POLAND Law and Practice Contributed by: Tomasz Młodawski, Krzysztof Cichocki, Łukasz Wyszomirski and Krzysztof Fasula, Sołtysiński Kawecki & Szlęzak
lates licensing and the market operation of distribution system operators. Typical timelines vary significantly depending on pro- ject complexity: smaller distribution assets may be approved within several months, while projects requir- ing full permitting may take 12–24 months or longer, particularly where public objections or land acquisition issues arise. 5.3 Terms and Conditions Imposed in Approvals to Construct and Operate Electric Distribution Facilities Distribution licences issued by the President of ERO specify: • the geographic scope of the licensed distribution area; • minimum technical, financial and organisational standards; • quality-of-service obligations (including continuity of supply); • network development obligations; • reporting requirements; and • the obligation to ensure non-discriminatory access to distribution services. Distribution system operators are required to oper- ate in accordance with the Distribution Grid Code (“IRiESD”), which sets out the technical, operational and connection conditions for use of the distribution network. The IRiESD is prepared by each DSO and approved by the President of ERO following consul- tation with stakeholders, and is binding on all system users. Where required, environmental decisions impose con- ditions relating to nature protection and monitoring, while construction permits specify compliance with applicable technical construction standards. Amendments to distribution licences and to the IRiESD require approval by the President of ERO through formal administrative procedures. Amend- ments to environmental or construction decisions must be obtained from the competent administrative authorities and, where the proposed change is mate-
rial, may require renewed procedural steps, including public participation. 5.4 Eminent Domain, Condemnation or Expropriation Rights to Construct and Operate Electricity Distribution Facilities Land rights for the construction and operation of elec- tricity distribution infrastructure are acquired primarily through negotiated arrangements – most commonly the establishment of a transmission easement under the Civil Code in exchange for agreed compensation paid to the landowner. Where voluntary agreement cannot be reached, the easement may be established by a court judgment upon an application by the relevant DSO. For certain designated investments at 110 kV level, DSOs may also benefit from the streamlined administrative pro- cedures available under the Transmission Network Investment Act, including the possibility of the com- pulsory acquisition of land rights by the competent voivode . This framework does not extend to medium- and low-voltage infrastructure, for which DSOs must rely on general expropriation procedures under the Act on Real Estate Management. Compensation is determined in accordance with the same principles as those which apply to transmission infrastructure, as described in 4.4 Eminent Domain, Condemnation and Expropriation Rights to Con- struct and Operate Transmission Lines and Associ- ated Facilities . 5.5 Monopoly Rights for Electricity Distribution Entities Polish law does not provide for monopolies to provide distribution services within certain geographical ter- ritories. This means that distribution grids may poten- tially be developed and operated within the same region by multiple entities. However, distribution ser- vices may be rendered exclusively by licensed DSOs; this means that each grid owner is obliged to ensure that a licensed DSO is appointed with respect to the distribution grid, and distribution services cannot be rendered by any entity other than that appointed DSO. Distribution licences are granted for a fixed term of between ten and 50 years, unless the applicant
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