OUR STRATEGYImplementation of the business strategy for 2020-2030

Building OIRE

Building OIRE

In 2021, PSE has been appointed as the Energy Market Information Operator (OIRE) that will implement the Central Energy Market Information System (CSIRE) and will be responsible for its operation. The appointment was made under the Act of 20 May, 2021 on amending the Energy Law and certain other acts (Journal of Laws, item 1093), effective 3 July, 2021. In accordance with the provisions of the Energy Law, the CSIRE system is to be launched from 1 July, 2024.

The project to create the OIRE function and implement the CSIRE system, as carried out within PSE, aims at achieving the objectives of the retail market stakeholders and meeting the obligations indicated in the legislation. Its main objective is to ensure an efficient and secure exchange of information in the area of the retail electricity market, covering the acquisition, storage and sharing of energy market information (including metering data).

The operation of OIRE and the functioning of CSIRE will support the implementation of statutory rights and obligations of the individual entities operating in the retail electricity market. CSIRE will process, among other things, information on contracts functioning in the retail market and metering data from electricity meters. The processed information will be used to carry out processes such as changing the seller of electricity and making settlements for its sale and supply. With the launch of the system, energy market processes, including the switching of electricity sellers, will be simplified and their implementation time will be shortened.

Network segmentation

Objective: Ensuring IT and technical security of the power system

Cybersecurity plays – due to its significant impact on the security of the national power system – a key role in our business strategy. One of the strategic initiatives identified in the previous PSE Strategy has been to repel external threats. Activities relating to this initiative are continued as part of the ongoing projects and tasks aimed at improving safety. This includes, i.a., managing the risk of losing the ability to control or manage the NPS operation associated with cyber attacks on the IT/OT systems of the TSO and DSOs, generators, trading companies, exchanges or industrial consumers.

The measures taken are a response to the growing threats in the cybersecurity sphere. This approach is becoming increasingly important in the light of the increasing use of new technologies and communication methods, as well as the growing threats from the company's and the country's external environment. Recent years have seen an increase in threats relating to intensification of targeted attacks using dedicated tools to carry them out, especially on critical infrastructure. Phishing attacks are also becoming more frequent and sophisticated in response to growing user awareness, and ransomware attacks (extorting a ransom under threat or after making ICT systems or the data itself unusable). The increase in attacks is also related to the epidemic situation, and the increased digitalisation of life opens up new opportunities to exploit weak points in new solutions and reduced user vigilance. Geopolitical factors are also important, which significantly influence the level of threats originating from the environment.

By adopting and continuing the actions arising from the ongoing cybersecurity strategy, we have identified possible situation development directions, so that the portfolio of actions needed to manage the defined risks and ongoing needs could be developed adequately and in a timely manner. The growing number of cyber threats and specialised attack tools have confirmed the validity of our assumptions and the need to continue our efforts in this area.

ICT security and cyber threat area management – approaches and projects

In the reported period, the ICT Department continued its activities in the area of information and communication technology security assurance. The assumptions pointed to the inevitable and interdependent cybersecurity of our company, market partners in Poland and abroad, as well as capital group entities and subcontractors, while indicating the aggregate impact of cybersecurity on the stability of NPS operation. The pillar of the undertaken activities was ICT security, i.e. business continuity understood as availability and resilience of systems as well as integrity and confidentiality of data in IT solutions.

ICT Security and Cybersecurity

Business continuity as availability and resilience of systems and data integrity and confidentiality in IT solutions

Priority areas of ongoing projects:

Network segmentation – projects aimed at ensuring adequate separation of resources with different levels of vulnerability, including ICT systems at the substations and central critical systems – both through actions at the level of technological standards (e.g. EAZ, SSiN), ICT architecture, high-level technical projects for rebuilding ICT network segmentation and appropriate shaping of business projects, and the infrastructure itself;

Workstation - projects that provide secure work tools to maintain performance and functionality according to business needs, with malware protection and control of permissions and data flow;

Internet connection – our external perimeter providing the company's employees and visitors, subject to rules derived from separation and rights management, with functional and unified access to the Internet (including via a secure WiFi network, implemented at both the company's head office and at the remote organisational units) and adequate, secure remote access;

Detection and response – the work of the Security Operations Centre (SOC) and Computer Emergency Response Team (CERT) to ensure ongoing ICT security. A dedicated SOC team conducts continuous (7x24 h) threat monitoring, taking applied actions and countermeasures for IT and OT network incidents. In turn, CERT's task is to raise awareness among employees, publish alerts and warnings on threats, report information on incidents and cooperate with external entities (e.g. CERT NASK, CERT.GOV.PL, RCB) in the field of ICT security.

