The lower gas price for bakery businesses will apply from 1 April to 31 December 2023. Around 2,700 companies can benefit from the new solution.

“This will be a great relief for those bakeries and confectioners that have to pay more today. From 1 April, they can already plan for a significantly lower cost,” said Prime Minister Mateusz Morawiecki.

The assistance for bakeries and confectioners is another element of support for Polish companies in the wake of high electricity and gas prices in addition to:

• A fixed electricity price for small and medium-sized enterprises of PLN 785 per MWh;
• Assistance for energy-intensive companies – a programme with a budget of PLN 5 billion.

Government shields – protecting Poles from high prices

The proposed solution for bakeries and confectioners is another government support for Poles in the global economic crisis caused by Moscow’s actions and the Russian attack on Ukraine.

To protect citizens from high prices, we have introduced a number of shields. These include a VAT reduction on many food products and fuels, cash allowances for purchasing coal, wood and gas and a freeze on electricity and gas prices.

Government’s Anti-Inflation Shield – lower VAT is a reprieve for Poles’ wallets

The COVID-19 pandemic was the first indication of a looming global crisis and inflation. Even then, the government took the initiative to respond quickly. Thanks to the shields applied at the time, thousands of jobs were saved.

In 2022, as part of the Government’s Anti-Inflation Shield, we reduced VAT on many products and fuels. As a result, Poles can, among others,  buy products at a lower price than without government intervention.

Polish diplomacy defended the position of applying lower VAT rates on food at the EU level. Thanks to our efforts, we were able to extend 0% VAT in 2023, and EU Member States will also be able to apply this solution to relieve their citizens.

Poland has extended the 0% VAT rate on food products (e.g. meat and fish, dairy products, vegetables and fruit) until mid-2023. So far, thanks to this measure, Poles have been able to save more than PLN 7.6 billion.

Find out more about the Government’s Anti-Inflation Shield.

Government’s Solidarity Shield – energy price freeze

The energy price freeze protects Polish citizens from sharp increases in electricity and gas bills throughout 2023. Thanks to this, Polish families will avoid spending several thousand zlotys, which they would have to do if energy prices were decided solely by the market.

The Government’s Solidarity Shield guarantees a fixed electricity price for annual consumption at:

• 2000 kWh for households;
• 2600 kWh for persons with disabilities;
• 3000 kWh for families with a Large Family Card and farmers.

The energy price freeze will benefit everyone

However, exceeding the above limit does not mean a higher bill – the maximum price over the limit is:

• PLN 693 per MWh for households;
• PLN 785 per MWh for vulnerable entities, local authorities and micro-, small- and medium-sized enterprises.

In addition, if a household or other entity consumes over 10% more energy than in 2022, it will receive a 10% reduction of the bill in 2024, in addition to the savings from reduced energy consumption. This is a double incentive for energy saving.

The introduction of a maximum price in 2023 reduces electricity prices significantly, meaning a reduction of bill increases of up to 70%. Up to

99.8% of all companies will benefit from the solution.
Find out more about the Government’s Solidarity Shield.

Government’s Energy Shield – inflation allowances and compensation

We have introduced a bundle of solutions to help combat high energy prices and their sources – the Government’s Energy Shield. Thanks to it, citizens and vulnerable entities (i.e. hospitals, schools) can receive allowances and compensation to lower the final price of energy.

The Government’s Energy Shield includes: