Opportunities and threats

REGULATIONS

1. Functioning of the dual-product market – additional revenue for maintaining generation capacity.
2. Support for electromobility (growing electricity consumption)
3. ntroduction of legal solutions supporting the curtailment of low emissions (e.g. system district heating).
4. Obtained derogations from the BAT conclusions.
5. Use of the aid funds for the expansion of TAURON Capital Group’s operations and the funds allocated to the energy transition and stimulating the economy following the end of the COVID-19 pandemic.

1. Tightening energy and climate policy of the European Union (EU).
2. Increase of the costs of generating electricity using the conventional sources due to, among others, the ever higher environmental costs and the decarbonization policy.
3. The need to incur additional expenses due to the changes to the energy law.
4. EU taxonomy and its impact on the possibilities of financing investments in the energy sector, the exclusion of the support for the coal assets.

MARKET

1. Access to the largest, among Poland’s energy companies, customer base.
2. Entry into the energy related services market segments based on the competences held
3. Commercialization of innovative solutions developed as part of the research and development activities.
4. Solutions related to the shape of the mining sector and the coal-based energy sector in Poland.

1. Decline of the margin and the deteriorating economic profitability of the coal fired units, along with a simultaneous increase of the cost competitive generation from RES and the growth of the prosumers; lower utilization rate (load factor, workload) of the conventional assets.
2. Loss of volume and profitability of the Supply Segment.
3. Pressure on the electricity prices with the growing cross-border exchange volumes.
4. Curtailment of the financing for the coal related investments as well as for the capital groups with coal assets.
5. Impact of the COVID-19 pandemic on the national economy.

CUSTOMER

1. Competitive advantage with respect to the customer service quality.
2. Customer segmentation and offering of the additional products in line with customer expectations
3. Growing customer awareness and expectations towards comprehensive, personalized offering of additional services and products.
4. Expanding an offering of services for the customers based on the competences held and trust in the TAURON brand.
5. Developing modern and integrated sales and customer service channels.
6. New competences and business models based on the research and development (R&D) activities.
7. Maintaining of an upward trend in electricity consumption by the final consumers.
8. Developing competences and competitive advantages in the new areas of operations.

1. Potential loss of customers due to an increase in the number of competitors offering customers similar products and due to the low electricity supply market entry barriers
2. Decrease of the customer loyalty – intense activities conducted by the competitors.
3. Growing customer awareness and requirements with respect to the customer service quality and product offering.
4. Increase of the ecological awareness of the society (public
5. Power independence of the consumers (prosumers, energy (power) islands, energy storage facilities, clusters).
6. Energy intensive consumers building in-house generation sources, as a result of the drive to reduce the electricity costs.
7. “Carbon leakage” – moving business operations to other countries due to the cost of energy.

TECHNOLOGIES

1. Continued decline of the prices of the renewable technologies.
2. Advancement of the storage technologies, smart technologies and the technologies related to the dispersed (distributed) generation.
3. Additional services for the customers related to the new technologies (internet of things, dynamic tariffs, virtual power plants).
4. Developing and implementing (commercializing) of proprietary innovative solutions that provide a competitive advantage.

1. Growth of prosumer energy, partial energy independence of the final consumers.
2. The need to adapt the grid to the growth of dispersed (distributed) power generation (bi-directional electricity flows).
3. Arrival of the new, cost competitive electricity generation technologies in the countries neighboring with Poland.
4. Growing number of cyberthreats and the infrastructure vulnerable to such attacks.
5. Multitude of the communications standards, problems with providing the expected goals for the projects implemented.