Legal Regulations on the Connection of Renewable Energy Sources (RES) in Poland and the European Union

The development of renewable energy sources (RES) is a key element of energy policy both in Poland and throughout the European Union. Increasing the share of energy from renewable sources not only contributes to reducing greenhouse gas emissions but also supports the energy independence of member countries.

A crucial part of this process is the efficient connection of RES installations to the power grid, which requires precise legal regulations. This article will explore the regulations currently in force in Poland and the European Union regarding the connection of RES to energy grids, outline the primary challenges, and review legal changes being introduced to accelerate and simplify this process.

Legal Framework in the European Union

The European Union, guided by a commitment to sustainable development, promotes renewable energy sources (RES) through various directives and regulations. A key document in this regard is Directive (EU) 2018/2001, also known as the RED II Directive (Renewable Energy Directive), which sets ambitious targets for 2030, including a minimum 32% share of renewable energy in the EU’s total energy consumption. According to amendments in the Fit for 55 package, the goal is to increase this share to 40% by 2030.

The RED II Directive obligates member states to adopt regulations that:

  • Facilitate the connection of RES to the energy grid,
  • Prioritize the transmission of energy generated from renewable sources,
  • Ensure transparency and efficiency in the connection process of new RES installations, including setting maximum timeframes for grid connections,
  • Provide non-discriminatory and proportionate connection costs for renewable energy producers.

Directive RED III 2023/2413 of October 18, 2023, as part of the “Fit for 55” legislative package, aims to reduce greenhouse gas emissions by 55% by 2030 compared to 1990 levels. The new directive sets more ambitious targets for renewable energy sources.

The key changes introduced by RED III include:

  • A new renewable energy target of 42.5% in the energy mix by 2030 (with a possible 45% target),
  • Prioritization of renewable energy in electricity, heating, cooling, and sectors like transport, industry, and construction,
  • Simplification of administrative procedures for permits to build new RES installations and connect them to the grid,
  • Introduction of “go-to zones” to accelerate the planning and implementation of RES projects with streamlined procedures,
  • Harmonization of grid connection procedures across the EU to ensure consistent standards in member states,
  • Power Purchase Agreements (PPA) will require reporting to the President of the Energy Regulatory Office (URE) on key data such as energy quantity, price, location, and contract duration,
  • Cable pooling will enable shared infrastructure for connecting multiple RES installations at a single location,
  • The threshold for requiring a construction permit for PV systems, heat pumps, and solar collectors is raised from 50 kW to 150 kW,
  • Rules for biogas production and the introduction of feed-in-premium support for biomethane,
  • A refined definition of energy cooperatives, including energy trading and energy storage, and their cooperation with operators and suppliers,
  • A definition for hybrid RES installations, which must include energy storage to improve grid stability and support energy storage technology development.

RES - renewable energy sources

Regulations in Poland – Energy Law

In Poland, the connection of renewable energy installations (RES) to the power grid is primarily governed by the Energy Law Act (1997, with later amendments). This is the key legal document defining the rules of the energy market, including renewable energy sources, as well as the obligations of distribution system operators (DSO) and transmission system operators (TSO).

The most important regulations regarding the connection of RES to the grid in Poland are:

Obligation to connect RES to the grid

System operators are required to connect RES installations, provided they meet technical and legal requirements. However, in practice, connections may be delayed due to factors like lack of available grid capacity.

Connection procedure

The process begins with the investor submitting an application. The operator has a set timeframe to issue connection conditions and then to complete the connection. These deadlines are legally established but their implementation in practice can vary.

Connection costs

Renewable energy producers bear part of the costs associated with connecting to the grid. These costs depend on factors such as the size of the installation and its distance from the grid.

Priority in transmission of RES energy

According to the Polish Energy Law, RES energy should be prioritized in transmission through the electricity networks. This means that energy from renewable sources should be sold and transmitted first.

Local spatial planning

Connecting large RES installations, such as wind farms or photovoltaic plants, also requires compliance with local spatial development plans, which often prolongs the investment process.

Also read: Solar Interconnection | Grid connection requirements | Electrum

Connecting RES, Solar Farms to the Grid

Challenges and Issues in the Connection Process

Despite clearly defined regulations, RES investors in Poland and other EU countries often face administrative and technical barriers in the grid connection process. Some of the most common challenges include:

Lack of available connection capacity

In some regions, distribution system operators report a lack of technical capacity to connect new installations, which can lead to delays or even refusals to connect RES.

Time-consuming administrative procedures

Long processing times for permits and unclear local regulations can significantly delay the investment process. The European Commission, under RED II, recommends simplifying administrative procedures for RES, but their implementation is not always smooth.

Lack of consistency in regulations at national and EU levels

While the European Union places great emphasis on the development of RES, the implementation of EU directives in individual member states often differs, creating certain barriers to the process.

Changes and New Legal Initiatives

Both Poland and the European Union are continuously adjusting regulations concerning renewable energy sources (RES) to meet the growing needs and challenges of the energy transformation. In Poland, recent changes have been introduced to accelerate the RES connection process, including reducing the time for issuing connection conditions and providing facilitation for small energy producers (e.g., prosumers).

Integration of Renewable Energy Sources: Regulations – Summary

The integration of renewable energy sources (RES) into electricity grids in Poland and the European Union is a key element of the energy transition. Despite numerous challenges, such as limited grid capacity and complex administrative procedures, legal regulations in this field are continuously being adapted to support the development of RES. Poland, like other EU countries, is implementing measures aimed at accelerating and simplifying the process of connecting new installations to the grid, which is essential to achieving climate neutrality goals by 2050.

Read also: Renewable Energy Terms – Glossary of Terms Related to Renewable Energy

Floating Solar Farms – What is Floating PV?

When it comes to unconventional solar technologies, floating solar farms, also known as floating photovoltaics (floating PV systems or FPV systems) — deserve special attention. These are PV panels placed on floating structures situated on bodies of water.

Although still uncommon in Poland, this technology is gaining recognition across Europe and worldwide. Why is it worth paying attention to this trend? What benefits does floating solar bring? And how exactly does a floating solar farm work compared to traditional land-based farms?

Why Floating Solar?

Many countries face a shortage of space for new land-based PV installations, especially in densely populated areas. On top of this, there is increasing competition for land between agriculture, industry, and property development. Italy, for example, has prohibited further PV installations on agricultural land. New large-scale solar farms on inexpensive but ecologically valuable areas are raising concerns about biodiversity.

