Payment gridlocks in selected mining and energy production companies in Poland

Abstract

The subject of this article is the problem of payment gridlocks and their significance for the enterprise sector and the risks they cause. The authors’ attention is focused here on presenting the essence of payment gridlocks, their consequences, as well as the causes on the sides of both the debtor and the creditor. In the empirical part of the article, the authors focused on assessing the problem of payment backlogs in selected mining and energy-production companies in Poland. A study on selected companies from this industry was conducted, the purpose of which was to show the scale of delayed payments with the particular identification of those that are payment backlogs (i.e. a delay of at least 60 days). Five major companies from the energy industry in Poland were selected for the study, representing both the mining and energy production sectors. These companies are Polska Grupa Górnicza SA, Jastrzębska Spółka Węglowa SA, ENEA SA, Energa SA and TAURON Polska Energia SA According to the available data, payment terms in this sector are the longest in the European Union compared to other sectors of the economy. In Poland, the situation is no different in this respect. This is especially visible in the mining industry, which is perceived as very risky when it comes to timely payments. Undoubtedly, reducing payment gridlocks in this industry is a difficult task, which results from its specificity and the number of problems it is struggling with, which have been additionally reinforced by the Covid-19 pandemic. © 2022. The Author(s).