SHORT-TERM OUTLOOK
TAURON Group’s Strategy, along with the Update of the Strategic Directions, is in line with the market and regulatory trends identified in the time frame up to 2025. Until 2025 TAURON Group will focus on ensuring financial stability by increasing operational efficiency and optimizing processes as well as on a sustainable transition related to the change of the Group’s energy mix towards reducing emissions. This plan will be implemented through the gradual shutdown of obsolete coal-fired units and the development of low- and zero-emission sources. The main result of the Group’s activities will be a change in the energy mix so that low and zero emission sources will constitute approximately 28% of the installed capacity in 2025. At the same time, TAURON will work on improving the quality of distribution services and developing the sales offering.
MEDIUM-TERM OUTLOOK
In the medium term TAURON Group will focus on further reductions of emissions through investments in low- and zero -emission sources, while keeping only modern coal-fired units in the production portfolio. The modernization and expansion of the grid will continue to be an important investment area. TAURON Group is planning to gradually shut down 200 MW coal-fired units in the years 2025-2030. In line with the Group’s Strategy the electricity generation segment’s main expansion area will be investments in low- and zero-emission sources, including involvement in the development of offshore wind energy. Thanks to the investments in new generation installations and a reduction in the number of coal-fired units, the Group’s generation mix will change in 2030, when more than 65% of assets will be low- and zero-emission installations, which is in line with the climate policy aimed at reducing emissions. Investments in the modernization and development of a modern distribution grid aimed at maintaining the high level of electricity deliveries will be continued. Being aware of the increase in ecological awareness among the public, TAURON Group is also planning activities related to offering products and services in line with this market trend.
LONG-TERM OUTLOOK
In its long -term planning TAURON Group takes into account the major importance of environment and climate protection related issues. We are currently working on the assumptions for developing a new strategy. The main guideline is to prepare development scenarios that will ensure long-term profitable business operations immune to climate change and, at the same time, minimize the impact of the Group’s operations on the environment by reducing the emissions of the generation sources.
The scenarios taken into account will depend on the intensity of changes taking place in the environment, in particular on the assumptions of Poland’s Energy Policy, the decisions taken by the government as part of the climate initiatives and regulatory directions shaped during the global climate summits. The implementation of the European strategy of climate neutrality by 2050 will determine the shape of the Polish energy sector in the long term, which will also be reflected in the strategic decisions of TAURON Group, whose directional goals and actions should be a consistent response to the European and national guidelines regarding the shape and model of the sector’s functioning. TAURON Group will be steadfastly striving to further diversify its generation sources in terms of the fuel used and to modernize its generation capacity.
As a summary, the figure below illustrates the response of TAURON Capital Group to the changes in the external environment.
TAURON Capital Group’s responses to the changes taking place in the external environment
