Corporate

PGE Baltica has completed its two-year wind measurement campaign in the Baltic Sea using a floating LiDAR device. The research allowed the collection of high quality data confirming the appropriate wind conditions for the investment. This is another step towards launching offshore wind farms under the Offshore Program at the PGE Capital Group. Wind measurements at farm locations are necessary to estimate their productivity.

The PGE Capital Group has published preliminary data for 2019. Lower operating results in the coal-fired power generation segment and simultaneous increases in the RES segment's results confirm that the Group's transition towards low-carbon power generation was the right decision.

• In 2019 the PGE Group's reported EBITDA  rose by 12% to PLN 7.1bn.
• Consolidated net result attributable to equity holders of the parent company amounted to PLN 1.9bn, which constituted a 24% increase over that  of 2018.
• In 2019 capital expenditures grew by 2% on a year-to-year basis and exceeded the level of PLN 7bn. 
• The annual generation of power from low carbon gas fuels rose by 9% to 4.5 TWh. In the same period wind farms increased their output by 20%,  achieving, according to preliminary data, the result of 1.27 TWh.
• There occurred a decrease in power generation based on lignite and hard coaland the year to year increase in CO2 emission costs was approximately PLN 1.64bn.

On 30 January 2020, the Dolna Odra Power Plant, operated by PGE Górnictwo i Energetyka Konwencjonalna belonging to the PGE Capital Group, was the venue of signing a contract for the construction of two new gas-fired power units with a combined capacity of about  1400 MW.

The PGE Group has taken another step on the way to implementing its ambitious programme of building wind farms in the Baltic Sea, which is an element of the company's transformation towards the low-carbon economy. On 24 January 2020 the Regional Director for Environmental Protection (RDOŚ) in Gdańsk issued an environmental consent for two offshore wind farm projects belonging to PGE, namely Baltica 2 and Baltica 3, with a total capacity of up to 2.5 GW. The decision gives PGE green light to start work on the basic design for both farms.

• The environmental consent of the RDOŚ concerns two projects under the PGE Group's Offshore Programme: The Baltica-2 Wind Power Plant (Baltica 2), which in January 2019 received from PSE a proposal of technical conditions for connection to the NPS for 1498 MW and the Baltica-3 Wind Power Plant (Baltica 3) with a connection agreement with PSE for 1045 MW.
• The first electricity produced by the farms in the Baltic can flow already in 2026.
• On December 20, PGE and Ørsted signed a preliminary agreement describing the framework for cooperation in the transaction of acquisition of 50% of shares by the Danish company in the projects of construction of offshore wind farms Baltica 3 and Baltica 2 in the Baltic Sea.
• Wind farms are a key element in the process of transition that is taking place in the PGE Group. This is also an important element of the Poland's energy transition process.
• The implementation of the PGE Capital Group's Offshore Programme involving the construction of offshore wind farms with a capacity of up to 2.5 GW will allow to avoid emissions of around 7 million tonnes of CO2 per year, and the green electricity thus produced will be able to supply as many as 4 million households.

• New onshore wind farms with a combined capacity of up to 97 MW will be located in northern Poland
• Tangible commitment by PGE to invest in renewable sources of energy will help to decarbonise the energy sector in Poland

PGE Polska Grupa Energetyczna has entered into a credit agreement with the European Investment Bank (EIB) for up to PLN 272.5m (approx. EUR 64m), with the purpose of financing the construction of new onshore wind farms on the Baltic coast in Poland. The three wind farms called Starza, Rybice and Karnice II (combined into the Klaster project ) will have a combined installed capacity of up to 97 MW.