Supply segment activities include Group’s wholesale and retail trading of electricity.

Wholesale trading include mainly electricity trading on behalf of and for Conventional Generation segment, District Heating segment and Renewables segment.

PGE-fuel-gas-ENG_energet-obrót PGE-fuel-gas-ENG_energet-obrót

* Data for PGE Obrót S.A.

As part of retail-market activities, the key source of segment’s revenue is sale of electricity to final customers. This is sale to business and institutional clients, which constitutes more than 75% of the sales volume, and to retail clients.

The segment’s revenue also includes the sale of fuels, mainly: pulverised coal and fat coal, which is sold by PGE Paliwa sp. z o.o., and sale of gas. Electricity sales are matched by the costs to purchase electricity on the wholesale market and costs to redeem certificates as part of the support system for renewable sources and energy efficiency.

The Supply segment also incurs costs related to the Group’s corporate centre.

Volume, customers and operating data

Volume of electricity sales to final off-takers and number of customers in 2020 and 2019

Tariff Volume (TWh)* Number of customers according to power take-off points*
2020 2019 2020 2019
A tariff group 9.35 9.87 142 169
B tariff group 14.79 15.67 12,575 12,708
C+R tariff groups 6.75 7.55 446,253 450,126
G tariff group 9.75 9.81 4,954,863 4,869,622
TOTAL 40.64 42.9 5,413,833 5,332,625
* Data for PGE Obrót S.A.

Key financial figures

[PLN m] 2020 2019
Revenue from sales: 29,017 17,312
EBIT 609 247
EBITDA 644 280
Capital expenditures 15 30

Key factors for the results of the segment

The segment’s results depend mainly on margins achieved in electricity trading. The cost of property right redemptions has a significant impact on the segment’s results (i.e. so called colour-coded certificates that the seller of energy to end customers is required to redeem). The market prices of colour-coded certificates are characterised by volatility related to changes in the regulatory environment. The Supply segment also generates revenue from generation capacity trade management contracts, i.e. from wholesale electricity trading as agent for PGE Group’s production companies. Revenues from this service depends on the volumes sold by the Group’s companies.

The EBITDA reported in 2020 was positively influenced by legislative changes – in 2019, the Act on Electricity Prices was in force (the Act of 28 December 2018 amending the Excise Duty Act and certain other acts).

Search results