In Europe, this issue is particularly significant because many renewable energy installations are located in protected areas. This is why the European Commission is exploring and promoting innovations that minimize harm to ecosystems. In response to these challenges, floating solar farms are gaining momentum, offering renewable energy without the need for additional land. Solar installations on lakes and other bodies of water represent a step toward a sustainable future.

Floating solar panels

Floating solar panels

Floating solar farms rely on photovoltaic modules installed on special platforms that float on the surface of water bodies, such as lakes, irrigation ponds, reservoirs, or disused areas like decommissioned gravel pits. The goal is to utilize water bodies that aren’t used for tourism, sailing, agriculture, or other purposes.

Floating solar panels operate on the same principle as land-based photovoltaic systems, converting sunlight into electricity — direct current (DC) is transformed into alternating current (AC) through inverters. So, is this different from conventional PV installations? Not in the mechanism of energy production.

The floating platforms, made from buoyant materials, provide stability for the panels on water, while specialized anchoring systems keep them in place, preventing movement due to wind or water currents. The structure maintains flexibility, allowing the panels to adapt to water movements.

Using the water’s surface enables natural cooling of the panels, resulting in higher efficiency compared to ground-mounted installations.

Also read: What are PV panels? Discover your own energy from sunlight

When Did Floating Solar Farms Start Operating?

The history of floating solar panels dates back to 2007, when the first floating installation with a capacity of 20 kW was launched in Japan. This project laid the groundwork for the development of this technology in other countries, such as South Korea, China, and the United States. The growth of floating farms accelerated as it became clear that they could address land scarcity issues and improve energy production efficiency. Through collaboration among governments, industry, and research institutions, FPV system designs and efficiencies were refined.

Today, floating solar projects are emerging worldwide. In Europe, a floating solar farm with a capacity of 74.3 MW has been announced, to be built on an artificial reservoir at a former gravel pit in northeastern France.

In Poland, this technology is in the early stages of development. The first floating farm began operation in 2022 in Gdańsk, consisting of 110 panels with a capacity of 49.5 kWp installed on an artificial stormwater retention reservoir.

Advantages of Floating Solar Installations

Floating PV

In addition to generating clean energy and contributing to our energy system, helping advance renewable energy sources (RES) and the green revolution, floating solar farms offer several key benefits. To start, with the ability to save land and increase efficiency, floating solar are becoming increasingly popular in densely populated countries.

1. Optimal Use of Space

A floating solar power plant enhances our ability to utilize available space, especially in areas where land is scarce, too expensive, or highly productive (high-quality soils ensuring abundant yields). This is well illustrated by examples from Asian countries like Japan and South Korea. Floating photovoltaic technology also addresses land-use conflicts with the agricultural sector, which increasingly views large ground-mounted solar farms as a threat to diminishing farmland resources.

2. Better Lifespan and Efficiency of Panels

Floating solar panels achieve higher efficiency than ground-mounted systems, as water acts as a natural cooling system, preventing overheating. Utilizing water surfaces can increase the energy efficiency of the panels by up to 15%. Additionally, water reflects sunlight, which in normal conditions might be scattered or absorbed by the ground. The reflected light hits the panels again, boosting the amount of energy the panels can generate.

3. Easier Maintenance of Installations

Floating installations on water require less frequent cleaning. The air above water bodies contains fewer dust particles and pollutants compared to land areas, with water acting as a natural filter. In land-based systems, dirt reduces panel efficiency, necessitating regular cleaning. Additionally, vegetation often grows around ground-mounted installations, requiring frequent mowing – this is not an issue for floating installations.

Also read: PV panel maintenance: The key to extended life and efficiency

4. Water Environment Control

Can floating solar panels have a positive impact on water environment management? The partial shading of a water body by the panels limits algae growth, which can negatively affect water quality, especially in warmer climates. The reduction of sunlight reaching the water lowers its temperature, which can improve conditions for certain aquatic species. Additionally, floating solar farms can act as a wind barrier, reducing surface water wave action and helping protect the reservoir’s banks from erosion.

In the case of larger FPV projects, floating solar panels can help conserve water by preventing evaporation, which is particularly important in light of growing drought issues in many regions of the world.

Floating solar may also provide a solution for businesses that only have access to “water-based” areas, such as water reservoirs and basins at wastewater treatment plants, which store water for domestic and commercial use.

Also read: Industrial solar power – How to get started?

Floating PV system design

Floating PV projects require careful planning and analysis to maximize the use of floating technology and avoid issues related to water quality and the environment. Key steps include selecting an appropriate location that takes into account hydrological conditions and climate, as well as designing a structure that will perform well in aquatic conditions.

At Electrum, we design and build solar farms. Learn more from the article:

Solar Power System Design – What You Need to Know?

How does the design of floating PV installations look in Poland at the moment?

An important aspect here is the uncertainty regarding administrative decisions, such as the requirements under the Environmental Conditions Decision. Potential restrictions related to the impact of the installation on aquatic ecosystems must be considered, along with an analysis of how FPV projects will be classified under Polish regulations in terms of obtaining a Building Permit. Another key factor will be the possibility of securing the implementation of FPV in Local Spatial Development Plans and Protection Plans. Regarding the use of water for energy purposes, obtaining a water law permit will be necessary.

An important part of the project is also integration with the local energy grid and minimizing the impact of the installation on the ecosystem, for example, by monitoring the oxygen levels in the water and the quality of the aquatic environment.

Also read: Solar Interconnection | Grid connection requirements

In Electrum, we assist in defining an individual path to renewable energy sources, offering comprehensive support in designing and implementing photovoltaic technologies, including modern FPV systems.

Contact us

Floating solar panels location

A floating solar farm seen from a bird's-eye view.

Placing floating solar panels on water primarily requires the selection of an appropriate water body – artificial lakes, reservoirs, or areas used for industrial purposes, such as wastewater treatment plants, are preferred. It is important that the water body has a stable water level and is not exposed to extreme weather conditions, such as strong currents or waves, which could damage the panels or reduce their efficiency.