The technical measures carried out at PSE and the adaptability of our organisation enabled us to enter the first period of the pandemic with minimal disturbance and to operate the organisation normally without disturbance or impact on the processes carried out in the following year. Already in the first year, after analyses, the missing elements were supplemented by purchases or process modifications, so that they could be implemented without the need for 80 percent of employees to be present in the offices.

As part of the measures undertaken we adapt organisational and technical solutions to legal requirements (Act on the National Cybersecurity System) and current ICT security standards, as well as industry standards.


In cooperation with our stakeholders, we constantly work to ensure an appropriate level of collective ICT security and strategic harmonisation of efforts. We also cooperate closely with entities responsible for the cybersecurity of the power sector – both domestically and internationally. To deepen this cooperation and to spread awareness of cybersecurity threats and approaches to combat them, we actively participate – in 2021 mainly remotely – in numerous conferences and seminars as well as national and international sector cooperation forums. Since 2018, we have been organising the PolEx/Cyber Conference For Energy Sector (CC4ES), with industry experts from Poland and abroad. In June 2021, despite the difficulties associated with the pandemic, PSE organised the next edition of CC4ES.

Inclusion of the FNM in market mechanisms and implementation of innovations resulting from research work

PSE, as the TSO, for the purpose of covering the power demand of end consumers and the balance of cross-border electricity exchange, plans the operation of the national power system (NPS) using balancing market mechanisms. We minimise the total costs of balancing energy, the costs of commissioning generating units and the costs of providing the required balancing capacity, while taking into account the principles of safe operation of the NPS. The accuracy of the consideration of network operating conditions in balancing market mechanisms directly affects the efficiency of NPS operation planning as regards safety of NPS operation and costs. Overdimensioned restrictions on network operation unduly increase costs and, in an opposite situation, reduce costs, but may result in failure to meet the conditions for safe operation of the NPS.

In order to ensure the efficient use of network resources in balancing market mechanisms, PSE works to implement IT tools to manage the Full Network Model (FNM) and to include the FNM directly in balancing market mechanisms. In the English literature, the optimisation task – used in planning the operation of the power system taking into account the FNM and other system constraints – is referred to as the security constrained unit commitment (SCUC). The balancing market mechanisms based on the SCUC solution integrated with the NMMS, i.e. the module for FNM management, is designed as part of PSE research work, in cooperation with PSE Innowacje and the National Centre for Nuclear Research (NCBJ).

Implementing a new market model

On 1 January 2021, PSE implemented stage I of the balancing market (BM) reform. The comprehensive implementation of new balancing market rules required adjustment of secondary legislation to the Energy Law, i.e. the Regulation on detailed conditions for the operation of the power system, balancing conditions, the Transmission Grid Code, and adjustment of contracts between PSE and system users. The operational implementation of stage I of the balancing market reform required significant changes in the IT systems of PSE as well as, to a lesser extent, in the IT systems of the balancing market participants.

Implementation of a tool for probabilistic analysis in the process of planning NPS development

The fundamental objective of transmission grid development planning is to develop such a schedule for the implementation of investment activities that, when completed, will allow the NPS to continue to operate in a reliable and economically justified manner in the future. The direct effect of development activities is to ensure a balanced development of the transmission infrastructure which, on the one hand, will increase the efficiency of the market by reducing the impact of technical constraints in the transmission grid and, on the other hand, will not lead to an overinvestment in the transmission infrastructure and the creation of unjustified financial burdens for system users.

The extent of the required investment in the transmission infrastructure depends on a number of external factors, among which are the demand side, the supply side and economic and socio-political conditions. Some of these factors are by their nature random. In the current realities of power system operation, there is an increasing demand to include probabilistic elements in the grid development planning process as a good representation of the environment.

Definition of CC process with specification of resources, parallel execution in PSE

The new methodology for determining parallel exchange transmission capacity in the Day Ahead horizon has been adopted in accordance with Commission Regulation (EU) 2015/1222 of 24 July , 2015, laying down guidelines for capacity allocation and congestion management, and Regulation (EC) 714/2009.

