Polish Gov’t Flags Low Domestic Share in Offshore Wind as It Rolls Out Local Content Framework

The Polish government has introduced a new “local content” framework designed to increase the share of domestically generated value in large-scale investments, including energy projects, by modifying procurement practices and evaluation criteria.

Speaking on 10 April, Prime Minister Donald Tusk stated that the government would strive to ensure that, wherever possible, Polish companies are prioritised in procurement processes involving public institutions and state-owned enterprises.

Minister of State Assets Wojciech Balczun outlined the details of the initiative, which introduces a formal definition of local content as the value of goods or services produced or delivered by a domestic entity.

The Ministry has developed a set of criteria that qualify a company as a domestic entity. These include: more than 50 per cent of annual turnover generated in Poland; the owner or ultimate beneficial owner is based in Poland; the principal place of business is in Poland; tax residency in Poland; more than 50 per cent of employees paying taxes and social security contributions in Poland; a registered office in Poland and uninterrupted operations for at least three years.

“These criteria will carry specific weights, and [we] will assess the degree of domestic content within the overall composition, and this should be reflected in the tender specifications prepared by contracting authorities – both in state-owned companies, as well as in local governments and all entities managing public funds”, said Wojciech Balczun, Poland’s Minister of State Assets.

The framework is intended to operate within the EU rules while maximising the domestic component of investments, according to Balczun.

The Minister of State Assets further said that the approach marks a shift away from procurement decisions based primarily on price. Instead, tenders will incorporate a broader set of factors, including local employment, supply chains, carbon footprint, and the overall economic impact of a project.

Balczun said the government will issue a Local Content Code of Good Practice, providing recommendations for state-owned companies on how to incorporate these criteria into procurement and investment processes. The code will be accompanied by guidelines and performance indicators for company management boards.

The Ministry also plans to introduce a monitoring system, developed in cooperation with Poland’s Central Statistical Office, to measure local content across projects. The system will be rolled out in stages, starting with a pilot phase, to track progress over time.

The announcement follows an internal review of major investment programmes, including offshore wind, where the Ministry said foreign contractors have captured a significant share of project value, while the participation of Polish companies remained limited.

“I understand the argument that we lacked competencies in [offshore wind], but in practice, when we analysed these investments in detail, it turned out that the contracting authority was the public sector, namely energy companies. Along the way, foreign firms were engaged and became the primary beneficiaries of these investments, while all the risks associated with project execution, the costs, and the requirement to provide financial guarantees were borne by the Polish side, and our share in these projects amounted to only a few per cent. This is not the approach we identify with”, said the Minister of State Assets.

The Polish Offshore Wind Industry Chamber (PIMEW) welcomed the local content plan for offshore wind and said that it had been pushing for this shift for years.

Poland is on its way to having its first offshore wind farm in operation this year, with the 1.2 GW Baltic Power project, owned by Polish company Orlen and Canadian Northland Power, currently under construction and scheduled to become operational in the second half of 2026.

Work has also ramped up on the 1.5 GW Baltica 2 project, developed by PGE and Ørsted, which is scheduled for commissioning in 2027, and Ocean Winds’ 390 MW BC-Wind project, planned to be operational by 2028.

At the beginning of this year, offshore construction also started on the 1.4 GW Bałtyk 2 and Bałtyk 3 offshore wind projects, developed by Equinor and Polenergia.

In December 2025, the Polish government awarded Contracts for Difference (CfDs) to three new projects: Baltica 9 (developed by PGE), Baltic East (developed by Orlen Group), and Bałtyk 1 (developed by a joint venture between Equinor and Polenergia).

The first power at the three new offshore wind farms is expected to be produced in December 2032.

Following the CfD award, PGE bought a 350 MW project site developed by RWE, which is adjacent to its Baltica 9 site.