At the outset it should be noted that a license for trading in gaseous fuels, including the sale of natural gas (OPG) is generally required for the conduct of business activities consisting in the wholesale of gaseous fuels (including natural gas) or the retail sale of natural gas (sale of gas to end customers). Obtaining a license for trading in gaseous fuels (OPG) is not required for trading in gaseous fuels if the annual value of trading in gaseous fuels does not exceed the equivalent of EUR 100,000.
The conditions under which a concession for trading in gaseous fuels (OPG) can be obtained are set forth in the Energy Law and the Law on Freedom of Business Activity. In addition, the President of the ERO, in order to facilitate the preparation of the application for a license for trading in gaseous fuels (OPG), has developed so-called Information Packages, which contain useful tips on the process of obtaining a license for trading in gaseous fuels conducted by the President of the ERO and the formal conditions to be met when preparing an application for a license for trading in gaseous fuels (OPG).
Entities applying for a license to trade in gaseous fuels (OPG) in the Information Packages of the President of the ERO will find answers to the most common questions, in particular what conditions must be met to obtain a license to trade in gaseous fuels (OPG), and what documents and in what form should be attached to the application for a license to trade in gaseous fuels (OPG). In our opinion, the above-mentioned packages are very helpful for applicants and make it easier to gather all the necessary documents for the application for a gas fuels (OPG) license.
The procedure itself for obtaining a license for trading in gaseous fuels (OPG), is also aimed at verifying that the applicant, has adequate financial and material resources, as well as knowledge and experience, necessary to conduct the sale of gaseous fuels (OPG).
The ERO President initiates proceedings after submitting an application for a license to trade in gaseous fuels (OPG), which should include information about the planned activity, including a business plan for conducting sales of gaseous fuels and a description of the entrepreneur’s previous activity. In our experience, in the case of newly established companies, one of the key issues for obtaining a license for trading in gaseous fuels (OPG) is to have sufficient financial resources to carry out activities under a license for trading in gaseous fuels. The ERO President verifies each application for a license to trade in gaseous fuels, taking into account the individual financial capacity of the applicant. In our experience, at a low level of available financial resources (less than several hundred thousand zlotys), the ERO President may make the granting of a license to trade in gaseous fuels (OPG) conditional on the presentation of additional collateral, for example, in the form of a bank guarantee or a guarantee provided by a third party to secure any claims arising from the conduct of licensed activities. It should also be emphasized that the ERO President, when evaluating the financial capacity of an entity applying for a license to trade in gaseous fuels (OPG), takes into account the financial resources that the applicant may actually have at his disposal. This condition will not be met by, for example, non-binding commitments by third parties to make investments, letters of intent or other non-binding declarations of recapitalization of the entity applying for a license to trade in gaseous fuels (OPG).
It is also worth noting the form of documents attached to the application for a license to trade in gaseous fuels (OPG). Some documents can be submitted only in the original, for example, information about the absence of a criminal record from the National Criminal Register issued with respect to the entity applying for a license to trade in gaseous fuels and, separately, members of the board of directors and persons authorized to represent. If the applicant is a citizen of, or is based in, one of the member states of the European Union, the Swiss Confederation and the member states of the European Free Trade Agreement (EFTA), the information on criminal record should come from the register of the relevant country and be provided, together with a sworn translation and an apostille clause. In addition, submitted documents must not be older than 3 months from the date of their submission to the ERO.
It is worth noting that carrying out business activities without the required license, according to Article 601 of the Law of May 20, 1971. – Code of Offenses. is punishable by restriction of freedom or a fine.
In our experience, the process of obtaining a license for trading in gaseous fuels (OPG) takes from 2 to 6 months. It is also worth noting that the concession for trading in gaseous fuels (OPG) itself is only the first step to actually starting the business of selling gaseous fuels, so when planning the date for starting the sale of natural gas, it is worth taking into account both the time needed to obtain a concession for trading in gaseous fuels and the additional time needed to actually start the business – concluding a transmission contract, gaining access to POLPX, concluding general distribution agreements and many other activities related to actual access to the natural gas market.
