PGE Dystrybucja obtained PLN 43 million in financing from the National Environmental Protection and Water Management Fund for energy storage facilities

PGE Dystrybucja – a company from the PGE Group – obtained funds from the National Fund for Environmental Protection and Water Management (NFOŚiGW) for the implementation of the investment titled “Construction of three energy storage facilities: Warta, Jeziorsko and Cisna, in order to stabilize the network operation,” Polska Grupa Energetyczna (PGE) reported. The total investment cost is nearly PLN 88.5 million, and the amount of funding obtained is over PLN 43 million.

“Three new energy storage facilities with a total capacity of 7 MW and a capacity of 19 MWh will be built in areas particularly exposed to power outages and deterioration of network quality parameters, i.e. in the Podkarpackie and Łódź voivodeships. In the event of a failure, each of the three storage facilities will ensure continuity of power supply for at least 2 hours, giving time to remove the fault and giving customers greater certainty and stability of energy supplies. The storage facilities will also be used to balance the network, which will have a positive impact on the possibility of connecting new RES installations,” said PGE President Wojciech Dąbrowski, quoted in the release.

“We have started financing projects related to network stabilization. Their goal is to improve the quality of electricity in the distribution network, including: by adapting it to the requirements related to the development of renewable energy sources,” added Artur Michalski, vice-president of the National Fund for Environmental Protection and Water Management.

The construction of warehouses in the Sanok and Sieradz Energy District was dictated by the need to ensure safe supplies of electricity to consumers living in areas previously exposed to frequent power outages and deterioration of voltage parameters during failures on the primary power supply line. In the event of a failure in a given area, it will be possible to supply consumers with stored energy until the power is restored in the distribution networks or until the minimum level of storage discharge, after which the system will be automatically restored to normal (liquidation of the island). The standard operation of the energy storage facility most of the time will consist in a standby mode, in which the energy storage facility will be periodically recharged to maintain a given capacity and be ready to provide emergency power to the area in the event of a voltage outage in the distribution networks, it was explained.

The project is implemented in the period from January 1, 2022 to December 31, 2026. The total investment cost is PLN 88,461,600, eligible costs are PLN 71,920,000, and the requested subsidy is PLN 43,152,000.

The PGE Group produces 41% of net electricity production in Poland, and its share in the heat market is 18%. The Group estimates its share in the renewable energy market at 10%. In a distribution area of approx. 123 thousand km2 PGE serves 5.5 million customers. Its market share in terms of the volume of distributed electricity is 25% and sales to end users – 33%. The company has been listed on the WSE since 2009.

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