Home » Business » PGE Contract Withdrawal: Key Reason Revealed

PGE Contract Withdrawal: Key Reason Revealed

by Victoria Sterling -Business Editor

Key Facts from the ‍Article:

Here’s a⁢ breakdown of the⁢ key facts, extracted from the provided HTML content:

* Project: Modernization of the⁣ Porąbka-Żar pumped storage ⁢power plant.
* Contractors: Consortium of Mostostal Warszawa (44.86% share) and GE Hydro France (55.14% share).
* Client: PGE Energia Odnawialna.
* Initial Contract Value: PLN 1.12 billion gross (July 22, 2022).
* Revised Contract Value: PLN 1.29⁣ billion gross (January 2025).
* Power plant Capacity: 540 MW (second ​largest pumped storage plant in ‍Poland).
* PGE Withdrawal: PGE Energia Odnawialna withdrew from the contract.
* Reasons for Withdrawal ⁣(as stated by PGE):

* Delay in implementation.
⁤ ⁤ * Inability to complete the investment on time.
* Incorrect work execution and ⁢planning by the⁢ contractor.
* Design and implementation​ errors.
* Penalties ‍Charged by PGE:

* PLN 4.72 ​million for a 28-day delay in hydro unit No.3 operation.
* PLN 105.33 million for contract withdrawal (attributed to the contractor).
* Advance Payment Requested for Return: PLN 151.59 ‍million.
* Mostostal Warszawa’s Response: ⁣ Currently analyzing the legal basis for PGE’s​ withdrawal, claiming the circumstances are beyond ⁢their⁤ control.
* Event: A⁢ debate on‍ the Polish economy will take place on February 9, 2026, in Warsaw. (Promoted via a banner)

You may also like

Leave a Comment

This site uses Akismet to reduce spam. Learn how your comment data is processed.