Government decides on anti-inflation shields. "There will be no need"

There will be no need to extend anti-inflation shields, the Ministry of Finance announced in a statement. According to a report adopted by the government, consumer prices will not change. Earlier, President Andrzej Duda signed a law that will delay the entry into force of new electricity tariffs.

On Tuesday, the Council of Ministers adopted the Report on the implementation of the medium-term budgetary and structural plan for 2025-2028.

" Energy prices for individual consumers will not change due to the development of raw material prices on world markets. Therefore, there will be no need to extend the shields," the report said.

On Tuesday, President Andrzej Duda signed a law that will delay the entry into force of new electricity tariffs for households by three months , until October 1, 2025.

This concerns an amendment to the act on special solutions for the protection of electricity recipients in 2023 and 2024 in connection with the situation on the electricity market, which was adopted this week by both houses of parliament.

SEE: Anti-inflation shields. "The draft budget did not assume an extension"

The current regulations assume that ex officio sellers are to submit applications to the President of the Energy Regulatory Office for changing tariffs by 30 April and they would come into effect on 1 July.

After the amendment comes into force, households will not pay the capacity fee until the end of June , and until the end of September, energy prices for consumers will be frozen at PLN 500 per MWh .

During the work on the bill in the Sejm and Senate, Deputy Minister of Climate and Environment Miłosz Motyka noted that energy prices on the wholesale market are already below the freezing price . Therefore, the delay in the entry into force of the new tariffs is to allow energy companies to better "discount" the reductions that are on the market, which in turn is to translate into lower prices for households .

- In practice, customers will notice tariff changes in the fourth quarter after the maximum price expires and that is why the level of tariff reduction is important (...) The market situation indicates a downward trend - Motyka pointed out.

SEE: Electricity bills may be lower. ZUS subsidizes energy regardless of earnings

The Deputy Minister also noted that the price structure in tariffs will have an impact on whether the protective mechanisms will be extended. - The price level after the recalculation of tariffs approved by the President of the Energy Regulatory Office will also be a key factor in the government's decision-making regarding protective mechanisms until the end of 2025, for the last quarter - announced the representative of the Ministry of Climate and Environment.

The amendment will enter into force on the day following the date of announcement.