Polish energy giant wants to be the first such company. It has a plan for cheaper electricity

• Tauron wants to achieve complete decarbonization of heat and electricity production in 15 years.
• In an interview with WNP, CEO Grzegorz Lot indicated what the company is currently working on to systematically convert energy from fossil fuels into green energy.
• According to Lot, a capacity market is needed to cover the high costs of replacing coal-fired units.
• Our interlocutor emphasizes that the direction of energy development is set by consumers - they have demonstrated this, for example, by massively installing photovoltaics.

At the end of 2024, Tauron presented its new strategy until 2035. Over the next decade, the company wants to strive to produce 100% clean energy, which is to happen by 2040.

The strategy assumes an increase in installed capacity in renewable energy sources. In 2030, Tauron plans to have 2.7 GW in RES and 4.7 GW five years later. This means an increase in green capacity by as much as 570% compared to 2023.

The company plans to generate 1.5 GW (2030) and 2.4 GW (2035) in onshore wind farms, 0.4 GW (2035) in offshore wind farms, 1 GW (2030) and 1.7 GW (2035) in photovoltaic farms, 0.7 GW (2030) and 1.4 GW (2035) in energy storage facilities and pumped-storage power plants, and to maintain the current installed generating capacity in hydropower plants at the level of 0.1 GW.

Tauron CEO: the strategy assumptions are being consistently implemented

Grzegorz Lot, CEO of Tauron Polska Energia, confirmed in an interview with WNP that the assumptions included in the company’s strategy are current and achievable.

- In 2030, we want to move away from coal in heat production. We recently demolished the last cooling tower (on the premises of the Łagisza Power Plant in Będzin - editor's note) and in its place we will build a hub producing heat and energy from cogeneration based on gas . In addition, a heat storage, electrode boilers and gas boilers for support. We have projects for over 230 MW, which are currently being implemented and will soon be put into operation. The strategy is being consistently implemented - said Lot.

We want to be the first energy company in Poland to provide customers with 100 percent green and low-emission energy, he announced.

According to Lot, the main direction of Tauron's investments is onshore wind energy and photovoltaics .

- All our analyses indicate that this is where the greatest growth potential lies. The onshore wind energy production profile is very similar to the electricity consumption profile of our customers . We are reinforcing this with photovoltaics, water assets and energy storage facilities - said the Tauron CEO.

Tauron wants to develop power storage facilities, with a reservoir in Rożnów on the distant horizon

By 2030, Tauron is to have 0.7 GW in energy storage and 1.4 GW within the next five years.

- We are working hard on the pumped-storage power plant in Rożnów. It is a large and complicated project, but it can be an interesting alternative to chemical storage facilities. Connection, technical conditions are one thing. Environmental conditions and, above all, social acceptance - another. We believe that this project will be successful, but such an investment takes decades - said our interlocutor.

Tauron CEO: the more renewable energy sources in the system, the cheaper the energy

Lot is very positive about the impact of wind energy on the prices and security of energy supplies. After all, the company's entire strategy is largely based on this source.

The trend in electricity prices is clear - the more renewable energy sources in the system, the lower the prices - he emphasized.

- We are unable to transform without conventional energy - we are working hard on its conversion. Our 200 MW units can operate until 2028 under current legislation, then they must be shut down . In their place, we are designing low-scale gas units, so-called peakers - operating in a simple mode between 70 and 120 MW. They can stabilize the system. PSE indicates that there is a need for 6 to 9 GW of flexible power . Of course, in order for such units to be created, an appropriate capacity market or other forms of support for fixed costs must be created - Lot told us.

Polish companies need cheap money to invest in development

The head of one of the largest energy companies in Poland sees great potential in domestic companies when it comes to co-creating the energy transformation. However, this is not a binary matter and purchasing products from Poland or other EU countries is not always justified .

We have to balance this. For example, the meters that are installed on the network do not come from the European Union, but they are cheap. On the other hand, they carry a risk when it comes to cybersecurity. The transition to local content means an increase in costs here and now. We have to create technologies that are competitive in terms of price - not necessarily 1 to 1, but a 3- or 4-fold increase means that this aspect must be taken into account - believes Lot.

So how can we increase the competitiveness of Polish companies? The head of Tauron points to the availability of cheap financing for investment, development and the possibility of scaling production .

- When I check our contract mix, the local content is huge - for example network replacements, repairs, modernizations. But we also use Chinese devices. What's more, Polish companies offer us products that largely use foreign components . There are many shades of gray here - the president believes.

According to WNP’s interlocutor , the direction of the energy transformation is ultimately determined by the customers themselves .

- In a few years, one and a half million households have installed photovoltaics on their roofs. 200 thousand households have bought green electricity from our farms from Tauron in contracts with a price guarantee for 9 years. They are the ones who create the future - concluded LOT.

We talked to Grzegorz Lot from Tauron Polska Energia during the 20th Conference of the Polish Wind Energy Association, which took place on June 10-12, 2025 in Świnoujście.