GDANSK (Reuters) -Enea has signed a 9.13 billion zloty ($2.44 billion) loan agreement with state-owned Bank Gospodarstwa Krajowego (BGK) under the EU's Recovery and Resilience Facility, the Polish
Polish power company Enea signs $2.4 billion loan deal for grid upgrades
GDANSK (Reuters) -Enea has signed a 9.13 billion zloty ($2.44 billion) loan agreement with state-owned Bank Gospodarstwa Krajowego (BGK) under the EU's Recovery and Resilience Facility, the Polish power utility said on Wednesday.
The funds will be used to upgrade Enea's power distribution infrastructure in northwestern Poland, aiming to improve the quality and security of electricity supply and enhance grid capacity to integrate renewable energy sources.
"Developing the network is essential to keep energy prices at an acceptable level for businesses and customers," Jakub Jaworowski, Poland's Minister of State Assets, told a press conference.
The funds will be disbursed in tranches from 2025 to 2036, with repayments scheduled in semi-annual instalments at a fixed interest rate of 0.5% per annum until May 20, 2050, the company said.
Enea, Poland's third-largest power utility, is under pressure from declining profitability of its coal-fired plants as renewables gain a larger share of the energy market.
Coal accounted for about 57% of Poland's electricity generation in 2024, according to the Forum Energii think tank.
($1 = 3.7420 zlotys)
(Reporting by Marek Strzelecki; Writing by Rafal W. Nowak;Editing by David Goodman)
