Energy distributors have a rotten deal says regulator

The Energy Regulation Office (URE) estimated that as a result of transactions made within the obligatory balancing market (RB) run by the National Grid (PSE), distribution companies have already lost zł. 200-250 million. "Distributors lost even more in bilateral contracts with energy producers. The rules of the RB give energy producers strong bargaining power. They used it, and overvalued energy prices, in agreements signed with distribution companies," said Tomasz Kowalak from URE. Despite this, the Office does not agree to transfer RB costs to end-users, but also does not accept the rules of PSE's market, and in this way it is trying to encourage the distribution companies to fight for their rights. "We understand that energy producers must have high revenues in order to pay back loans secured with long-term energy contracts. However, they do not always have to earn the sums stated in the contracts," explained Kowalak. (Puls Biznesu, pp. 1, 6) M.M.