Available financing

PGE Group's existing financing model takes into account the use of funds from its core activities and debt financing in the form of bond programmes, commercial bank credit facilities, credit facilities from Bank Gospodarstwa Krajowego (“BGK”), credit facilities from multilateral institutions such as the European Investment Bank (“EIB”) or the European Bank for Reconstruction and Development (“EBRD”) as well as in the form of preferential financing. In order to effectively manage liquidity, within the Group we have introduced a cash-pooling system, with participation of 26 Group companies.

The most important available external financing sources for PGE Group (as at 2024 EOY) are as follows:

  • 2 credit facilities from BGK as part of the "Inwestycje polskie" (“Polish investments”) programme, amounting to PLN 1.5 billion in total – amount withdrawn: PLN 0.8 billion.
  • 2 credit facilities from BGK as part of the "Inwestycje polskie" (“Polish investments”) programme, amounting to PLN 1.5 billion in total – amount withdrawn: PLN 0.6 bn.
  • Term loan from BGK with a contractual value of PLN 3.9 billion – amount withdrawn: PLN 0 billion.
  • 6 credit facilities from the EIB with a total value of PLN 6.7 billion - PLN 4.9 billion were used for projects related to distribution network modernisation and expansion, PLN 1.0 billion for the modernisation of railway power supply systems, PLN 0.5 billion for financing and re-financing of the construction of cogeneration units and PLN 0.3 billion for the construction of wind farm – total amount withdrawn: PLN 5.2 billion.
  • PLN 0.5 billion credit facility from the EBRD to support implementation of a long-term programme for distribution network development and modernisation – amount withdrawn: PLN 0.25 billion.
  • Term loan with a contractual value of PLN 0.5 billion from Industrial and Commercial Bank of China – amount withdrawn: PLN 0.5 billion.
  • Revolving syndicated loan of the total contractual value of PLN 3.2 billion – amount withdrawn: PLN 0 billion.
  • Revolving loan with a contractual value of PLN 1.5 billion from BGK – amount withdrawn: PLN 0.9 billion.
  • Revolving loan with a contractual value of PLN 1.0 billion (not committed) from Santander – amount withdrawn: PLN 0 billion.
  • Revolving loan with a contractual value of PLN 0.75 billion from Pekao S.A. – amount withdrawn: PLN 0.75 billion.
  • Domestic bond programme of up to PLN 5.0 billion (not committed) – amount withdrawn: PLN 1.4 billion.
  • Euro Medium Term Note (EMTN) bond programme of up to EUR 2.0 billion (not committed) – amount withdrawn: EUR 138 million.
  • Preferential loans.
  • Current-account overdraft facilities.

PGE Group's financing policy features diverse maturities for specific financial instruments, which along with the diversification of financing sources, helps the Group to optimise its financing costs. The Group implements a responsible financial policy, which entails maintaining its net debt to EBITDA ratios at a level that makes it possible to retain investment-grade ratings.