The global consumption and price of energy is increasing. This issue has for many companies strategic importance and constitutes of a significant cost
The global consumption and price of energy is increasing.
Last year brought new, record high electricity prices. This leads many companies, including the energy-intensive industry sector, to a difficult financial situation.
Quarterly and monthly contracts for electricity at TGE reach prices of PLN 295 / MWh. To compare, during 2017/2018, these contracts were concluded with a price below PLN 180 / MWh.
The costs of purchasing coal technologies remain unchanged, while the costs associated with gas emissions and coal prices are rising, which pushes the price for energy for the final consumer to further records.
At the same time, we notice on the energy market a decrease in the price of renewable energy sources. For example, the price for photovoltaics is falling. Today, we pay over 3 times less than in 2010 for 1 MW of power installed in this technology.
A decrease is also recorded in gas prices traded at TGE. Contracts for the purchase of E type gas (GZ-50) concluded on the stock exchange in 2019 are cheaper from 10% to 50% compared to last year. In addition, gas technologies emit almost half as much CO2 as coal.
The price changes on the energy market mentioned above will force or have already forced many changes not only within the energy-consuming industry. This also applies to enterprises for which the price of heat and electricity is one of the main operating costs. These companies are now facing a decision-making moment, that will determine their competitiveness on the market not only in Poland and Europe, but also globally.
The answer to this challenge is a thought-out strategy, an energy concept addressing the future needs of each company. Designing it is not obvious or simple, and a possible mistake can determine miss development and future of the company.
By creating the right strategy, we see challenges as a chance for rapid development for our clients.
KPMG has created a dedicated team of experts who, thanks to their knowledge and industry experience, support clients in establishing a comprehensive energy strategy. We offer a tailored set of services that all together provide an optimized energy strategy.