Electricity refund – how to get it? Who is eligible?

Electricity refund – who can receive it and what are the conditions?

Let’s first look at the mechanism introduced by the Act of October 27, 2022, on extraordinary measures to limit electricity prices and support certain consumers in 2023 and 2024.

According to Article 20 of this Act, if an eligible consumer (as defined in Article 2, point 2, letter b) used no more than 90% of their average annual electricity consumption (calculated for the period from January 1, 2018, to December 31, 2022) between January 1, 2023, and December 31, 2023, the energy supplier must grant a discount in settlements with that consumer in 2024.

An eligible consumer in this context is understood to be a micro, small, or medium-sized enterprise (SME), to the extent that electricity is used for business purposes. However, it is important to note that there is another supporting act – the Act of October 7, 2022, on special solutions to protect electricity consumers in 2023 and 2024 in connection with the situation on the energy market.

This regulation extends the right to a discount also to:

• farmers conducting business activity as individuals,
• households billed by their electricity supplier under the G tariff,
• and households consuming electricity for the construction of a single-family home.

In summary, the electricity refund applies to three groups of consumers:

• SMEs (micro, small, and medium-sized enterprises),
• farms,
• households.

The conditions for receiving the refund are: submitting the appropriate application and, of course, not exceeding 90% of the electricity consumption from the previous settlement year.

Also check out other ways to reduce your electricity bills!

How much is the electricity refund for businesses?

For entrepreneurs, the discount equals 10% of the total amount of electricity sales and electricity distribution services paid by the eligible entity between October 1, 2022, and December 31, 2023. In practice, this refers to the line on the invoice marked “active energy” or “electricity sales.”

One-time electricity refund for households

Households are entitled to a one-time refund of PLN 125.34. Why exactly this amount? It comes from the Regulation of the Minister of Climate and Environment of September 9, 2023, which sets the discount at 12% of the product of the average electricity price published by the President of the Energy Regulatory Office for 2022 and a reference consumption volume of 2,523 kWh.

The bonus applies to households under the G11 tariff provided that they meet the following conditions:

• reduce their electricity consumption to below 95% of the volume specified in the regulation for a given 3-month period,
• confirm their personal data or agree to receive e-invoices or newsletters from their electricity supplier,
• hold the status of a renewable energy prosumer, or submit a relevant declaration.

How to get an electricity refund – step by step

First, determine whether you are eligible for the refund. This requires checking the criteria set out in the acts and regulation mentioned above. To simplify: large companies that do not qualify as SMEs will not benefit. The one-off refund for households depends on being on the G11 tariff. You can therefore assume that switching to a different billing plan (e.g., G13 or G12as) will mean the refund won’t apply or will be harder to obtain.

The next step is to assess your electricity consumption against the quantitative requirements. For consumers, the cap is explicitly set at 2,523 kWh. Businesses must analyze invoices from the previous year. The provisions refer to average annual electricity consumption. So if in one month you used 120% of the previous year’s value because your company received a large extra order, but in the next month only 70%, you would still be within the limit.

The final stage is submitting a correctly completed application. In the case of the household allowance (the PLN 125 mentioned), no form needs to be filed, because the discount will be applied automatically to subsequent forecast bills or issued corrections.

Application for electricity refund – how to fill it out and submit it

The compensation is paid only on the basis of an application submitted for each month. The calculation of the compensation is done by the eligible entity, but it is verified by the company Zarządca Rozliczeń S.A. The same company checks the formal correctness and completeness of the documents. It is important to remember that when submitting an application, the eligible entity must include a clause acknowledging criminal liability for making false statements. This is no trivial matter, since the Criminal Code provides for up to 8 years of imprisonment for deliberately providing false information.

Keep in mind that all applications for the 10% refund can be found on the official website of Zarządca Rozliczeń S.A. Do not look for them on electricity suppliers’ websites, as they are not the entities responsible for paying out the compensation.

Electricity refund – application deadline

The application for compensation must be submitted by the 25th day of the month following the given settlement period. Applications submitted after the deadline will not be considered. If you are running out of time and know you won’t manage to complete the form perfectly, it is better to submit it even with a minor harmless error (e.g., omitting some company details). Why? Because Zarządca Rozliczeń S.A. is obliged to request the applicant to correct any formal deficiencies, which effectively extends the deadline.

When is the electricity refund granted? Other protective measures

It is worth mentioning that the 10% discount is not the only relief introduced by the government. Other measures include the Energy Voucher (Bon Energetyczny) and the zero capacity charge.

• Energy Voucher – Households could apply for this directly with the local mayor or city president between August 1 and September 30, 2024. It was a one-time payment ranging from PLN 300 to PLN 1,200, depending on the number of household members and the type of energy supply (electricity or other).

• Zero capacity charge – This is a component of distribution service invoices. It was suspended for all households from July 1 to December 31, 2024. Unlike the energy voucher, no application was required, as the suspension applied automatically.

These support schemes provided by the state are particularly useful for the poorest households, as well as for businesses with especially high energy consumption. They are certainly worth exploring, even if they are not always easy to find.

If you run a business and are looking for ways to permanently reduce your electricity bills, contact us! We can help you develop a tailored strategy that takes into account renewable energy sources and other modern technologies.

The benefit is paid within 30 days of receiving a correctly completed application.