In 2021, testing of the new methodology for determining parallel exchange transmission capacity in the Day Ahead horizon was underway, as well as work to develop the tools needed for the productive deployment of the method on both the PSE and RSC sides.

In 2021, as part of the Basics Phase, the IT Implementation Project to support the precoupling phase for the Flow Based MC task was developed, and the Evolutionary Development Phase commenced. An IT Project to implement a Capacity Calculation Analysis (CCA) tool to support the Day-ahead Flow-based Capacity Calculation process in the CORE region was also developed as part of the Basics Phase.

Definition of OPC process with specification of resources, parallel execution in PSE

In 2021, PSE was developing IT tools towards the target functionality to enable Regional Security Coordinators (RSCs) and Transmission System Operators (TSOs) to coordinate Outage Planning Coordination (OPC) on a weekly basis and Short-Term Adequacy (STA) assessment in a weekly horizon.

Outage Planning Coordination (OPC) and Short-Term Adequacy (STA) are two of the five mandatory services provided by Regional Security Coordinators (RSCs) and Transmission System Operators (TSOs) for electricity under the European Commission regulation establishing guidelines for the operation of the electricity transmission system. The services are intended to increase the operational security of Europe's power system.

Purchase of aircrafts

Increasing the number of aircrafts and purchasing helicopters with more favorable maneuvering parameters will allow to: execute more complex aerial operations, use specialized on-board monitoring and reconnaissance equipment, expand tasks in the sphere of security performed in the situation of transmission line failures and unauthorized violation of power substation borders. The increased number of helicopters will enable an increase in the scope of tasks to include, among other things, inspection of the condition of investments and analysis of the terrain during the design and delineation of new lines. Increasing our aerial equipment resources will result in faster arrival of our specialists to failure/outage sites and enable faster response to the incident, thus reducing the time of power outage.

Provision of maintenance and operation of the power output from northern Poland

In 2021, work was carried out at PSE on the concept for the operation and maintenance of the transmission grid in northern Poland (ZKO Bydgoszcz area) following the extension of the transmission grid for the connection of offshore wind farms (OWF) and the HVDC Harmony Link. The concept has been accepted and is currently in the approval phase.

The concept assumes, among others, the establishment of the OWF/HVDC Division and defines the scope of the main tasks for this team. As a result, the OWF/HVDC Division was introduced into the design of the new SRO DE and recruitment applications for this organisational unit were prepared. The Tricity area was chosen as the location for the necessary office space, where an office lease agreement was concluded. The Division employees are currently being recruited. The next step will be the onboarding of the hired candidates as part of their duties and training that will equip the new hires with unique competences of the TSO staff nationally.

In order to ensure the operation and maintenance of the power out system for northern Poland, it is also planned to form the Gorzów/Baczyna Team within the structures of ZES Krajnik, and to establish the ZES Żarnowiec Division responsible for the operation of the Choczewo substation, the Żarnowiec substation and the Żarnowiec DC substation (Harmony Link).

In line with PSE's strategy, building its own maintenance services will result in partial independence from the external market. In the longer term, the initiative to create and develop our own engineering and technical services, especially to handle the most complex tasks such as installation and commissioning of secondary circuits of power substations and HVDC facilities, will allow us to effectively manage the operation of facilities and incidents, i.e. it will contribute to a more efficient removal of faults and failures.

Building a competence centre capable of implementing innovations

In order to adapt our organisation in technological and market terms to changes in the environment, efficient and effective management of the research and development area is essential. In 2021, activities were carried out to improve the management of research and development (R&D) planning, execution and monitoring process, so that it is able to efficiently search for new, valuable and possible future implementations in the PSE CG. Thus, works were continued, which had started already in 2017-2019, at the implementation of the previous strategy (objective: Responsible Development). So far, it has been possible to strengthen the competences of PSE Innowacje as a centre for the creation of an R&D agenda in the PSE CG, i.a. by defining a new framework for the R&D area. An R&D portfolio coordinator in the PSE CG and an R&D team to support his work were also appointed.

The activities carried out in 2021 were focused on streamlining the process of clearing and monitoring completed R&D projects and implementing a system to supervise the implementation of the deliverables of these works, in order to gain benefits and achieve the intended results.

