Renewable energy construction in Poland 2013

Development forecasts and planned investments

The report describes current conditions on the Polish construction market in the segment of power construction, in the area of renewable energy sources.

 

The analysis is divided into source types – wind, solar, water, biomass and biogas.

 

The report contains data on the newest market trends, as well as an analysis of the likely provisions of the upcoming RES act, which will define the operating rules for businesses that generate energy from renewable sources.

This report keeps energy sector professionals updated on key issues, such as:

  • The current installed power generation by energy source
  • The general market conditions for power production
  • Key investments into renewable energy and players involved in its production
  • Common sources of funding for energy investments
  • Barriers to completion for energy investments in Poland
  • A SWOT analysis for RES.

Find answers to these commonly asked questions about power construction in Poland:

  • What is the total size (MW) and value (PLN bn) of the proposed investments in renewable energy sources?
  • What is the size and value of each key segment – hydroelectric power, wind power, biomass, and photovoltaics?
  • What percentage of the planned investments will be successful?
  • In which regions of Poland will the investment in renewable energy be the highest?
  • Which recently introduced regulations may impact planned investments in energy production?

Unique features of this report include:

  • A comprehensive analysis of the development prospects for each of the energy source types in Poland.
  • Valuable analysis of the planned investments with a description of the investment policies of the key market players.

This report is an essential informational resource when:

  • Entering the RES market in Poland
  • Looking for new construction orders on the RES market
  • Planning a corporate strategy
  • Analysing the investment potential on the Polish construction market
  • Monitoring the competition
  • Estimating own market share
  • Preparing analyses for the executive board or shareholders.

Industry professionals that consult our publications on a regular basis include:

  • Producers and distributors of equipment used for the construction of RES, as well as construction contractors
  • Companies planning to enter the Polish market with new brands of equipment
  • Consulting, research and analyst companies
  • Chambers of commerce, financial institutions (banks, brokerage houses, investment funds).

 

Market commentary by expert

Poland is obliged to comply with the EU directive requiring the power generation industry to increase the level of energy produced from renewable sources to 15% by 2020. Consequently, for the past few years we have observed intensified activity promoting the creation and expansion of renewable energy sources around the country. So far, the highest share of the Polish renewable energy mix belongs to wind turbines, however when the act on RES – long awaited by the market – is ready, other types of installation may also gain momentum.

 

Katarzyna Bednarz, Construction market Analyst

 

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  1. Methodology p. 9

  2. Executive summary p. 11

  3. Structure of Poland’s renewable energy sources p. 17

    1. Location of RES projects in Poland p. 21
    2. Connection of renewable energy sources to the grid p. 22
    3. Funding of RES investment projects p. 26
      1. RES support systems prepared by NFOSiGW p. 26
      2. EU funds p. 29
      3. Domestic funds p. 30
      4. Norway Grants p. 32
    4. Renewable energy certificate system p. 32
    5. Act on renewable energy sources p. 35
      1. Key assumptions of the RES Act p. 36
      2. Microgeneration and small RES generation units p. 39
      3. Other changes to the Act on renewable energy sources p. 40
      4. SWOT analysis for the RES sector p. 41
  4. Wind power in Poland p. 43

    1. Installed wind power capacity p. 43
    2. Costs of building and maintaining wind turbines p. 45
    3. Growth potential for wind energy in Poland p. 46
    4. Changes to rules for financing wind power projects in Poland p. 47
    5. Growth of offshore wind power in Poland p. 48
    6. Production of wind turbines and wind towers p. 50
    7. Major wind power projects in Poland p. 51
  5. Hydropower generation in Poland p. 61

    1. Major hydropower projects in Poland p. 65
    2. Construction costs for hydropower plants in Poland p. 66
  6. Biogas power in Poland p. 71

    1. Costs and preparation of biogas plant construction p. 74
    2. Biogas plant projects in Poland p. 79
  7. Biomass power in Poland p. 83

    1. Major biomass combustion projects in Poland p. 90
  8. Solar energy in Poland p. 93

    1. Costs of solar farms p. 99
    2. Legal framework for the development of solar farms in Poland p. 101
    3. Major solar power projects in Poland p. 102
  9. Geothermal power in Poland p. 105

    1. Potential offered by geothermal projects in Poland p. 105
    2. Major geothermal projects in Poland p. 107
  10. List of graphs p. 111

