How our surroundings are changing

The energy sector has undergone profound changes over the past several years. Societal expectations are currently centred around energy that is produced in an eco-friendly manner and solutions that are adapted to customer needs and give a notion of independence. Decarbonisation, Decentralisation and Competition are the principal trends that define the sector’s future. Regulatory changes have brought on a stricter environmental policy for the European Union, targeting climate neutrality by 2050. Along with societal and regulatory changes, the policies of banks and investors with regarding to financing energy projects have also changed. Money is currently flowing into investments in zero-carbon generating assets and grid infrastructure. Due to a drastic increase in the prices of CO2 emission allowances, the profitability of coal-based generating assets, which are the bedrock of the Polish energy industry, fell considerably.

Changes in the surroundings are not merely a threat and challenge for the sector and but also an opportunity for an investment impulse for the economy, involving the construction of new generating sources and modernisation of energy infrastructure. The energy-sector transition should translate into economic development, sustainable growth for businesses and cities and a just transition for regions thus far associated with coal mining. As energy transition becomes an element of the economic model. PGE Group’s investments will focus on renewable energy, district heating transformation and grid infrastructure. The total planned capital expenditures in 2021-2030 will reach PLN 75 billion, of which approx. 50% will go toward the development of renewable energy sources (offshore and onshore wind farms, photovoltaics, zero-carbon cogeneration sources).

PGE Group wishes to play a leading role in the transition and modernisation of the Polish energy sector and wants to support the development of a market environment conducive of the energy transition. PGE Group is ready to carry out the sector transition processes and prepare the conventional electrical power system base for functioning in a new ownership structure. As transition leader, PGE is declaring a commitment to reduce its impact on the natural environment by achieving climate neutrality by 2050. We plan to reduce electricity generation-related emissions by changing technology, expanding our renewable energy portfolio and enabling clients to participate in the transition thanks to attractive product offerings. The Company will be a pioneer in the development and operation of offshore wind energy.