Enea is the second largest energy group in Poland The company employs over 16,000 people and sells electricity to 2,6 million customers, including individual consumers, small and medium-sized companies, as well as large industrial plants.
Just three years back you introduced Enea’s strategy, and now you are announcing an updated version. What prompted this change?
The social, political, and economic circumstances have evolved considerably in the last three years and this is why we decided to change some of our already existing strategic goals. The dynamic circumstances of today’s world interact with our activity and urgently require our response. In addition, many targets, which the Group had set with regard to 2025, had already been reached.
We are a part of changes that are taking place in our environment, that’s why we are adapting our business model to key market trends, using advanced and accessible technologies at all stages of our value chain. It is a considerable challenge but also an opportunity to strengthen our position in the market.
The key assumption is the economically rational transformation of ENEA Group’s assets into a modern energy producer, that builds lasting relations with customers based on respecting natural environment and common values.
What are the key elements you have considered in the new strategy, that will support the company through this energy transition?
The question of climate protection is one of the key issues discussed at European level, and we are determined to support the execution of the EU goals. We envisage a sustainable expansion of generation capacities and a responsible change in the energy generation mix. In 2030, 41% of the Group’s electricity generation will come from gas and RES. The goal is to raise this rate to 60% by 2035.
A great part in changing the Group’s energy generation mix will be played by renewable energy sources. The prospect RES share in the total energy generation will rise almost fourfold and will amount to 33% in 2030, with the view to stabilize by 2035.
What do you have in mind more specifically when it comes to making use of new technologies?
Our goal is to innovate in all areas of the Group’s activities - from operations to products and services, which will change the operational model of the whole Group and contribute to our growth. We estimate that in 2030 the value of our new business lines will total PLN 360 million, which will constitute 7-12% of the Group’s EBITDA.
Investments in developing and employing advanced technologies will allow us to transform into a multi-service company, offering integrated product and service lines for our customers. We want to be active in the sales of energy service system operators, e.g. for micro-networks, developing micro- and macro-clusters as regards energy, e-mobility or prosumers.
Can you expand on your objectives related to renewable energy and what investments you have planned?
Technology wise, we will focus mainly in PV, biomass, biogas and wind farm projects. Responsibly undertaken diversification of the Group’s generation portfolio will bring about measurable environmental results. ENEA’s goal is to achieve a 30% reduction in the unit CO2 emissions by 2030 to 550 kg CO2 /MWh. By 2035 this rate will drop to 434 kg CO2 /MWh.
We plan to invest PLN 64 billion in total by 2035. The investments in new generation capacities, supporting the transformation of the company into a low emission energy producer, will require financing amounting to PLN 22 billion. PLN 14.7 billion will go directly to RES.
Conventional energy has been a pillar for Enea’s business in the past, how do you see its role in the company’s future?
One of the main objects of the updated Strategy is the economically rational transformation of the generation capacities, which is to take place in such a way that the financial security and stability be maintained. Conventional energy stabilizes the system, and they have to be part of our energy system to secure the renewable sources, for example photovoltaics or wind farms whose effectiveness is subject to weather and seasonal conditions.
In brief, we work towards a reasonable, just transformation that will give a chance for well balanced change and safety for the energy system.
