Capacity Fee: which entities will face the highest costs and how can they be reduced?

Capacity Fee: which entities will face the highest costs and how can they be reduced?

30/07/2026
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The capacity fee is one of the components included in electricity bills and has been in force in Poland since 2021. Its introduction was a consequence of the launch of the capacity market, a mechanism designed to support the security and stability of the national power system by remunerating generation units for maintaining availability. In practice, this means that electricity consumers finance not only electricity generation and delivery but also the readiness of power sources to meet demand during periods of peak system load.

Revenue generated from the capacity fee is used to finance entities participating in the capacity market that commit to making specific generation resources available during periods of peak electricity demand. The mechanism is intended to enhance the stability of the national electricity system and reduce the risk of electricity shortages.

Who is required to pay the capacity fee?

The capacity fee applies to virtually all electricity consumers in Poland. It affects residential customers, businesses, public sector entities, and industrial facilities alike. However, the method of calculating the fee varies depending on the type of consumer.

For households, the fee is charged as a fixed monthly amount assigned to a specific annual electricity consumption range. Businesses, on the other hand, are billed based on the volume of electricity drawn from the grid during hours classified as periods of increased demand for capacity. For industrial companies, this means that the fee depends not only on total electricity consumption but also on how consumption is distributed over time.

Read more: DB Energy summarises 2025

How much is the capacity fee in 2026?

The Energy Regulatory Office (URE) has announced the capacity fee rates applicable throughout 2026. The new rates represent a significant increase in costs across all consumer categories. For businesses, the increase amounts to approximately 55.4% compared to the previous year.

Capacity Fee for Households

The monthly net fee has been set at:

  • PLN 4.29 for consumers using less than 500 kWh per year,
  • PLN 10.31 for annual consumption between 500 and 1,200 kWh,
  • PLN 17.18 for annual consumption between 1,200 and 2,800 kWh,
  • PLN 24.05 for households consuming more than 2,800 kWh annually.

Capacity Fee for Businesses

Business consumers are subject to a rate of:

  • PLN 0.2194 net per kWh of electricity consumed during chargeable periods, equivalent to PLN 219.40/MWh.

The fee is charged on electricity drawn from the grid on working days between 7:00 a.m. and 10:00 p.m. For energy-intensive companies, this can result in a substantial increase in operating costs. For example, a company consuming 1,000 MWh annually during chargeable hours will incur an additional cost of approximately PLN 219,000 net.

Why is the capacity fee becoming increasingly important for businesses?

In many organizations, energy costs are primarily analyzed through the lens of the electricity commodity price. However, the rising capacity fee rate means that its share of total energy expenditure is becoming increasingly significant. This is particularly relevant for businesses whose electricity consumption is concentrated during daytime operating hours.

Manufacturing plants operating on single-shift or two-shift schedules, with production concentrated primarily during daytime hours, are the most exposed to the highest capacity fee charges. In such cases, the vast majority of electricity consumption is subject to the fee. Companies that utilize energy management systems and flexible production schedules, however, can partially mitigate the impact of the capacity fee on their overall operating costs.” comments Przemysław Kurylas, Chief Operating Officer at DB Energy.

Is it possible to reduce the capacity fee?

Since the capacity fee is a mandatory component of the electricity billing system, completely eliminating it is practically impossible. Nevertheless, companies can implement solutions that significantly reduce the level of charges incurred.

  • Shifting electricity consumption outside peak hours

The most obvious way to reduce costs is to limit electricity consumption during periods covered by the capacity fee.

This can be achieved through:

  • modifying operating schedules of energy-intensive installations,
  • carrying out selected technological processes during nighttime hours,
  • utilizing energy stored in battery energy storage systems,
  • scheduling electric vehicle charging outside peak periods.

Reducing electricity consumption between 7:00 a.m. and 10:00 p.m. directly lowers the capacity fee.

  • Energy storage systems

Energy storage systems make it possible to accumulate electricity during periods of surplus generation or lower demand and then use it when electricity drawn from the grid is most expensive. This allows companies to reduce grid electricity consumption precisely during the hours when the capacity fee is charged.

However, assessing the profitability of such a solution requires a detailed analysis of the company’s load profile, investment costs, operating strategy, and the expected number of charging and discharging cycles.

  • Energy monitoring and management systems

For large industrial consumers, energy management systems are an effective tool for cost optimization. Continuous monitoring of energy consumption enables companies to identify processes responsible for the highest electricity demand during periods subject to the capacity fee.

