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Poland: Top energy firms to combine into super-utilities

 |  January 11, 2015

Polish officials have announced plans to merge the nation’s state-run energy companies, a consolidation the government hopes will allow the nation to better compete across Europe.

According to reports, the nation’s four largest utilities – PGE, Tauron Polska Energia, Energa and Enea – will face consolidation, but exact plans have no yet been determined. One proposal is to merge top rival PGE with Energa, and to merge Tauron with Enea, according to two unnamed sources.

Poland’s Treasury Minister Wlodzimierz Karpinski said in a statement that the government is taking a renewed focus on the health of its energy industry. “We seek to increase the importance of Poland’s energy industry on the European market,” he said. “Only companies with enough capital and the ability to get cheaper financing will be able to ensure polish energy security.”

Polish antitrust officials blocked a 2010 plan to merge PGE with Energa; reports say the head of the authority was dismissed later that year.

Full Content: Bloomberg

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