The President of the Office of Competition and Consumer Protection (UOKiK) has launched explanatory proceedings into the practices of Polskie Sieci Elektroenergetyczne (PSE), Poland’s sole electricity transmission system operator. The inquiry focuses on the application of the redispatch mechanism affecting renewable energy sources and energy storage facilities.
As the only entity responsible for electricity transmission in Poland, PSE plays a central role in maintaining the balance between electricity supply and demand. Ensuring this balance is essential to safeguard grid stability and prevent disruptions in power delivery. Due to its statutory position, PSE may hold a dominant position in the market, which under competition law cannot be abused.
The investigation concerns the so-called non-market redispatch mechanism, which allows the operator to temporarily curtail or reduce output from renewable energy installations in order to prevent grid congestion or restore system balance. While the mechanism serves technical and security purposes, it can have financial consequences for energy producers, particularly when generation is limited and revenues from electricity sales decline.
According to the competition authority, complaints have been submitted by renewable energy producers alleging that their installations were subject to redispatch measures more frequently than others without sufficient justification. Such practices, if confirmed, could distort competitive conditions by placing certain producers at a disadvantage.
The authority is therefore examining whether PSE applied redispatch orders in a proportional, transparent and non-discriminatory manner. The proceedings do not challenge the operator’s responsibility to ensure system security, but rather aim to determine whether the mechanism was implemented in a way consistent with competition law principles.
The issue has gained prominence amid the rapid expansion of renewable energy capacity in Poland, particularly in the prosumer segment. The growing share of intermittent generation has increased the need for system balancing interventions, raising broader regulatory and competition-related questions.
Under Polish competition law, companies holding a dominant position are prohibited from engaging in conduct that harms competitors, trading partners or consumers. The outcome of the proceedings may clarify the standards governing the use of redispatch mechanisms in Poland’s evolving energy market.