In Poland, a significant factor affecting floating solar farms will be the changing seasons, especially winter and freezing temperatures, which may negatively impact the durability of the installation. To address this, durable materials resistant to low temperatures are used, along with flexible anchoring systems that allow the structures to adapt to ice movements. Some installations may also use heating systems to prevent the water around the panels from freezing. Alternatively, placing farms in deeper water bodies or limiting their operation to warmer months can reduce the risk of damage.

Floating solar farms and Costs

Floating solar panels are, of course, not without their challenges. A floating installation can cost 25% more than land-based systems. The panels carry the risk of lowering oxygen levels in the water, which can harm fish, and if the technology is not properly designed, the panels themselves can negatively impact water quality.

Although floating solar farms are more expensive than land-based systems, increasing financial support from the European Union for innovative energy technologies may help offset these cost differences. Poland has access to funds allocated for the development of renewable energy sources, which can support pilot floating photovoltaic (FPV) projects. Offered loans and grants can provide significant support to companies planning investments in floating PV farms. In Poland, the use of floating photovoltaic systems can contribute to sustainable energy development by reducing pressure on agricultural land and protected natural areas.

Read also: Solar farm construction: How We Do It at Electrum

Photovoltaic panels installed on water

Floating Solar Power Plants in Poland

In summary, a floating photovoltaic power plant, known as a floating PV system, is an innovative solution that allows for the production of clean energy without occupying valuable land.

These installations are placed on water bodies (solar panels are mounted on floating platforms), which not only saves space but also increases the efficiency of the panels by naturally cooling them with water.

Floating solar power plants are an ideal solution for areas with limited land space, and they also help reduce water evaporation.

We hope that the development of floating power plants in Poland is just a matter of time – floating farm projects are still in the conceptual phase, but initial analyses regarding their implementation are already emerging. Unfortunately, as with other renewable technologies such as offshore wind, green hydrogen, or energy storage, the implementation of FPV technology in Poland faces legislative hurdles. While the technology and potential are present, there is a lack of appropriate regulations that could speed up the adoption of this solution.

Polish companies are not yet widely engaged in the development of this technology. Electrum has considered the potential of floating PV, but, similar to agrivoltaics, legal barriers and the lack of legislative incentives hinder progress in this field.

A positive aspect is that the documented, long-term experience of other countries in this area will be helpful when we decide to introduce this technology on a larger scale. We have the opportunity to adapt the best practices and technologies to local conditions.

Floating PV – Summary

Finally, it is worth emphasizing that 70% of the Earth’s surface is covered by water. In the future, the use of floating photovoltaics may be expanded to ocean platforms, which would open new opportunities for harnessing energy from renewable sources. Ongoing research into structures capable of withstanding harsh marine conditions will create new possibilities for utilizing water surfaces.

Renewable Energy Terms – Glossary of Terms Related to Renewable Energy

Renewable Energy Sources (RES)

Renewable energy sources (RES) are those that do not cause long-term depletion when utilized, as these resources renew quickly. On a human time scale, they are sustainable and stable. They include, among others:

  • Wind energy: the production of energy from wind using special turbines on land (onshore wind) or at sea (offshore wind).
  • Solar energy: the generation of energy and heat from solar radiation using photovoltaic installations. Collectors produce thermal energy.
  • Hydropower: the conversion of the force of flowing or falling water into kinetic energy using special hydraulic structures.
  • Geothermal energy: the use of heat resources from beneath the Earth’s surface.
  • Biomass energy: the conversion of biomass (e.g., from agricultural products, waste) into solid, liquid, or gaseous fuels.

Greenfield

In construction, a greenfield refers to investments on undeveloped land that does not have previous constraints from existing buildings or infrastructure. It’s like building on a “green field,” where there is no need to take into account existing structures.

Examples include new factories, power plants, and airports that are built from scratch on undeveloped land. In the transportation industry (e.g., cars, airplanes, engines), a comparable concept is “clean sheet design.”

Brownfield

In construction, a brownfield refers to investments on land that has already been developed or utilized. In the case of brownfields, there is already some infrastructure or buildings present on the site. Examples include the modernization of existing buildings, expansions, or renovations. In the chemical industry, modifications to an existing factory to increase efficiency are an example of a brownfield project.

Zoning Approval (Planning Permission)

Zoning approval is an administrative decision issued by the relevant municipal authority. It specifies the possibilities and restrictions regarding the development of a property. This decision includes information about the type of development, technical parameters, building height, roof design, number of floors, and guidelines for land use.

Zoning approvals for the solar farms construction may vary depending on the location and regulations in effect in a given municipality or region.

Nevertheless, here is some general information:

Solar Farms:

In the case of solar farms, the zoning regulations cover issues such as:

  • Minimum distance from property boundaries.
  • Angle of inclination of solar panels.
  • Height of the supporting structures for the panels.
  • Parameters of volumetric buildings.
  • Maximum proportion of built-up area and minimum proportion of biologically active surface.
  • Environmental impact (e.g., nature conservation, landscape).
  • Safety and accessibility of the area for pv panel maintenance.

Remember that the exact requirements will depend on local regulations and project specifications. If you are planning to build a solar farm, it is advisable to consult with the local municipal office or a spatial planning specialist to obtain accurate information on this matter.

Local Spatial Development Plan

The Local Spatial Development Plan  is a local law enacted by the city or municipality council. It regulates the use of land within a given municipality or city. The LSDP is valid only in the area that adopted it and defines the purpose and manner of land development. The LSDP document includes information regarding:

  • Land Use Designations: Specifies how individual plots can be utilized.
  • Principles of Space Protection and Shaping: Indicates how to maintain spatial and landscape order.
  • Principles of Building Development: Includes aspects such as building height, building lines, and the dimensions of structures.
  • Land Development Indicators: Defines development intensity, the proportion of biologically active surfaces, and other parameters.
  • Restrictions on Land Use: This includes building prohibitions and special development conditions. The MPZP affects property value and shapes the future surroundings of the plots.

The Local Spatial Development Plan  is crucial for the construction of photovoltaic farms. Here’s how it works:

  • Local Plan: Photovoltaic farms can only be established based on the provisions of the MPZP. Previously, renewable energy installations could also be implemented based on zoning decisions, but now the MPZP is required.
  • Areas for Renewable Energy Sources (RES): The municipality must designate areas for RES installations in the study of conditions and directions for spatial development. This means that the lands for photovoltaic farms are specified in the local plan.
  • Implemented Changes: New regulations facilitate the development of photovoltaic power plants, but some fear that they may hinder the growth of large photovoltaic farms in Poland.

