Profil:
Bank Gospodarstwa KrajowegoPolish state development bank's agreement with Tauron launches implementation of Energy Support Fund
The largest investment financing agreement in the history of the Polish energy sector marks the beginning of the implementation of the EU funds in the Energy Support Fund, which is part of the national recovery plan KPO, said the first deputy CEO of Poland's state development bank BGK Marta Postula, quoted in the bank's information on the agreement with listed power utility Tauron.
"Today, with the largest investment financing agreement in the history of the Polish energy sector, we are starting to implement the funds of the Energy Support Fund, which is part of the national recovery plan KPO," Postula said.
"The competitiveness and innovation of our economy depend on the energy transition. Without the KPO funds at BGK's disposal, such projects would have no chance of being implemented in the planned timeframe," she added.
Tauron said on Tuesday that it had signed a loan agreement with BGK which is to use the EU funds under the National Recovery and Resilience Plan [national recovery plan KPO - PAP ed.] under Investment G3.1.4 Energy Support Fund. Earlier, the company reported that Tauron's management board had agreed to conclude a loan agreement with BGK from KPO funds worth PLN 11 billion (EUR 2.6 bln).
The funds from the loan agreement will be used to finance eligible expenditures incurred by the subsidiary Tauron Dystrybucja for the development and adaptation of the power grid to the needs of energy transition and climate change.
The funds will bear interest at a fixed rate of 0.5 percent per year. The loan is scheduled to be repaid between 2034 and 2049, in semi-annual instalments (the final repayment term is 25 years from the date of the loan agreement).
The purpose of the Energy Support Fund is to support sectors of the Polish economy directly bearing the costs of the energy transition. Loans under the national recovery plan KPO are possible for, among other things, the construction and modernisation of electricity and heat networks, the construction of RES sources and energy storage facilities. Preferential loans under this fund will be granted by BGK.
jz/ ao/
