22.10.2013

European Commission confirmed the justifiability of public aid for subsequent investment projects of GAZ-SYSTEM S.A.

On 16 October 2013, the European Commission declared compatible with the Treaty on the Functioning of the European Union individual aid for GAZ-SYSTEM S.A. for the implementation of the following tasks:

  • Hermanowice – Strachocina Gas Pipeline,
  • Strachocina – Pogórska Wola Gas Pipeline,
  • Zdzieszowice – Wrocław Gas Pipeline,
  • Skoczów – Komorowice – Oświęcim Gas Pipeline,
  • Modernisation of the transmission system in Lower Silesia in order to improve its functioning and to ensure the optimal use of the Polish-German interconnection,
  • Lwówek – Odolanów Gas Pipeline.

A potential award of subsidies from the European Regional [Development] Fund will be possible in case of the availability of funds within the “Infrastructure and Environment” Programme. The investment projects are on the reserve list of individual projects of the “Infrastructure and Environment” Programme. Expected support from the European funds for the implementation of subsequent investment projects of GAZ-SYSTEM S.A. constitutes public aid in the meaning of Article 107.1 of the Treaty on the Functioning of the European Union. The total amount of such aid may amount to PLN 1,949.57 million, assuming the aid intensity at the level of 45.67%.

The above mentioned projects are to be implemented in the years 2013–2020 as the elements of the North-South Gas Corridor. The prepared investment projects will contribute to the development of the Polish gas transmission system. They will affect the effectiveness of the system by increasing its transmission capacity, at the same time ensuring a higher security of supplies. In addition, the implementation of the above mentioned six investment projects also constitutes a significant input in promoting strategic objectives of the EU energy policy, such as: development of the basic infrastructure necessary for the functioning of the internal market of natural gas, increased security of supplies and diversification of sources, and the development of interconnections between Member States.

GAZ-SYSTEM S.A. finances up to 30% of its investment expenditures from the EU funds.

GAZ-SYSTEM plays a strategic role in the Polish economy. We are responsible for natural gas transmission and operate the most important gas pipelines in Poland. As part of the 2015-2025 investment programme, GAZ-SYSTEM plans to build over 2000 km of new gas pipelines in western, southern and eastern parts of Poland. Further development of the national transmission network, including the construction of new gas pipelines making part of the North-South Gas Corridor, as well as the construction of interconnections with the neighbouring countries, will strengthen Poland’s energy security and make an important contribution to the development of the European transmission system.

The Company is implementing one of the most important infrastructural projects in Poland – the Baltic Pipe project, which consists in the construction of a bidirectional offshore gas pipeline connecting Poland and Denmark and the expansion of the local transmission network.

GAZ-SYSTEM also owns Polskie LNG, the operator of the President Lech Kaczyński's LNG Terminal in Świnoujście.

 


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