  11. List of tables p. 115

  12. About PMR p. 116

List of graphs

  1. Structure of power generation in Poland (%), by source, 2011      11
  2. Structure of RES capacity installed in Poland (%), 2013      12
  3. Correction coefficients for biomass systems in Poland for 2013 and 2014      14
  4. Structure of power generation in Poland (%), by source, 2011      17
  5. Structure of RES capacity installed in Poland (%), 2013      18
  6. Structure of RES facilities installed in Poland (%), by number, 2013      19
  7. Consumption of renewable energy in heating and cooling, power generation and transportation in Poland (%), 2010-2020      20
  8. Installed capacity of renewable energy sources in Poland (MW) and capacity change (%), 2005-2012      20
  9. Location of RES units in Poland (%), by capacity, 2013      21
  10. Geographic reach of the major distribution groups in Poland, 2013      23
  11. Applications for grid connection of power generating facilities with capacity exceeding 1 kW submitted to four major distribution groups in Poland (GW), Q1 2013      25
  12. Amount of financing under the GIS scheme in form of borrowings and grants (PLN m) in Poland, 2013      27
  13. Agreements for additional EU funding as part of projects funded under Priority 9 (PLN m), 2013      29
  14. Allocation of funds (PLN ‘000) granted to solar collectors and annual utilisation of allocation (%) in Poland, 2010-2015      31
  15. Mandatory renewable content of power sold in Poland (%), 2008-2021      32
  16. Compensatory fee and average trading PPE price of green certificates (PLN), 2009-2013      33
  17. Prices and trading volume of certificates traded on PPE, 2009-2012      34
  18. Target share (%) of renewables in total energy consumption in EU states in 2020       35
  19. Correction coefficients for individual categories of RES systems in Poland, 2013      37
  20. Guaranteed Rates for electricity generated by micro- and small RES units in Poland (groszes/kWh), 2013      39
  21. Development of wind power (MW) in Poland and capacity change (%), 2005-2012      43
  22. Location of wind farms in Poland (%), 2013      44
  23. Installed capacity of wind turbines in Poland (MW), 2007-2015      45
  24. Breakdown of construction costs for wind farms in Poland (%), 2012      45
  25. Ongoing maintenance costs for wind farms in Poland (%), 2012      46
  26. Expected correction coefficients for the wind power segment in Poland, 2013-2014      48
  27. Shares of individual types of wind farms in Poland in 2020 (%), according to the government’s plan Market shares of leading manufacturers of wind turbines in Poland (%), 2011      49
  28. Market shares of leading manufacturers of wind turbines in Poland (%), 2011      50
  29. Map of existing wind farms in Poland, 2013      54
  30. Map of wind farms under construction in Poland, 2013      56
  31. Map of wind farms planned in Poland, 2013      60
  32. Hydropower plants in Poland by number of units and generation capacity (%), 2013      62
  33. Installed capacity (MW) of run-of-river hydropower plants in Poland and capacity change (%), 2005-2012      63
  34. Location of hydro plants in Poland, by installed capacity (MW), 2013      64
  35. Structure of construction costs for hydropower plants (%) in Poland Expected correction coefficients for hydropower plants under the RES Act, 2013-2014      67
  36. Expected correction coefficients for hydropower plants under the RES Act, 2013-2014      68
  37. Biogas power plants in Poland by number of units and generation capacity (%), 2013      72
  38. Growth of biogas plants in Poland, by installed capacity (MW) and growth change (%, y-o-y), 2005-2012      72
  39. Location of biogas plants in Poland, by capacity (MW), 2013      73
  40. Structure of capital expenditure for a typical biogas plant in Poland (%), 2011      75
  41. Categories of operating costs of biogas plants in Poland (net of depreciation costs), 2013      76
  42. Domestic and foreign manufacturers of biogas devices on the Polish market (%), 2012      78
  43. Planned biogas plants in Poland, September 2012      82
  44. Number and installed capacity of biomass-fired boilers in Poland, by type of fuel (%), 2013      84
  45. Growth of biomass installations in Poland (biomass-fired units) and growth rate (%), 2005-2012      85
  46. Areas most active in biomass use for power generation in Poland, by installed capacities (MW), 2013      86
  47. Major biomass co-firing facilities in Poland, by investor and average boiler age, 2013      87
  48. Correction coefficients for biomass systems in Poland for 2013 and 2014      88
  49. Annual sum of solar radiation per m2 of area in Poland      94
  50. Area of solar panels in Poland (‘000 m2), 2000-2012      95
  51. Solar collectors installed in Poland under the NFOSiGW scheme, 2013      96
  52. Growth of photovoltaic installations in Poland (MW), 2008-2012      97
  53. Average capacity utilisation rate in Poland (%), by electricity generation technology, 2013      98
  54. Correction coefficients for photovoltaic units in Poland, according to the bill on renewable energy sources, 2012      99
  55. Breakdown of maintenance costs for solar farms in Poland (%), 2013      100
  56. Breakdown of capital costs for solar farms in Poland (%), 2013      100
  57. Estimated number of heat pumps installed in Poland and change (%), 2005-2012      107

List of tables

  1. Available connection capacity in Poland (MW), 2013      24
  2. SWOT analysis for the RES sector      41-42
  3. Wind farms existing in Poland, 2012      52-53
  4. Wind farms under construction in Poland, 2013      55
  5. Wind farms planned in Poland, 2013      57-59
  6. List of agricultural biogas plants operating in Poland, April 2013      77
  7. Correction coefficients for individual categories of biogas systems in Poland, 2013-2017      79
  8. Biogas plant projects in Poland, by project status, 2012      79
  9. On-farm biogas plant projects scheduled for completion in 2013      80