At the same time, works were carried out to introduce mechanisms for accumulating and sharing new knowledge and the deliverables of the R&D works carried out within the PSE CG, and to promote an attitude among PSE CG staff that is open to change and innovation. The objective is to activate the potential to implement new technologies to provide the PSE CG with advantage in the market and to consolidate its leadership position.

We paid and continue to pay great attention to increasing the involvement of the PSE CG in international R&D projects in new market services and power technologies (2017 – EU-SysFlex, 2020 – OneNet).

Construction of the electricity quality management system in the NPS

The purpose of this course of action is to implement solutions that will serve to ensure that PSE can provide the required electricity quality (JEE) parameters and, if necessary, provide the information necessary to determine the source of JEE disturbances and implement corrective measures.

The main objective of the course of action, i.e. the construction of a electricity quality management system in the NPS, will be achieved through the implementation of the following specific tasks:

  • providing electricity quality monitoring systems (SMJEE) for all points of electricity delivery to consumers and all substations of the TSO – so that monitoring covers each voltage level in at least one measuring point;
  • implementation of the master electricity quality measurement and billing system (SPRJEE), which integrates measurement data from SMJEE systems and is used to process, report and make available JEE indicators and information on JEE parameters to the CSIRE system.

The SMJEE system currently in place consists of 169 metering devices (analysers) and covers about 39 percent of the required metering points. Implementation of the investment task entitled Extension of the electricity quality monitoring system will enable electricity quality monitoring to be carried out at all transmission grid facilities.

Implementation of investment tasks resulting from PRSP

PSE earmarked around PLN 1 billion for investment tasks in 2021. The most important tasks completed were:

  • construction of the double circuit Piła Krzewina-Plewiska 400 kV line (circuit No. 2, which operates temporarily at 220 kV, was connected),
  • construction of the double circuit Pasikurowice-Czarna/Mikułowa 400 kV line (from the Pasikurowice substation to the introduction to the Czarna substation),
  • construction of the double-circuit Pątnów-Jasiniec 400 kV line (circuit No. 1, which operates temporarily between Kromolice and Jasiniec, was connected),
  • construction of the double-circuit Grudziądz Węgrowo-Pelplin-Gdańsk Przyjaźń 400 kV line,
  • construction of the double-circuit section of the Kromolice-Pątnów 400 kV line (circuit No. 2 was introduced to the Pątnów substation, circuit No. 1 operates temporarily between Kromolice and Jasiniec),
  • construction of the single-circuit Glinki-Recław 220 kV line,
  • construction of the single-circuit Radkowice-Kielce Piaski 220 kV line,
  • upgrade of the Janów-Rogowiec, Rogowiec-Piotrków 220 kV line,
  • upgrade of the Byczyna-Jamki, Byczyna-Koksochemia 220 kV line,
  • upgrade of the Joachimów-Łagisza/Wrzosowa 220 kV line,
  • replacement of the OPGW lightning protection wire on the Połaniec-Chmielów 220 kV line, circuit I and circuit II,
  • replacement of the OPGW lightning protection wire on the Rożki-Puławy 220 kV line,
  • construction of the 400(220)/110 kV Pelplin substation,
  • construction of the Żydowo Kierzkowo 400/110 kV substation,
  • construction of the Praga (Żerań) 220/110 kV substation,
  • extension of the Recław 110 kV substation by addition of a 220 kV switching station,
  • extension of the Mikułowa 400/220/110 kV substation for the introduction of the 400 kV line,
  • extension of the 110 kV switching station in the Kromolice 400/110 kV substation for the connection of the Wielkopolska WF.

Development of the scope and implementation of regular reviews to assess the consistency of defence and restoration plans

In addition to the requirement set out in Article 50 section 3 (System Defence Plan) and in Article 51 section 3 (Restoration Plan) of Commission Regulation (EU) 2017/2196 of 24 November 2017 establishing a grid code on electricity emergency and restoration, the TSO developed internal documents setting out the rules for the review, amendment and release of the System Defence Plan and the Restoration Plan.

Coherent security system

The substations are equipped with Technical Protection Systems (SOT) executed in accordance with the Technical Protection System Standard in PSE facilities in force at the date of the project. Technical Protection Systems are an element of physical protection implemented in the form of technical security.

