The coronavirus pandemic poses new risks and challenges for business at a scale unknown before. In order to assist businesses, the Polish government has announced that a PLN 212 bn ($53bn) stimulus package will be put in place. For a summary see our previous post. Start up of the aid package will take time, and the shape of further aid to come is as yet unknown. Thus entrepreneurs should consider what options are on the table at this moment.
Poland’s government has announced an economic stimulus package it values at PLN 212 billion to assist entrepreneurs and employees during the COVID-19 crisis. The package consists of 5 pillars: employee safety, company financing, health protection, strengthening the financial system and a public investment program.
According to one of the largest power producers and suppliers in Poland, Polska Grupa Energetyczna (PGE), Poland’s Baltic Sea has the capacity to generate 9 to 12GW of energy, ranking it second only to the North Sea, which already has about 13GW of offshore wind installed. Continue Reading
The Czech National Bank has increased the two-week repo rate from 2% to 2.25% with effect as of 7th February 2020. For commercial relationships governed by Czech law it means an increase in the statutory default interest rate from 10% to 10.25% per annum in relation to debts which will become overdue on or after 1st July 2020 if the central bank does not intervene again by then. The last increase in the statutory default interest rate happened on 3rd May 2019. While the Czech National Bank modified the two-week repo rate five times in 2018, there was only one change in 2019.
Despite the elections being held, the Polish legislator continues to work on a new bill defining collective entities’ liability for criminal acts committed by natural persons working for such entities. The purpose of this article is to summarise the concept of the new bill.
- The Changing Renewables Support Landscape
Over the last couple of years, a combination of subsidy erosion or removal, lower auction prices, reduction in embedded benefits and power market volatility has led to an absence of long-term revenue certainty and forced generators and developers to explore new models for their projects. Simultaneously, corporates are increasingly targeting a reduction of their energy costs at the same time as significantly reducing their environmental footprint, whilst all the while maintaining a continuous business operation. The high profile RE100 campaign, a global corporate leadership initiative bringing together influential businesses committed to sourcing 100% renewable electricity, has seen some of the world’s largest companies commit to this goal. In December 2019, the RE100 passed the 200-member milestone. Continue Reading
2019 saw a number of changes in corporate and commercial law, which may have a bearing on Polish operations and transactions. Further developments are anticipated in 2020. The beginning of the new year is a good opportunity to round up issues essential for business. Continue Reading
In October 2019, the Council of the European Union formally adopted a new Directive for the Protection of Whistleblowers, requiring both private and public organisations to create safe channels for reporting across a wide range of areas, including public procurement, financial services or money laundering. Member States will have two years to transpose the Directive into their national laws. The new rules will equally affect the design of internal compliance programmes which form a pre-requisite for exculpation under the Czech Act on Corporate Criminal Liability. Continue Reading
Part 1: Publication of the Offshore Wind Bill and Next Steps
After many months of deliberation, on 15 January 2020, the Ministry of State Assets published the long-awaited Offshore Wind Bill, the publication of which marks the beginning of the legislative process entailing a 30-day stakeholder feedback period, which is due to end on 14 February. The Offshore Wind Bill (also “the Bill”) is intended to govern offshore wind investment, as well as defining the support mechanisms for such projects.
Offshore wind farms in Poland are meant to lead Poland’s energy transformation for decarbonisation by increasing the share of renewables in the energy mix, as well as significantly contributing to minimising the risk of capacity shortages. The Polish government has targeted a 15% share of renewables in its energy mix for 2020 (which in all likelihood will not be attained). By 2030, an ambitious 21% share is targeted. Continue Reading
The Czech government has published draft of the new Building Act as a major tool to speed up the construction permitting process in the Czech Republic. The Czech Ministry of Regional Development set a deadline until Christmas 2019 for any comments or objections to the prepared draft bill. The bill was prepared not long after a complex amendment to the existing Building Act had entered into force on 1 January 2018 that also had the aim of accelerating the permitting procedure. In our view there is still quite a lot of work to be done on the draft bill in order for it to be workable in practice and to solve more problems than it will cause and therefore have submitted our comments on the bill. Continue Reading