In many cases, simply reorganizing the operation of selected equipment or installations can generate noticeable savings without the need for substantial capital expenditure.>

On-site energy generation as a method of reducing the capacity fee

Photovoltaic systems, cogeneration units, and other on-site generation sources can reduce the amount of electricity drawn from the grid during periods covered by the capacity fee.

For manufacturing companies, covering daytime electricity demand with power generated by photovoltaic installations can be particularly advantageous. Every kilowatt-hour that reduces grid consumption during chargeable hours lowers the basis for calculating the fee.

It should be noted, however, that a PV installation alone does not eliminate the capacity fee entirely. If a company continues to draw electricity from the grid during chargeable hours, the fee will still apply, albeit at a lower level. The overall effect depends on the production profile, the level of self-consumption, and the alignment between the generation source and the facility’s demand profile.

The chart below, prepared by DB Energy, presents four alternative electricity consumption management scenarios for a sample company with annual electricity consumption of 43 GWh. The resulting capacity fee—calculated here according to the rates applicable in 2026—depends not on the total amount of electricity consumed but on how balanced the company’s daily power demand profile is on working days. End users are automatically assigned to one of four statutory categories (K1–K4) based on the percentage deviation between average power demand during peak hours (7:00 a.m.–10:00 p.m.) and average demand outside those hours on working days.

In the least favorable K4 scenario, where the company operates intensively during the day (4.96 MW) and reduces activity at night (4.20 MW), the difference reaches as much as 18%, resulting in the full capacity fee of nearly PLN 4 million per year.

By contrast, the K1 scenario illustrates a situation in which the same facility uses its own generation source during daytime hours to reduce reliance on the external grid. As a result, average peak-period demand decreases to 4.52 MW and becomes almost identical to nighttime demand of 4.51 MW. Since the resulting difference is effectively zero and remains below the statutory threshold of 5%, the company qualifies for the maximum discount of up to 83%. Consequently, the annual capacity fee drops dramatically from approximately PLN 4 million to just PLN 615,000. This example clearly demonstrates that the key to achieving savings is not reducing production output but effectively flattening the daily power demand curve.

Illustration: DB Energy

Illustration: DB Energy

The role of an energy audit in reducing capacity fee costs

In industrial enterprises, capacity fee costs can reach tens or even hundreds of thousands of zlotys annually. For this reason, analyzing the fee has become an important component of energy efficiency improvement initiatives.

An energy audit enables a detailed assessment of the electricity consumption structure and determines what portion of consumption occurs during periods subject to the capacity fee. Based on measurement data, it is possible to identify the equipment and processes responsible for the highest loads occurring on working days between 7:00 a.m. and 10:00 p.m.

The analysis should not be limited solely to total energy consumption. Equally important is evaluating the possibility of shifting selected processes to nighttime or weekend periods without affecting production targets. Significant optimization potential is often found in compressors, pumps, refrigeration systems, ventilation systems, and other energy-intensive installations.

An audit also makes it possible to assess the impact of implementing on-site generation sources such as photovoltaic systems, cogeneration units, and energy storage systems. This allows companies to estimate potential savings resulting from reducing electricity consumption from the grid during periods covered by the capacity fee.

Another important element of the audit is evaluating eligibility for relief mechanisms available to energy-intensive enterprises. Verification of energy intensity indicators and the nature of the company’s operations makes it possible to determine whether reduced capacity fee coefficients can be applied. For large consumers, the potential financial benefits may be substantial.

Summary

The capacity fee is playing an increasingly important role in the overall structure of electricity costs. In 2026, businesses will pay PLN 0.2194 for every kWh consumed during chargeable periods, while households will incur monthly costs ranging from PLN 4.29 to PLN 24.05 depending on annual electricity consumption.

From the perspective of modern energy management, the capacity fee should not be viewed solely as an unavoidable financial burden. Similar to contracted capacity, distribution charges, and energy consumption itself, it is a parameter that can be analyzed and optimized.

A comprehensive energy audit enables companies to identify measures that reduce both energy consumption and regulatory costs. The importance of these costs is likely to increase further as electricity prices and charges associated with maintaining the power system continue to rise.

Although the capacity fee cannot be eliminated entirely, companies can effectively reduce its impact on their budgets through demand profile management, investments in on-site generation assets, deployment of energy storage systems, and implementation of advanced energy management solutions.