In 2021, PSE carried out the day-to-day operation of the Technical Protection Systems and scheduled maintenance under the service agreements concluded. Investment tasks were planned to be launched to comprehensively implement the Technical Protection Systems by 2026, and the scope of the Technical Protection System submissions were completed on an ongoing basis for investment tasks carried out by other organisational units. The Technical Protection Systems will be further developed in line with the PSE Strategy for 2020-2030.

Implementation of risk preparedness

Regardless of the ongoing activities undertaken in the organisation as part of the risk management, PSE is engaged in tasks aimed at proper and timely implementation of the provisions of Regulation (EU) 2019/941 of the European Parliament and of the Council of 5 June 2019 on risk-preparedness in the electricity sector and repealing Directive 2005/89/EC.

The purpose of the aforementioned regulations is to implement measures aimed at preventing electricity crises, preparing for them and managing them in a transparent, joint and several manner and with full regard to the requirements of a competitive European electricity market.

PSE supported the Ministry of Climate and Environment, acting as the Competent Authority, in its work on the plan for risk-preparedness in the electricity sector. The plan, published on 5 January 2022, defines general policies and measures to prevent, prepare for and mitigate electricity crises. It refers to regional and national electricity crisis scenarios, including in particular 28 out of 31 regional electricity crisis scenarios (SRKEE) provided by ENTSO-E and considered relevant (including possible) under Polish conditions.

Selling the infrastructure overflights

Market analysis indicates that there is demand from other concerns and companies, including energy and raw material distributors and suppliers, to use aircrafts to monitor the infrastructure condition. PSE has the organisational and infrastructural potential to provide aerial monitoring services of transmission and distribution infrastructure facilities, including critical infrastructure belonging to other entities.

In February 2022, the company entered into an agreement with the Gas Transmission Operator Gaz-System S.A., under which PSE will provide visual overflight services to Gaz-System, Poznań branch, from March 2022. By the end of May this year, PSE carried out 3 full overflights of gas pipelines in the Poznań branch, with a total flight time of approx. 80 hours and 24 flying days. Our company is organisationally prepared to expand both the volume and scope of the provision of external aviation services.

Implementation of independent aviation operations

Our company owns three Robinson R66 helicopters, the parameters of which perfectly match the needs of PSE, and additionally met the conditions for low purchase and operating costs. Since 5 February 2021, we have the permit PL.SPO.058-HR issued by the President of the Civil Aviation Authority to carry out commercial high-risk specialized operations. This permit allows for patrolling substations, power poles and lines, gas pipelines, other pipelines, and to fly for site inspection and for strategic security patrolling of the power infrastructure. We employ trained, experienced pilots and task specialists. Helicopters and crews are based in three locations around the country, allowing for quick access to all of the power lines. The aerial operations we have carried out have confirmed the high efficiency and speed of transmission infrastructure inspections.

Implementation of the outage planning system

In 2021, our organisation completed the first stage of works including the design and implementation of the Outage Management System (OMS-W), to the extent that it enables the recording and management of outage needs reported within the scope of investment and operation tasks by the Central Investment Unit and the Department of Operation of PSE's network assets.

The system for managing the unavailability of elements of the OMS-W power system will be implemented on a modern IT platform. It will use the NPS element data contained in the RBES database. Entities to directly report the needed outages of NPS elements will be: organisational units at DE, CJI and DSO. At the PSE level, the OMS-W will be the next step towards future integration of the corporation's outage planning processes (with the AM system). Ultimately, the system will be equipped with a support module for the Shift Management sub-process (integrated with the OMS-R and OMS-OS system) and will have an additional module allowing for the creation of operating systems assigned to individual outage requests in the NPS.

The OMS-W system is intended to replace the SEW Rejestr system currently in use, developed more than 25 years ago. In the longer term, it will not be possible to operate the SEW system due to, i.a., changing environmental conditions (e.g. new versions of MS Office packages and operating systems) and the challenges faced by PSE (e.g. international coordination of outages as part of the OPC process).

A further stage of works was also initiated to enable the grouping of outage needs, and the creation and presentation of outages and outage sheets (associated with the reported outages and outage needs).

