Photovoltaics is the cheapest source of electricity. Will the government hinder its development?
Electricity derived from photovoltaics is the cheapest ever available. An amendment to the law planned by the government may significantly limit the possibilities for its development in Poland.
As early as 2020 the International Energy Agency reported that electricity from solar power is now the cheapest source of energy. In developed countries, it is cheaper than electricity derived from burning coal or gas. In the European Union, it currently accounts for 7.3% of the energy mix and is the energy sector with the highest growth in 2022. Solar power capacity in the EU grew by an impressive 47% in 2022.
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Dynamic development of photovoltaics in Poland
This sector is growing rapidly in Poland as well. In 2022, we were among the top five EU countries that increased the amount of electricity obtained from solar energy the most.
A large part of this was due to the government's subsidy program for solar panels and collectors, which resulted in more than one million microinstallations on buildings in Poland. They produced 2.7 percent of all electricity generated in Poland in 2022.
Orlen has already opened two large solar farms, one in Greater Poland and one near Olsztyn. It plans to launch two more in 2023. According to polskieradio.pl, Orlen's farms have capacities ranging from 25 to 65 MW.
Restrictions for private investors in plans
Private investors are concerned that the Polish government's planned amendment to the law on spatial planning and development may limit the possibility of building solar farms. In February 2023, a provision to limit the capacity of free-standing photovoltaic installations on class IV agricultural land to 150 kW was introduced into the proposed law.
This is radically less than the photovoltaic industry is calling for. Photovoltaic agents would like to be able to put up installations of at least up to 20 MW. One MW is equal to 1,000 kW. Class IV arable land make up for 38% of all agricultural land in Poland. Naturally, it is not allowed to build solar farms on land of classes I-III and forestry areas. The new regulations would enter into force in 2025.
Solar panels still have their drawbacks, especially in terms of the difficulty with recycling them. However, the energy obtained from them is radically cleaner than that from fossil fuels. It is also renewable. There are also reservations about the impact of solar farms on the soils on which they are erected. Agrovoltaics may become a solution to this problem. We addressed the issue here.