According to CEZ’s CEO Martin Roman, company plans to extend Polish power plant Skawina with current installed capacity of 590 MW by additional 660 MW, Reuters informed. The construction should last at least 7 years and the whole project could cost up to EUR 1bn. In addition, CEZ will make investments in its Polish power plants Elcho and Skawina in order to make production more environmentally friendly. Should the Polish Governement decide on privatization of some utilities assets, CEZ will take them into consideration as it has enough resources for two to three large projects in th country
Our view:
There have been several indications about CEZ’s activity on Polish market, e.g. looking for long term coal supplies there. We believe this news is not a surprise for the markets as this sort of news hit the headlines already in early January. It rather provides more color on CEZ activities in Poland, which remains the market number one for CEZ expansion outside the Czech Republic.