The Polska Grupa Energetyczna (PGE) and KGHM, during a press conference at the 29th Economic Forum in Krynica, have signed a letter of intent concerning their collaboration on photovoltaic projects. The event was attended by the representatives of both companies and of the Ministry of Energy. The representatives of the companies argue that this is the most ambitious Polish RES project.
The PGE-KGHM agreement
“I am so glad it happened. In our strive toward meeting the obligations relating to the achievement of the RES objectives, such agreements will boost the growth of solar power sector capacity. They will be moving us closer to meeting our obligations towards the European Commission” – said the Minister of Energy Krzysztof Tchórzewski. “The National Treasury companies may safely invest in renewable energy sources, just like all our citizens. We are all becoming fans of the RES” – he added.
The Deputy Energy Minister Krzysztof Kubów noted that the agreement just signed is another step towards the growth of the low-emissions economy. “The dynamic growth of the RES is something that is enshrined in Poland’s energy strategy. We wish to significantly increase the capacity of photovoltaic installations in Poland by 2030. We are glad for this collaboration between the National Treasury companies. The agreement just signed will be beneficial to both of them. We wish to grow the renewable energy sources” – he concluded.
According to the CEO of PGE Henryk Baranowski, the collaboration with KGHM is a result of the consistently applied strategy. “We wish to achieve a sustainable energy mix. By 2030 we want to generate 14 TWh of energy from the RES. Today’s agreement is an example of synergy between the copper giant and PGE. Together we found such an area of collaboration that will ensure growth opportunities and generate value for the shareholders” – he said.
The investments are to take place on the premises owned by the copper potentate. They are to allow KGHM to purchase energy directly from PGE. “We have identified 400 hectares of land where photovoltaic farms could be built. The first steps can involve around 50 hectares. We can swiftly move into action. There is a lot of talk about ‘green copper’ produced using green energy. This is why we also need the RES” – said the ECO of KGHM Marcin Chludziński.
As noted by the acting CEO of PGE Energia Odnawialna Arkadiusz Sekściński, the photovoltaic projects are to be executed by PGE and KGHM in a joint venture formula encompassing the stages of preparation, construction and operation of the photovoltaic installations. According to him, the capacity of projects implemented together with KGHM is to reach around 200 MW. “The final capacity will depend on the land area. The estimated cost is around PLN 3 million per MW” – he said.
The representatives of both companies have stressed that the final form of the collaboration will be developed over the coming months. The project team will review the land and select the best possible investments.
The collaboration with KGHM is to help PGE with the implementation of its photovoltaics development programme announced this April. The biggest energy company wants to have photovoltaic farms with 2.5 GW capacity by 2030. Already now, through its PGE Energia Odnawialna subsidiary, PGE operates 14 wind farms, 29 hydroelectric power plants, 4 peaking pumped hydropower plants and one photovoltaic farm. The total RES capacity available to PGE is 2 188.9 MW. Company’s ambition is to be responsible for 25% of the domestic energy generation from the RES by 2030.
KGHM is keen to invest in the RES too. The copper potentate wants by 2030 to meet its energy demand with auto-generation, including using the RES.