From now on: "Green Electricity" for Poland's VERBUND clients

3/7/2001Wien

VERBUND, Austria's leading electricity company, is speeding up its export offensive by officially giving the green light for APT Polska today, Wednesday, in Warsaw. So Poland is taking up a central position in VERBUND's export strategy in addition to Germany and Italy.

VERBUND, as leading producer of renewable energy in Europe, thinks it has got good sales prospects, since Poland’s energy law prioritizes hydropower.

"VERBUND has come to Poland not only to sell electricity but also to build up new partnerships that will be profitable for our clients, too", explained Hans Haider, Chairman of the VERBUND Board of Management. He presented VERBUND as internationally oriented group that stands for state-of-the-art technology and ecology with its 76 power plants and 3,700 km of high-voltage lines. Its 71 hydropower plants make VERBUND the European Union’s most eco-friendly big power producer.

"As we see it, our chief duty is to make VERBUND competence and many years of know-how in power trading and selling available to the clients all over Europe", said Sales Manager Hannes Sereinig. "Poland's enormous market potential, the expected growth rates, and speedy liberalization of the electricity market make the Polish market attractive for us." In addition to covering the energy trading segment, APT Polska will also offer trade services like portfolio- and risk management, according to Mr. Sereinig.

"Poland is taking a central position in the exchange of electricity in Eastern and Central Europe", said Herbert Kasamas, Chairman of the APT Polska Executive Board. The Polish electricity market has a volume of 140 TWh. According to the liberalisation schedule clients with an annual consumption of more than 40 GWh can choose their electricity supplier freely now. Beginning in 2002, the market for clients with a consumption of more than 10 GWh will be opened. The market should be fully liberalized by 2005. "Of importance is also Poland's central geographical position. Moreover, the "Polish Power Exchange" will give a fresh impetus to the business", said Mr. Kasamas.

According to Ryszard Radomski, Member of the APT Polska Executive Board, the consumption of energy sources, personnel requirements and the cost of providing the required energy services are much higher in Poland than in the Western neighbouring countries. "The new regulation on renewable energy, which entered into force in Poland in January 2001, will undoubtedly lead to an increase in activities in that area. VERBUND, as important provider of know-how in the field of ecological electricity production, intends to be a strong supporter of "green electricity" in Poland via its subsidiary APT Polska", Mr. Radomski said.