Implementation of the portfolio of projects to support the implementation of the new rules for managing the NPS operation (PPKSE)

In 2022, PSE continued its activities relating to the implementation of stage II of the balancing market reform (hereinafter referred to as BM), which included design and implementation works in two areas:

  • regulatory area ─ with regard to acts and regulations approved by the President of the Energy Regulatory Office;
  • ICT systems on the part of the TSO, DSO and balancing market participants.

A number of tasks relating to achieving business capabilities linked to the implementation of stage II of the balancing market reform and in the areas of coordination planning, NPS operation and NPS transmission and access services were initiated. The works included adapting the company's business processes and the IT systems supporting them to the new requirements resulting from the implementation of stage II of the balancing market reform and selected legal regulations.

Changing the tariffing process

In order to meet the dynamic changes in the functioning of the electricity market and the expectations of the stakeholders, our company undertakes a number of actions aimed at optimizing the process of planning and acquiring input data necessary for the process of developing and approving tariffs. At the same time, a revenue regulatory account mechanism has been implemented to protect consumers from excessive or abrupt fee increases. Work is currently underway to implement a cost regulatory account mechanism.

Automation and robotics of the accounting records

The company has an electronic accounting document workflow, crucial for the efficient handling of accounting records with the territorially dispersed structure of PSE. In 2021, works were completed to optimise the previously implemented solution integrating the document workflow system with the document recording system. Improvements in the handling of purchase invoices for grant-funded projects and the automatic monitoring of upcoming payment dates were implemented. A number of works were performed to optimise the process of accepting documents and sending them to the accounting system. These measures accelerated the handling of accounting documents, improved their security and ensured the continuity of the entire system.

Implementation of control and verification mechanisms for financial liabilities of the company

As part of the control mechanisms, a model for setting up and verifying counterparty data in SAP was introduced, which minimises the occurrence of the risk of financial frauds. The main idea behind the implemented model was to introduce two stages of setting up and editing master data in the SAP system, according to the principle of separation of roles. A mechanism was also implemented for the regular verification of the master data by a dedicated team responsible for managing this area. The transfer of agreements, annexes and orders relating to cost liabilities into the SAP system in the form of contracts, the implementation of regular monitoring of the financial use of agreements and the verification of orders increase the control over the company's liabilities in terms of both amounts and deadlines.

Total SAP replacement

In 2021, the SAP System Transformation programme was launched at PSE. The aim of the programme is to optimise business processes by modernising, modifying and developing the currently operating SAP environment applications. The chosen course of action ensures the evolutionary development of SAP systems at PSE, resulting from advances in information technology and the development of the organisation's existing competences. The fundamental objective of the transformation is to simplify business processes and make the widest possible use of system (IT) solutions.

As part of the transformation programme, an upgrade and update of the SAP systems will be carried out with a view to standardise and optimise processes on a company-wide level. State-of-the-art system solutions will cover financial accounting and tax processes, so that all transactions are recorded and accounted for within a single IT solution. This will reduce the manual work involved in duplicating data entry and also reduce financial risks.

The SAP System Transformation is also an opportunity to implement a modern IT solution to allow further works in the area of transferring manual, paper-based processes to digital solutions. The programme provides the company with new opportunities relating to managing data analytics for management accounting and analysis.

Implementation of solutions to make fixed asset records more consistent

The area of fixed assets is a significant item in PSE's balance sheet and as such requires the support of IT solutions. In order to minimise the occurrence of differences in the records of fixed assets in accounting, taxation and local taxation terms, mechanisms were implemented for the system verification, monitoring and analysis of the differences shown using IT solutions. The implementation of solutions that make the records of fixed assets in three dimensions more consistent is part of a broader transformation, the primary objective of which is to create system solutions that use IT to support business processes. The work will result in reduction of the risk of errors or mistakes in the company's records of fixed assets and to improve reporting in the aforementioned area of fixed assets.

Financial management

In the area of financial management, a system tool was implemented in 2021, enabling managers to obtain instant information on the company's liquidity. The tool is a report based entirely on data from the SAP system and showing the company's future receivables and payables for various time criteria. The implementation of the tool has eliminated the activities associated with the manual acquisition and processing of data from various substantive units, which has optimised data generation and processing and reduced the company's operational risks. The use of the reports allows efficient management of spare cash, which is crucial for the active investment of free financial surplus.

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