The Office of Competition and Consumer Protection will inspect the state-owned company. There are complaints from entrepreneurs from the renewable energy industry
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What is non-market redispatching?
On their website, PSE explains that non-market redispatching is rules for limiting the production of energy from renewable energy sources by the transmission system operator, which is necessary to maintain the stability of the national power system.
Installation owners who comply with the orders to limit production will can apply for financial compensation for unproduced energy.
Complaints from entrepreneurs from the renewable energy industry
The Office of Competition and Consumer Protection informed the office Complaints were received from entrepreneurs generating energy from renewable energy sources. According to them, their installations were subject to the redispatch mechanism more often than others – without sufficient justification. In their opinion, this could worsen their competitive situation on the market.
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— We do not question the role of PSE in ensuring the security and stability of the power system in Poland, nor do we question the tools available to the transmission system operator for this purpose. We are checking whether the instrument in the form of the redispatch mechanism was used in a transparent and non-discriminatory manner, said Tomasz Chróstny, president of the Office of Competition and Consumer Protection.
What will the Office of Competition and Consumer Protection examine?
The Office of Competition and Consumer Protection analyzes whether orders to shut down or limit energy production were issued:
- in a proportionate manner,
- uniform,
- non-discriminatory towards individual entrepreneurs.
The office indicates that redispatch problems are a relatively new phenomenon, resulting from the dynamic development of renewable energy generation capacity – especially prosumer installations.
PSE's dominant position
As the Office of Competition and Consumer Protection reminds, PSE acts as the operator of the electricity transmission system in Poland. By law, it is the only entity performing this role in the country, which means it may have a dominant position on the market.
The tasks of PSE include, among others: balancing the power system, i.e. adjusting the volume of energy production to its consumption. An imbalance between production and demand can lead to system disruptions, including interruptions in electricity supplies.
In accordance with antitrust regulations the dominant entrepreneur cannot abuse his position to the detriment of contractors, competitors or consumers.
