Polish Briefing 23 October, 2019 9:00 am   
Editorial staff

Polish Briefing: PGE starts the talks with Ørsted on building offshore in Poland

What goes on in Poland on the 23rd of October.

PGE starts the talks with Ørsted on building offshore in Poland

Polska Grupa Energetyczna (PGE) has started talks with Danish Ørsted regarding the sale of 50 percent shares in two projects of offshore farms in the Baltic Sea with a total capacity of 2.5 GW and determining the terms of cooperation in its implementation.

PGE announced in its current report that this is about selling shares in Elektrownia Wiatrowa Baltica-3 sp. Z oo, implementing a project with a planned capacity of approx. 1 GW by 2026, and Elektrownia Wiatrowa Baltica-2 sp. Z o. O. Implementing a project with planned capacity of approx. 1.5 GW in the perspective of 2030.

At the end of January, PGE announced the completion of the first stage of selection of potential strategic partners willing to participate in the preparation, construction and operation of the offshore project. Back then, the company announced that it intends to sell its strategic partner 50 percent shares in two SPVs responsible for offshore wind farm projects, and then jointly implement them in the form of a joint venture. PGE is analyzing the possibility of building 1000 MW offshore wind farms. However, the company has an appetite of up to 2,500 MW. In mid-September, PGE announced that there are four entities on the short list of partners for implementing offshore projects. According to the company’s announcements, the final selection of an industry partner for the construction of offshore wind farms is expected by the end of the year.

Currently, PGE is examining the windiness of the Baltic Sea and is soon to commence geological surveys of the seabed. The company wants its first offshore wind farms to achieve “ready to build” status by 2021 and start working three years later. According to the assumptions, the first energy from the Baltic Sea is to flow in 2025. By 2030, PGE wants to produce 25 percent of domestic renewable energy.