Poland Power Transmission and Distribution

Poland’s electrical transmission network is in good technical shape and the average age of Polish transmission lines is less than 40 years.  Expanding and upgrading of Poland’s electricity transmission network is a key element to meet its EU goals of increasing renewable energy sources, improving energy efficiency, and better integration into European transmission networks.  

Between 2010 and 2015, PSE, the Polish state-owned transmission system operator, spent $1.25 billion for grid development and modernization. This included construction of a 400kV interconnector to Lithuania, and an upgraded connection to Germany near Swinoujscie where an LNG terminal came online in 2016.

From 2018 to 2027, PSE plans to spend $3.2 billion to expand and modernize the Polish grid, with $1.25 billion support taken from the EU Operational Program Infrastructure and Environment.  Much of the plan focuses on redeveloping the inefficient grid in Poland’s north and northwest (to bring online substantial amounts of wind energy sources that are predominantly situated along the Baltic coast), and construction of new transmission lines near the new power plants in Kozienice and Opole.  

PSE plans to introduce 8 GW of power from off-shore wind farms into the system by 2027 and to prepare for construction of power lines for the nuclear power plant.  PSE investment plans include building of about 4,300 km of new 400 kV lines and upgrade another 800 km of 400 kV, along with 1,400 km of new or upgraded 220 kV lines; construction of nine new transformer stations and modernization of 23 existing stations.  In 2018, PSE signed an agreement with Lithuanian transmission operator, Litgrid, to build Harmony Link, an undersea HVDC cable that would link Poland and Latvia. 

Investments undertaken by five distribution system operators for distribution grid expansion, upgrade, automation and cyber security are also substantial. In 2018, the total investment spending by Polish distribution companies amounted to $ 1.6 billion, including $0.5 billion spent by Tauron, $0.45 billion spent by PGE, $0.33 billion spent by Energa, $0.25 billion by Enea and $50 million by Innogy.  The total investment expenditures for innovations of Polish power transmission and distribution companies were $106 million in 2018.  Thirty investment projects related to electricity transmission, and 188 projects in electric energy distribution with a combined value of $ 3.6 billion, have been co-financed by EU cohesion funds within the Infrastructure and Environment Program during 2014-2020.