General Plan

The General Plan is a new spatial planning act that replaces the previous study of conditions and directions for spatial development in the municipality. It is a local law, meaning it has legal force in a specific area. This implies that it is binding for residents, entrepreneurs, and institutions operating in that location. In the context of construction, the General Plan governs land use at the municipal level.

The General Plan serves as the foundation for adopting more detailed local plans and for issuing zoning and land use decisions.

The General Plan must be adopted mandatorily for the entire municipality, and municipalities have until January 1, 2026, to adopt it. The provisions in the General Plan serve as the basis for adopting local plans and issuing zoning and land use decisions.

Building Permit Decision

A building permit is an administrative decision that is essential for starting and conducting construction or performing building works.

The building permit decision is an administrative decision issued by the appropriate architectural and construction administration authorities, such as county heads, voivodes, and the Chief Inspector of Building Supervision. This decision is issued after the relevant authority verifies the construction project, thereby approving it. It allows for the commencement and conduct of construction or performing building works other than the construction of a building structure. For this decision to become final, it must meet the requirements specified in the Code of Administrative Procedure. Additionally, before starting construction works, it is necessary to notify the building supervision authorities of the intention to commence these works within a specified timeframe.

Connection Conditions

Connection Conditions for the distribution network is a document that outlines the technical requirements that the connecting entity and the distribution network operator must meet in order to connect a facility to the network. The connection procedure begins with the submission of a CC application and is necessary to obtain the ability to use electricity in a given facility.

The Connection Conditions include, among other things:

  • Detailed information regarding the location of the connection,
  • Specification of the technical parameters of the connection,
  • Requirements for measuring and protective devices,
  • Technical conditions that must be met by the recipient’s installation.

This document is an integral part of the connection agreement and is valid for 2 years from the date of delivery to the applicant. If an agreement for connection is signed within this time, the validity of the connection conditions is extended for the duration of that agreement.

Learn more about this topic in our guide: Solar Interconnection | Grid connection requirements

Refusal to Specify Connection Conditions

A refusal to specify the Connection Conditions for connecting to the distribution network may occur in several cases, for example:

  • When the planned construction site or installation is located in an area where there is no technical possibility to connect to the existing distribution network.
  • If connecting the facility could jeopardize the safety or stability of the distribution network’s operation.
  • In situations where the applicant does not meet the formal requirements specified in legal regulations, such as lacking necessary documents or submitting an incorrectly filled application.
  • When the existing connection or network is overloaded and cannot accept additional load without expansion or modernization.
  • If the implementation of the connection would require disproportionately high costs from the network operator that would not be covered by the applicant.

It is important to note that the refusal should always be thoroughly justified by the network operator, and the applicant has the right to appeal the decision to the appropriate energy regulatory authority. Additionally, the network operator should indicate what actions can be taken to possibly change the conditions and enable the connection.

Decision on Environmental Conditions 

The Decision on Environmental Conditions, also known as an environmental decision, is a document issued by the appropriate public administration authority. It specifies the environmental conditions for the implementation of a project that may impact the environment or human health. This decision is essential for commencing investments that may significantly affect the environment.

The process of obtaining the decision on enviromantal conditions includes:

  • Preparation of the application along with attachments, including the Information Card of the Project.
  • Obtaining required opinions and agreements.
  • Conducting an environmental impact assessment—if determined by the relevant authority.
  • Preparing and submitting a report on the environmental impact of the project.
  • Obtaining required opinions and agreements.

Obtaining the Decision on Environmental Conditions

This decision serves as the basis for issuing other administrative decisions, such as building permits or development conditions, and must be taken into account by the authorities issuing these decisions.

Transmission System Operator / Distribution System Operator

The Transmission System Operator is an energy company responsible for the transmission of electricity or gas fuels. Its responsibilities include:

  • Managing network operations within the transmission system,
  • Ensuring the current and long-term safety of the system’s operation,
  • Operating, maintaining, repairing, and necessary expansion of the transmission network,
  • Connecting with other gas or electricity systems.

In Poland, the role of transmission system operator is fulfilled by Polskie Sieci Elektroenergetyczne S.A. (PSE), which is responsible for ensuring the reliable operation of the transmission network and the supply of electricity to all regions of the country.

The Distribution System Operator  is an energy company engaged in the distribution of electricity or gas fuels. The DSO is responsible for:

  • Managing network operations within the distribution network,
  • Ensuring current and long-term safety of network operations,
  • Operating, maintaining, and repairing the distribution network,
  • Planning and implementing necessary expansions of the network, including connections with other systems.

In Poland, the list of companies with DSO status is published by the Energy Regulatory Office (URE). Most electricity supply points are serviced by several main operators operating within larger energy groups.

Connection Conditions

A document issued by the Distribution System Operator  or Transmission System Operator  that specifies the technical and formal requirements related to connecting a new installation to the electricity grid.

Refusal to Specify Connection Conditions

A decision issued by the Distribution System Operator  or Transmission System Operator, which indicates that the application for connecting a new installation to the electricity grid cannot be positively considered. Such a refusal may arise from various technical, economic, or formal reasons. Key factors may include a lack of technical possibilities, insufficient network capacity, non-compliance with spatial development plans, high connection costs, or failure to meet formal requirements.

Connection Fee

The cost incurred by the investor in connection with the connection of a new installation to the electricity grid. This fee is charged by the Distribution System Operator  or the Transmission System Operator and covers the costs associated with the execution of necessary technical and administrative work.

Connection Advance Payment

The amount paid by the investor as a prepayment for future costs related to the connection of a new installation to the electricity grid. This is part of the total connection fee that the investor pays in advance to secure the execution of connection works by the Distribution System Operator or the Transmission System Operator. The connection advance payment is calculated at a rate of 30 PLN per 1 kW of connection power, with a maximum amount of 3,000,000 PLN gross.

Transmission Easement

A type of limited property right that allows a transmission enterprise (e.g., an operator of an electricity, gas, or water network) to use someone else’s property for the purpose of constructing, operating, maintaining, and servicing equipment used for the transmission of energy, gas, water, etc. This right is essential for ensuring the functioning of transmission infrastructure in a given area.

Tenant

A natural or legal person who, based on a lease agreement, obtains the right to use someone else’s property (or another object of the lease) in exchange for regular payments known as rent. The tenant may use the property in accordance with its intended purpose and the conditions specified in the lease agreement.

