Polish oil and gas company PGNiG is planning to invest up to $1.02 billion in renewable energy over the next few years, as it decides to include renewables in its business strategy, Kalanish Energy reports.
Apart from the initial plans for production and use of hydrogen and biomethane, PGNiG said it’s most interested in wind and solar photovoltaic projects. That’s because they offer “the greatest investment potential.”
The firm should create the Renewable Energy Sources (RES) segment by year-end when it’s expected to update its business strategy. However, it said it’s already performing investment simulations and seeking partners.
“First decisions regarding investment in RES may be made even before the strategy is updated,” the firm said in a statement earlier this week. The idea is to build a 900-megawatt capacity, making PGNiG one of the leading producers of energy from renewable sources in Poland, it added.
CEO Jerzy Kwieciński said that entering a “new business line” will allow the company not only to increase its value, stabilize its revenue, but also to “engage more intensively” in the transformation towards a low-carbon and zero-emissions economy.
The Polish hydrocarbons producer said it’s sending a signal to investors that it wants to make its business model “even more balanced and resilient to market headwinds.”
“Renewable energy sources are not sensitive to movements in hydrocarbon prices, which have a strong effect on such segments of the PGNiG group’s business as Exploration and Production, and Trade and Storage,” it explained.
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