Energa to seek compensation for PLN 600 mln losses on renewables deals

WSE-listed power utility Energa lost PLN 600 million on unfavorable certificate of origin deals in the last three years, according to its CEO Daniel Obajtek. The company has launched court arbitration procedures regarding 22 out of 150 such deals it has signed between 2007-2013. “Counting three years back, the company lost PLN 600 million on signing those unfavorable deals," CEO Daniel Obajtek said. According to him, they were signed for 15-20 years and couldn’t be terminated. Energa claims, that since all of those 150 deals are non-binding, as they were signed without tenders, which would be in violation of public procurement law. And since the majority of them were based on market prices, Energa will not be seeking legal action. Another state-owned power utility Tauron, has been sued by a number of energy companies for terminating similar long-term deals. The company calls these lawsuits “baseless.”