Read also: Leasing Land for Solar Farm: Essential Information

Lessor

A natural or legal person who, based on a lease agreement, grants their property (or another object of the lease) for the tenant’s use in exchange for regular payments known as rent. The lessor remains the owner of the property, retaining their ownership rights, while the tenant obtains the right to use it according to the terms of the agreement.

Basic Rent

A regular payment made by the tenant to the lessor under the lease agreement. The basic rent constitutes the main part of the compensation for the right to use the property and is specified in the lease agreement.

Initial Rent

A one-time or periodic payment made by the tenant to the lessor for the right to prepare the property for use or for the time during which the property is occupied but not yet fully utilized according to the intended purpose specified in the lease agreement.

Read more: Initial and Basic Rent in a Lease Agreement

Prosumer

A term combining the words “producer” and “consumer,” which refers to entities, most often households or small businesses, that simultaneously produce and consume electrical energy. A prosumer generates energy and uses it for their own needs, and any surplus energy can be fed back into the electricity grid.

Certificate of Origin (Green Certificate)

A document confirming that a specified amount of electricity has been produced from renewable sources. It is a tool used in many countries, including Poland, to support and promote the production of clean energy.

Net Metering

Net metering is a system for settling electricity that allows owners of micro photovoltaic installations to balance the amount of energy produced and consumed. In practice, this means that the surplus energy generated by the photovoltaic installation is sent to the power grid, and during periods when energy production is less than demand (e.g., at night), this surplus can be retrieved.

This system enables prosumers (producers and consumers of energy) to effectively manage their energy, thereby reducing electricity bills. In Poland, for every 1 kWh of energy fed into the grid, one can retrieve 0.8 kWh (for installations up to 10 kW) or 0.7 kWh (for installations from 10 to 50 kW).

Feed-in Tariff (FiT)

Feed-in Tariff (FiT) is a guaranteed tariff mechanism implemented by the government to accelerate investments in renewable energy sources. It involves offering long-term contracts to renewable energy producers, ensuring them fixed, guaranteed prices for the energy they generate. This stability allows producers to rely on steady income, which encourages investment in technologies such as solar, wind, and biomass energy.

FiT is particularly beneficial for small and medium-sized energy producers, as it enables them to sell energy at a fixed price that is typically higher than the market price. In Poland, this system covers installations with a total installed capacity of less than 500 kW.

The Feed-in Tariff (FiT) has both advantages and disadvantages. Here are a few of them:

Advantages:

  • FiT provides fixed, guaranteed prices for generated energy, giving producers income certainty.
  • With stable income, FiT encourages investment in renewable energy sources, contributing to sector growth.
  • Promoting renewable energy sources helps reduce greenhouse gas emissions and air pollution.
  • FiT supports the development of new technologies and innovations in the field of renewable energy.

Disadvantages:

  • The costs associated with FiT can be passed on to consumers in the form of higher electricity bills.
  • The high costs of subsidizing renewable energy may burden the state budget.
  • FiT may lead to inequalities in the energy market, favoring renewable energy producers at the expense of traditional energy sources.
  • FiT is dependent on government policy, meaning that changes in regulations can affect the stability of the system.

Cogeneration

Cogeneration, also known as Combined Heat and Power (CHP), involves the simultaneous production of electricity and heat in a single technological process. In traditional power plants, heat engines do not convert all thermal energy into electricity, resulting in significant heat losses. Cogeneration allows for the utilization of this heat, which would otherwise be wasted, thus increasing energy efficiency.

Advantages of Cogeneration:

  • Cogeneration can be up to 70% more efficient than separate production of electricity and heat.
  • Reduced fuel consumption leads to significant economic savings.
  • Decreased emissions of CO₂ and other harmful substances.

Applications of Cogeneration:

  • Industry: Factories, manufacturing plants.
  • Public Utility Buildings: Hospitals, schools, office buildings.
  • Municipal Sector: District heating plants, wastewater treatment facilities.

Types of Cogeneration:

  • Systems that utilize exhaust heat from gas turbines, usually powered by natural gas.
  • Competitive with gas turbines for capacities around 5 MW, also powered by natural gas.
  • Systems that use biofuels, which reduces the consumption of hydrocarbon fuels and lowers CO₂ emissions.

Solar Farm (PV)

A solar farm (PV) is a specialized type of power plant that utilizes solar energy to produce electricity. It consists of numerous photovoltaic panels arranged over large areas of land or, in some cases, on water surfaces in the form of floating installations. These panels convert sunlight into electrical energy using semiconductors, typically made of silicon.

Photovoltaic farms can vary in size—from small local installations with a capacity of several kilowatts (kW) to large systems with capacities of several megawatts (MW), capable of powering thousands of households. They are a key component of global energy strategies, reducing reliance on fossil fuels and contributing to the reduction of greenhouse gas emissions.

WTG

The abbreviation WTG in the energy sector stands for Wind Turbine Generator. It is a device that converts the kinetic energy of the wind into electrical energy. A WTG consists of several key components:

  • Rotor: Composed of blades that rotate due to the wind.
  • Generator: Converts mechanical energy from the rotor into electrical energy.
  • Tower: Supports the rotor and generator at an appropriate height to maximize wind speed utilization.
  • Control System: Monitors and optimizes the turbine’s operation, ensuring its efficiency and safety.

WTGs are a crucial element of wind farms, which are one of the most important sources of renewable energy worldwide.

While WTG (Wind Turbine Generator) and a wind power plant are closely related, they are not the same. A WTG refers to a single wind turbine, whereas a wind power plant consists of multiple wind turbines located in one area that collectively produce electricity. Wind farms can be onshore or offshore and are often referred to as wind power stations.

To learn more, check out article: Wind turbine components and construction

Energy Storage System (ESS)

An Energy Storage System (ESS) is a technology that enables the storage of energy in various forms (e.g., electrical, thermal) for later use. Energy storage systems are crucial for stabilizing power grids, integrating renewable energy sources, and improving energy efficiency.

For further information, you can check resources on topics like Leasing Land for Solar Panels and Energy Storage – A Guide

Electrochemical Storage:

  • Lithium-ion Batteries: The most commonly used in home energy storage systems and electric vehicles.
  • Lead-acid Batteries: An older technology still used in some applications, such as emergency power supply.

