DTEK subsidiary to build energy storage facility in Poland

MOSCOW. March 28 (Interfax) - A subsidiary of Ukrainian energy company DTEK, DRI has entered into an agreement with Polish company Columbus Energy on the construction of a 133 MW energy storage facility in Poland.

"DRI signed a final binding share purchase agreement with Poland's Columbus Energy on 27th March which will give it the right to build a 133 MW battery storage facility in southern Poland, subject to permitting approvals," Ukrainian media reported, citing a DTEK press release.

This is the largest battery storage project in Poland and the agreement is DTEK's first major infrastructure investment in the country and a "key building block in the company's plan to create a pan-European energy system uniting Ukraine and the EU," the company said.

DTEK said it aims to build a portfolio of renewable energy projects in Europe with capacity of 5 GW by 2030 through DRI.

DRI expects to close the deal with Columbus in the next few months and start construction of the facility in the fourth quarter of 2024 in order to complete it and start operations in early 2026. The project has an obligation to provide energy capacity to the Polish market for 17 years from 2027, DTEK said.

Poland is increasingly adopting renewable energy sources, but relies on 30 GW of coal and natural gas-fired power plants to balance the energy system. Battery storage will help ensure the grid's operability, provide the system with firm capacity to balance the intermittent nature of renewable power, DTEK said.

DRI launched its first projects in Europe at the beginning of 2024 - a 60 MW wind farm and 53 MW solar farm in Romania. The company also has future plans to develop renewable energy in Romania, Italy and Croatia.