformation Fund for five regions: Upper Silesia (€2.2 billion), Walbrzych region (€581 million), Eastern Wielkopolska (€414) million, Belchatow region (€369 million) and Western Malopolska (€264 million). More regions that did not have sufficiently ambitious plans to extinguish coal mining and burning, which applies to Turow and Bogdanka, will be able to apply for the Fund in the next financial perspective.

The U.S. Commercial Service Poland highly recommends U.S. technology providers closely follow the developments in the above-described area, as the opportunities for U.S. know-how and technological solutions may soon arise.  For more information, please contact the U.S. Commercial Service Poland at office.warsaw@trade.gov.