Mechanical Storage:

  • Pumped-storage Hydroelectricity: Water is pumped to a higher elevation reservoir and then released to generate electricity.
  • Compressed Air Energy Storage (CAES): Energy is stored by compressing air, which is then released to drive turbines.

Thermal Storage:

  • Heat Storage: Energy is stored in the form of heat, for example, in water tanks or phase change materials (PCMs).
  • Cold Storage: Energy is stored in the form of cold, such as in ice or other cooling materials.

Kinetic Storage:

  • Flywheels: Energy is stored in the form of kinetic energy in a rotating flywheel, which can quickly release energy when needed.

Also read: Energy Storage Site Selection: What Land is Suitable?

Hybrid renewable energy systems

In the context of energy, a hybrid installation is a system that combines various energy sources to provide more reliable and efficient power supply. Common configurations for hybrid systems include:

  • Solar Energy (Photovoltaic Panels) combined with Wind Energy (Wind Turbines)
  • Renewable Energy Sources (such as solar and wind) alongside Conventional Energy Sources (like diesel generators)
  • Energy Storage Systems (like batteries) integrated with different energy sources to ensure continuous supply.

Hybrid installations are especially useful in areas where access to the electrical grid is limited or unstable. By combining different energy sources, these systems can offer more stable and reliable power while optimizing costs and minimizing environmental impact.

For more detailed insights into hybrid installations and their applications, you can explore the article:

Hybrid renewable energy systems – An Interview with Kamil Kozicki

Main Power Supply Point 

The Main Power Supply Point (MPSP) is an electrical substation that plays a crucial role in the electricity distribution network. The MPSP serves as a hub where overhead lines of medium and high voltage converge. Its primary function is to ensure the supply and coordinate the flow of electricity within a designated area.

The MPSP provides electricity to cities and large industrial installations. It includes high voltage (HV) and medium voltage (MV) switchgear, as well as power transformers. This setup enables the processing and distribution of electrical energy at various voltage levels, ensuring stability and security of supply.

Main Receiving Point

The Main Receiving Point (MRP) is an unattended facility designed for receiving electricity from generation units, such as wind or photovoltaic farms, and feeding it into the electricity distribution system. Unlike the Main Power Supply Point, the MRP does not require constant supervision and is designed for automatic management of energy flow.

This automated system facilitates efficient integration of renewable energy sources into the grid, enhancing the stability and reliability of electricity supply without the need for manual intervention.

Connection Line

The connection line in energy projects is an infrastructure component that links the electricity distribution network to a specific facility, such as a home, office, or factory. It is a crucial element that enables the delivery of electrical energy to the building. The connection line consists of several components:

  • Electrical connection: The physical link between the network and the building.
  • Junction box: The location where the main fuses are situated.
  • Distribution board: Divides energy into individual circuits within the building.
  • Energy meter: Measures electricity consumption.

This system ensures that electricity is effectively routed from the grid to end-users, facilitating safe and efficient energy distribution.

Low Voltage (LV)

Low voltage (LV) refers to electrical voltage that does not exceed 1 kV (1000 volts) for alternating current or 1.5 kV (1500 volts) for direct current. It is commonly used in electrical installations in residential, commercial, and industrial buildings, powering applications such as lighting and household appliances (e.g., refrigerators, televisions).

Medium Voltage (MV)

Medium voltage (MV) covers electrical voltages ranging from 1 kV to 60 kV. It is primarily used in power networks to transmit energy over medium distances and to supply high-power electric machines. In Poland, typical medium voltage levels are 15 kV and 20 kV.

High Voltage (HV)

High voltage (HV) refers to electrical voltage above 60 kV, mainly used for transmitting electrical energy over long distances. The use of high voltage increases the efficiency of energy transmission, reducing power losses. In Poland, common high voltage levels include 110 kV.

Cable Pooling

Cable pooling is an innovative solution in the field of renewable energy. It involves connecting at least two different renewable energy sources, such as solar and wind farms, to a single connection point. This allows for more efficient use of existing grid infrastructure and enhances the stability of energy supply.

By consolidating multiple energy sources at a single connection, cable pooling optimizes grid performance and can reduce connection costs while facilitating the integration of diverse renewable energy systems.

For further information about cable pooling, you can read more: Cable Pooling – Optimal Resource Utilization and RES Development

Smart Grid

The Smart Grid is an intelligent energy network that utilizes modern technologies to optimize the production, transmission, and consumption of electricity. Its main features include:

  • Communication: Enables bidirectional communication between producers, consumers, and energy storage systems.
  • Automation: Control systems automatically respond to changes in the network, minimizing losses and ensuring stability in supply.
  • Integration of Renewable Energy Sources: Facilitates the inclusion of renewable energy, such as solar and wind power, into the energy grid.
  • Smart Meters: Collect real-time data on energy consumption, allowing for better management of production and consumption.

Hydropower

Hydropower focuses on generating electricity using water. It employs various methods, including gravitational force, water impoundment, and water flow. Hydropower plants, which are the primary facilities in this sector, can vary in size—from large power stations exceeding 10 MW to micro-hydro plants with a capacity of less than 200 kW.

Considered one of the most efficient renewable energy sources, hydropower does not emit pollutants and allows for energy storage. Hydropower plants can utilize both inland waters and marine sources, converting energy from waves, currents, or temperature differences into electricity.

Energy Cooperative

An energy cooperative is a form of association for individuals or legal entities that collectively generate, store, and manage electricity, biogas, biomethane, or heat using renewable energy sources.

The main goals of energy cooperatives include:

  • Energy Production: Generating energy from renewable sources such as photovoltaic panels, wind farms, or biogas plants.
  • Energy Storage: Storing the produced energy for later use.
  • Energy Management: Efficiently managing energy production and consumption among cooperative members.

Energy cooperatives primarily operate in rural and semi-urban areas, promoting local energy independence and contributing to environmental protection.

Energy Cluster

An energy cluster is an agreement among various entities involved in the production, distribution, storage, and sale of energy. The goal of such clusters is to develop decentralized energy systems, increase the share of renewable energy sources, and enhance energy security and environmental protection.

Energy clusters can encompass different forms of energy, including electricity, heat, cooling, and fuels. They operate at the local level, often spanning several municipalities or a single county, and can be established by individuals, companies, local governments, and research institutions.

