Aluminum plant fears bankruptcy due to excise tax on electric power

The management board of Huta Aluminium Konin (HAK), an aluminum plant and Impexmetal's leading company, estimates that introduction of an excise tax on electric power will result in a cost increase to the company of zl. 20 million. HAK's chairman, Jaroslaw Klopotek, is worried that this could lead the company to bankruptcy within the next several years. "At current energy prices, we are able to generate profits. In 2002, these profits could amount to several million zlotys, as a result of comprehensive restructuring and cost restrictions carried out by the company." The company has already presented its troubling situation to the government and hopes to find a positive solution. HAK is the biggest receiver of electric power in the country, consuming over 1% of total domestic output. Net profits last year were zl. 6.3 million. (Puls Biznesu, p. 8) M.T.