Purchase of property, plant and equipment and intangible assets
In 2021, the largest expenditure on the acquisition of property, plant and equipment and intangible assets was incurred by the following segments:
- Conventional Generation – PLN 2,004 million, including:
- Branch Zespół Elektrowni Dolna Odra – construction of units 9 and 10 – approx. PLN 325 million (from October 1, 2021 this project is being implemented by PGE Gryfino 2050 sp. z o.o.), adaptation of units 5-8 to BAT conclusions – approx. PLN 78 million, medium-level overhaul at units 5,6,8 – approx. PLN 25 million,
- Branch Elektrownia Turów – construction of new power unit – approx. PLN 448 million, adaptation of units 1-3 to BAT conclusions – approx. PLN 92 million, medium-level overhaul at unit 6 – approx. PLN 26 million,
- Branch Elektrownia Opole – modernisation of units 1-4 – approx. PLN 235 million, including PLN 107 million to adapt the units to BAT conclusions,
- Branch Elektrownia Bełchatów – adaptation of units 3-12,14 to BAT conclusions – approx. PLN 191 million, medium-level overhauls at units 5,6,11,12 – approx. 43 million,
- Branch KWB Bełchatów and Branch KWB Turów – expenditures on replacement of primary machinery and construction of conveyors – approx. PLN 100 million,
- Branch Elektrownia Rybnik – adaptation to BAT conclusions and medium-level overhaul at unit 6 – approx. PLN 38 million,
- Distribution PLN 1,457 million – mainly new customer connections and the modernisation and expansion of grids, substations and power lines.
In 2020, the Conventional Generation segment incurred expenses of PLN 2,903 million and the Distribution segment PLN 1,925 million.
Sale of subsidiary
The amount of PLN 368 million relates to the impact of the sale of subsidiary PGE EJ1 sp. z o.o.
Consolidation of companies
Shares in ECO-POWER sp. z o.o. were acquired in the previous reporting period. Expenditure on the acquisition of this company amounted to PLN 150 million and cash acquired amounted to PLN 28 million.
Loss of control
The total amount of PLN 118 million relates to cash of PGE EJ1 sp. z o.o., which was sold in the current year (PLN 53 million) and the deconsolidated PGE Trading GmbH (PLN 13 million) as well as funds provided to EWB2 and EWB3 in a period of time when PGE lost control over them.
Recognition and release of deposits with maturity over 3 months
Companies in the Conventional Generation segment are required to have Mine Liquidation Fund funds collected and invested in accordance with the requirements of the Mining and Geological Law.