Carbon Offset

A carbon offset, also known as carbon emission compensation, is the process of reducing or removing greenhouse gas emissions from the atmosphere to balance out emissions produced elsewhere.

Carbon offsets can include various actions such as:

  • Tree Planting: Trees absorb carbon dioxide during photosynthesis.
  • Renewable Energy Projects: Investing in solar, wind, or hydro energy that replaces fossil fuels.
  • Forest Conservation: Preventing deforestation, which protects natural carbon sinks.

Companies and individuals can purchase carbon credits that represent the reduction of one ton of carbon dioxide or its equivalent. This allows them to offset emissions that are difficult to avoid.

Power Purchase Agreement (PPA)

A Power Purchase Agreement (PPA) is a contract for the purchase of electricity between an energy producer and a buyer, where energy is generated and consumed off-grid. In this arrangement, energy is typically generated by renewable sources such as solar panels or wind turbines and is delivered directly to the consumer without using the public electricity grid.

PPAs are gaining popularity in Poland, particularly in the context of rising energy prices and the declining attractiveness of auctions for renewable energy sources. In recent years, many companies have opted for PPA agreements to secure energy supplies at predictable prices and to support their sustainability goals. However, the PPA market in Poland also faces challenges, such as regulatory changes that may affect the appeal of these agreements. Nevertheless, corporate PPAs (cPPAs) are becoming increasingly common, especially in the industrial sector.

On-grid

An on-grid system is a photovoltaic installation connected to the public electricity grid. This setup allows the energy produced by solar panels to be used in real-time by the household, with any excess energy being sent to the grid. If the installation does not generate sufficient energy (for instance, at night or during winter), electricity can be drawn from the grid.

Advantages:

  • Lower investment costs: On-grid installations are generally less expensive compared to off-grid systems, as they do not require costly batteries for energy storage.
  • Simplicity of installation: Connecting to the electricity grid is relatively straightforward and involves fewer formalities.
  • Ability to sell excess energy: Surplus energy generated can be fed back into the grid, providing additional financial benefits.

Disadvantages:

  • Dependence on the electricity grid: In the event of a power outage, on-grid systems cease to operate, leading to a lack of energy access.
  • Lack of full energy independence: Unlike off-grid systems, on-grid installations do not provide complete energy autonomy.
  • No tax relief for new prosumers: New prosumers may not benefit from tax incentives that were previously available.

Agrivoltaics in Poland: A Future Technology Transforming Agriculture and Renewable Energy

What benefits can the combination of agricultural production with photovoltaics bring? In this article, we explain what this solution is all about.

How does it work, and is it successful globally? What potential does it have for energy production? Why is this trend worth our attention?

Agrivoltaics Definition and Quick Facts

  • Definition: Agrivoltaics is the combination of agricultural activities with solar photovoltaics.
  • The term comes from “agri-” (related to agriculture) and “photovoltaics.” Other terms used interchangeably include agrophotovoltaic and agriPV.
  • In Europe, we observe dynamic growth of agrivoltaics in countries like France, Italy, the Netherlands, and Spain.
  • Agrophotovoltaic systems (agriPV) are also very popular in Asian countries such as China, South Korea, and Japan.
  • According to the report “Agrophotovoltaics in Poland: Modern Agriculture Powered by Solar Energy” by the Polish Photovoltaic Association, over 14 GWp of agriPV systems have been installed worldwide by 2023.
  • Polish agrivoltaics are on the cusp of rapid growth, but the current lack of legal regulations supporting this solution is a barrier. However, this situation may change soon. Globally, the integration of solar energy with agricultural activities is continuously developing.

What is Agrivoltaics and How Does It Work in Practice?

Agrivoltaics in Poland.

Agrophotovoltaic installations (agriPV or APV) have tremendous potential for modern sustainable agriculture. The technology combines the cultivation of crops or livestock with solar energy production on the same land, either for self-use or for sale. Typically, this involves placing PV panels on agricultural land, but the term also applies to installing panels on industrial buildings within farms.

To answer the question “what is it and how does it work,” let’s describe the main current designs of agriPV farms, though specific implementations may vary.

Read also: Solar Power System Design

Photovoltaic Panels Above Crops

In the most popular form, PV panels (e.g., semi-transparent but not necessarily) are placed above the ground on specially designed tall structures. The height depends on the type of crop and the specific needs of the farm – it can reach several meters. The panels leave space for crop growth and allow free movement underneath, including the use of agricultural machinery in taller installations. Thus, farmers have no issues accessing their crops. These agricultural solar systems generate energy from the sun while simultaneously protecting crops from excessive sunlight. The food grows in the shade of the panels, benefiting from a unique microclimate, reduced wind exposure, and better soil moisture.

Read also: Leasing Land for Solar Farm

Photovoltaic Installations Between Crop Rows

Another approach involves placing rows of photovoltaic panels between crop rows or in livestock areas (occupying, for example, 30% of the land), making them similar to traditional solar farms. The rows of panels can provide shelter for animals on hot days and also enhance biodiversity by preserving wild meadow vegetation beneath them. They protect the land from excessive soil erosion by reducing wind impact. In a version closest to traditional solar farms, the panels can cover the entire area, with crops like bear’s garlic growing underneath them (as seen in Poland, which we’ll discuss shortly).

Vertical Agrophotovoltaics and Greenhouse Crops

Another practiced solution is vertical agrivoltaics. Vertical panels are mounted on tall structures or supports, allowing for better use of the agricultural space beneath them.

There are also tests of APV installations integrated with greenhouses.

What Are the Benefits of Agrivoltaics?

agrivoltaic farm

Droughts, heatwaves, intense storms, and hail – climate change brings extreme weather events. In such a climate, APV installations can become a shield for crops – providing shade that helps lower temperatures on hot days while increasing them on cooler days through combined shading and ventilation. Another advantage of agriPV is the reduction of water evaporation – a properly designed system can support rainwater collection and water management in the face of increasingly frequent heavy rainfall.

Photovoltaic panels also offer protection for delicate crops (like blueberries or raspberries) from heavy rains, hail, and other adverse weather.

Can Photovoltaic Fruit Cultivation Lead to Higher Quality?

