A heated parliamentary drama over energy price freezing in 2024
Yesterday the majority formed in the Sejm began discussing a plan to freeze electricity, gas, and the system heat in 2024. After controversy over including the wind turbine provision, Donald Tusk reportedly reacted angrily and signaled the wind turbine section should be removed entirely.
In this climate, MPs from the Platform and the Holownia movement filed an automatic amendment to the earlier bill. The amendment spanned roughly 100 pages and was introduced on Tuesday as an excellent, yet it contained as many as 69 pages of content. This rapid revision drew attention for its size and scope.
A strong government proposal that faced rejection
During yesterday’s debate, the government’s plan to freeze energy prices was presented by Minister Anna Trzeciakowska. She stressed that the 2024 package mirrors the protections used in 2023 for households, sensitive entities, small and medium sized enterprises, and the energy sector companies that earned above average profits due to the surge in energy prices. Trzeciak highlighted that freezing prices for all affected groups in 2023 would cost around 31 billion euros in the current year. The scope includes electricity generators, natural gas suppliers, district heating providers, and the broader sustainable energy segment, which was noted to include players from Germany in particular.
Another bill on the table with a stiffer trajectory
Regrettably these points failed to sway the new parliamentary majority, and the more favorable government bill was dismissed. Instead, a less favorable alternative bill moved forward through joint committees on energy and public finances. It emerged that the MP presenting the 69-page self-amendment was inadequately briefed about the amendment itself. The content appeared to have been drafted by an expert presented as a representative from a civic think tank allied with the Platform, but it later became clear that this person co-owned a law firm specializing in energy sector support. This raised questions about the process as the wind turbine section comprised a large portion of the initial text, and the remainder appeared to be shaped by specialists from a law firm who also authored the self-amendment. The misstep culminated in a presentation by an individual who was not the primary applicant, adding to the controversy surrounding the amendment.
The sense arises that the new Sejm majority opted to reject a well-prepared government plan, whose practical 2023 solutions proved effective, and chose to press forward with a project that had been drafted outside the chamber and carried contentious elements.
Partial price freezing and the broader implications for Orlen
Freezing energy prices, limited to half a year, would extend protections to sensitive entities such as hospitals, schools, daycare centers, and similar institutions funded by local authorities. At present, SMEs would not be covered by the freeze, though a coalition partner has signaled that such a measure might be introduced at the second reading. It seems likely that the new majority aims to finance the plan largely through Orlen, with an estimated cost of about 15 billion. EU regulations, however, require consideration of all energy sector entities that reported above-average profits. The plan would therefore impact not only shareholders but also broader investment opportunities. Meanwhile Orlen continues major wind farm developments in the Baltic Sea, a project projected to cost tens of billions of zlotys.
The new parliamentary majority begins its governance amid questions about lobbying and transparency. The unfolding situation invites speculation about how the coalition will proceed once a government is formed. A notable dynamic involves PSL and left-wing MPs, who appear to be navigating the Windmill Act controversy with cautious responses as details become public and political perception shifts.
Note: The analysis reflects interpretations from several Polish political reporting outlets as of the current discussions in the Sejm.