Findings from agriPV farms worldwide confirm that by improving growth conditions and creating optimal microclimates, we can influence the quality of fruits and vegetables. For instance, studies on strawberries have shown a significant increase in fructose and glucose concentrations in strawberries grown under photovoltaic panels. Research also observed a general increase in yield and strawberry weight. In France and Italy, investments in photovoltaic fruit cultivation are even focusing on grapes, thus creating “solar vineyards.”

Photovoltaics Used as Intended

In every combination of agricultural production with photovoltaics, PV modules perform their primary function – producing electricity that can be used to power the farm or sold, becoming an additional source of income.

Year by year, photovoltaics are advancing rapidly, with increasing knowledge and technologies enabling the creation of more efficient PV installations. This helps boost the efficiency of electricity production from photovoltaics combined with agriculture. Solutions such as solar trackers, which monitor the sun’s position and adjust solar panels accordingly, contribute to this increased production.

AgriPV installations can be a solution to rising electricity prices and the energy demands of large farms, which often make continuing agricultural production challenging and unprofitable.

Read also: Solar farm construction

Dual Use of Agricultural Land – What Obstacles Must Agrivoltaics Overcome in Poland?

Due to rising energy prices, more and more Polish farmers are interested in renewable energy sources. This interest is also driven by regulations promoting sustainable agrivoltaic farming systems, such as the Strategy for Sustainable Development of Rural Areas, Agriculture, and Fisheries 2030, which is part of the broader global shift towards renewable energy.

Photovoltaics are advancing before our eyes. Under EU legislation, the role and development of solar energy are increasing each year.

The European Green Deal includes plans to coordinate the reform of the Common Agricultural Policy. One of the goals of this reform is to support innovative climate action solutions. Concurrent agricultural and photovoltaic production is undoubtedly such an action, ensuring both food and energy security. The concept has been identified by the Joint Research Centre as a key area for development to achieve the EU’s PV targets.

Agrivoltaics require dual land use, and in Poland, the construction of a traditional solar farm requires administrative reclassification of land for non-agricultural purposes, which involves obtaining a single administrative decision. Agrophotovoltaic systems (agroPV), on the other hand, do not remove land from agricultural production. Does this offer the possibility of more efficient land use? Absolutely.

The development of agrivoltaics can be supported by introducing new definitions (such as agrophotovoltaic farms), promoting the benefits of agrophotovoltaics in Poland, and creating a support system for such investments. This doesn’t mean, however, that the country hasn’t begun experimenting with this solution.

Cultivating Bear’s Garlic with Agrivoltaics – How Does It Work?

In Poland, for example, there is a farm cultivating bear’s garlic using agrophotovoltaics. It operates under the Zgorzelec Cluster for Renewable Energy and Energy Efficiency. In 2021, 10,000 bear’s garlic seedlings were planted between the panels. This plant requires little space to grow and prefers shaded or semi-shaded areas, so there was no concern about whether it would thrive. The first harvests were satisfactory, but the 2024 harvest, after the garlic had matured, was a true success. This plant has gained popularity in recent years, mainly due to the pesto that can be made from it.

Agrivoltaics Tested in Other Countries

Agrivoltaics are developing in countries like Italy and France, which can serve as good examples for us. The aforementioned “solar vineyards” inspire the use of agricultural land tailored to the climatic conditions specific to each country.

Japan, where limited agricultural land availability drives agrophotovoltaic development, is also a model, with agroPV being used on rice crops, for instance. The innovations emerging there aim to maximize land use efficiency.

Agrivoltaics tested in neighboring countries and worldwide have already provided us with a wealth of information about how integration works, why the system functions, and whether it performs well under specific conditions. Therefore, we will have no problem translating this accumulated knowledge into concrete actions.

Italy bans PV from agricultural land

Recently, the Italian government introduced a decree banning the construction of new ground-mounted photovoltaic systems on agricultural land to protect fertile soil from degradation. The goal is to ensure that this land is primarily used for food production rather than energy generation. The exception to the ban is agrivoltaic projects, which allow for simultaneous agricultural production and electricity generation. The decision has been positively received by farmers, but the photovoltaic industry criticizes it, accusing the government of imposing restrictions on the development of renewable energy sources.

Agrivoltaics – The Future of Renewable Energy

Agrivoltaics technology is a technology of the future, and it’s important that farmers and investors in Poland are aware of its potential. Photovoltaic systems in agriculture will become increasingly important, as agrophotovoltaics offer benefits that traditional photovoltaic installations cannot – in addition to energy production, they ensure food security and fulfill agricultural objectives.

We live in a time when the growth of photovoltaics is so visible and significant, and the need to support innovation so well understood, that we won’t have to wait long for solutions that will drive the development of Polish agrophotovoltaics. Even before gaining momentum, at Electrum, we are pleased to use our knowledge and experience to contribute to the development of agrophotovoltaic systems. For us, innovation takes center stage, driving the future of renewable energy.

Contact us if you’re interested in this solution.

Comprehensive Legal Support for RES Projects – From Concept to Implementation

Introduction to Legal Support in RES Projects

The realization of projects related to renewable energy sources (RES) requires not only technological know-how but also solid legal support. From the initial concepts to land acquisition processes and the finalization of construction, every stage must be thoroughly planned and legally secured.

Land Acquisition and Project Preparation

Managing RES projects begins long before the first shovel hits the ground. Proper land acquisition for RES and land optimization for RES are key stages that require not only surveying knowledge but also negotiation and legal skills. Ensuring that the land is suitable for implementing plans requires detailed analyses and obtaining the necessary permits.

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Legal and Administrative Process

The formal and legal support for RES encompasses a wide range of activities—from permits for RES farms to complete project documentation. Each project must comply with local and national regulations, which necessitates a thorough understanding of energy and environmental law.

Project Implementation and Monitoring

Once all formalities are completed, the construction phase of wind farms construction or the solar power system design begins. Continuous collaboration with lawyers is also essential here to ensure that the entire process adheres to the applicable standards and that the project’s implementation remains on track.

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Summary: Why is it Worth Investing in RES with Good Legal Support?

A well-secured RES project guarantees fewer problems in the future and greater investment efficiency. By choosing proven solutions and collaborating with experienced specialists, one can significantly increase the chances of success and optimal utilization of energy resources.

Thus, comprehensive legal support in RES projects not only protects against potential risks but also allows for the effective use of every opportunity offered by the dynamically developing renewable energy market.

Read also: How Do Solar Farms Connect to the Grid? Solar Interconnection 

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