The 6th edition of the "Ecologically Friendly" Contest - the title of the "Patron of the Polish Ecology" granted to Mr Jan Tokarz, President of the PSPP Company Management Board

On the 18th of January 2005, the 6th edition of the "Ecologically Friendly" Contest was held. The Contest was organised under the auspices of Mr Aleksander Kwaśniewski, President of the Republic of Poland. The title of the "Patron of the Polish Ecology" was granted to Mr Jan Tokarz, President of the PSPP Company Management Board. The reward was handed over to Mr Jan Tokarz during the Grand Gala in the Victoria Hotel in Warsaw by Ms. Jolanta Szymanek - Deresz, Chief of the Chancellery of the President of the Republic of Poland.

The ecological contest "Ecologically Friendly" has been extremely popular in Poland. It is thanks to this contest that cities, regions and companies that are fully involved in supporting the ecological actions and educational activities linked to the environmental protection have the opportunity to present the results of their actions and pro-ecological approach. Over the years of its presence on the Polish electric energy market, the PSPP Company has been trying to take an active part in investing into new renewable sources of energy, as well as in promoting the new renewable sources of energy. The PSPP Company's activity related to the environmental protection was appreciated many times by the award committee of the "Environmentally Friendly" Contest. In the years 2002 - 2003, the Company was granted the certificate "Ecologically Friendly Company". Last year, the PSPP Company was granted the title of the "Patron of the Polish Ecology", which proves appreciation for the Company's investments into environmental protection, construction of ecological power stations and promoting symbiosis between industry and ecology. Since its establishment until the present day, the Pumped Storage Power Plants Company has been proving that it is possible to produce electric energy without causing any negative impact on the environment.

ECOLOGY IN THE PSPP COMPANY

The main area of PSPP Company's activity is to provide system services. The other significant source of the Company's income is the production of green energy. As a company dealing with hydro-energy, the PSPP has an every-day direct contact with the environment - rivers, agriculture, exploitation of water reservoirs, landscapes, as well as with transport and tourism. The Company was highly evaluated in the subsequent editions of the ecological contest "Environmentally Friendly" for minimisation of environmental impact. Many pro-ecological activities undertaken by the PSPP Company include mainly those oriented at securing the Company's own installation against negative impact on the environment. Risks such as oil or grease leakage from the machines exploited were eliminated by the appropriate structure of these machines and the careful leakage purification. Each of the plants built on weirs has its own oiled sewage purification station and in the newer power stations the bio-degradable greases are used, which means that they do not cause water pollution when entering in contact with it. In the areas surrounding the PSPP Company's power plants, we create the best possible conditions for the environment, for instance by building the special water flows making it possible for fish to migrate. It is worth mentioning the rubber weir closing for the Żagań II power plant on the Bóbr River, being unique in Poland and in this part of Europe. The fact that the Company exploits various types of water reservoirs makes it possible to store water to be used in case of flood and other disasters. Noise is also effectively minimised. The level of noise in the modern machines installed as a result of modernisation works is also much lower than it used to be before. Also, the PSPP Company makes it possible to exploit the plants' surroundings for the purpose of tourism. It may be illustrated by the Solina Water Power Plant, located in the very heart of the Polish Bieszczady Mountains. The Zalew Soliński, the biggest artificial lake in Poland, works as a magnet attracting tourists. The dam in Solina owned by the PSPP Company is an installation having particular scenic and flood-control values. Also, the PSPP Company's reservoirs are used by urban regions. The example for this is the Czarniecki Reservoir on the Sola River that is used to provide the Katowice City with drinking water. The PSPP Company also takes part in maintaining the water levels in co-operation with the water management financed from the state budget. The Company contributes significantly to the exploitation and maintenance of the water levels in compliance with the proper technical standards. The Pumped Storage Power Plants Company also takes an active part in promoting knowledge on the renewable sources of energy by publishing an informational bulletin "Ecoenergy".

ENVIRONMENTALLY FRIENDLY INVESTMENTS

For many years now, the Pumped Storage Power Plants Company has been carrying out the programme for developing production capacity on the basis of the renewable sources of energy.
Over the years 1997 - 2003, the PSPP Company built or modernised ten new, small water power plants producing green energy. It increased the production capacity of the "green energy" for over 42 thousand MHh. In 2003, the modernisation of the Solina water power plant was finalised, as a result of which its installed power increased from 136 to 200 MW, which makes it possible to increase the production capacity by 106 thousand MWh yearly. It is an important installation that matches perfectly with the new trend in the European and world energy industry that consists in using the renewable energy sources and minimising the industry's impact on the environment. With its power of 200 MW, the Solina water power plant became the biggest and the most modern power plant built on a natural tributary in Poland.
The PSPP Company is also an active capital investor in building the new power of the flow water power plants. In 2004, the Krępna power plant, producing over 7 thousand MWh of green energy yearly, was put into operation. At present, the third power station in this cascade is being built - the Krapkowice power station. In 2005, the Rakowice water power plant is scheduled to be put into operation. It is located on the Bóbr River and has the power capacity of 1,9 MW that allows for a yearly production of up to 9 thousand MWh of the "green energy".
This year, the Pumped Storage Power Plants Company will mainly be proud of the finalised modernisation of the Dychów Water Power Plant, as a result of which the installed power will reach 90 MW and the capacity will reach the level of 93%. As a result of this modernisation, it is planned to increase the production capacity of the Dychów Water Power Plant to reach the level of 82 500 MWh of the "green energy" each year.
Independently of these activities, the PSPP Capital Group has undertaken intensive measures to realise the programme to reach the level of 350 MW of installed power in wind energy sector in 2007. On the 16th of December 2004, the Supervisory Board of the PSPP Company adopted the "Concept of the production sources development as an element of the strategy of the PSE S.A. (Polish Energy Networks)", which contains details concerning the programme for building eight wind parks all over the country in co-operation with national and foreign partners. These activities will make it possible to keep the share of the PSPP Capital Group in the green energy market in Poland on the level of 20% until the year 2010.
The example for an active presence of the PSPP Company on the wind energy market may be a newly established (the 9th of July 2003) company with the capital share of the PSPP Company - the Kamieńsk Wind Power Plant - having the power of 30 MW. Another wind farm is Wola Rafałowska, where the PSPP Company takes part in raising the capital of the Mega Company being the owner of this installation. Both power plants are scheduled to be put into operation this year. The PSPP Company is also in regular contacts oriented at initiating co-operation with the top foreign companies, such as GAMESA and EHN from Spain. In the years to come, within the framework of co-operation with these companies, the PSPP Company plans to build several wind farms located in various areas, having the power of 50 MW each. Also, the negotiations with an American company CANON are carried out, which may result in important projects in the area of wind energy production.
The Company is also involved in other activities oriented at processing energy on the basis of biomass and gas. The PSPP Company plans to develop projects based on biomass in co-operation with local governments partners oriented at developing the local thermal energy markets. In Elbląg, there is a bio-gas power plant owned by the Company that uses the urban waste and the garbage dump gas for producing electric and thermal energy.

WHAT TO DO TO BE ENVIRONMENTALLY FRIENDLY - RENEWABLE ENERGY ASSOCIATION

The Renewable Energy Association was established in 2001 with a goal to support the initiatives promoting the renewable energy sources, as well as to promote the development of the new multi-energy companies in Poland. The Renewable Energy Association gathers 12 top companies of the electric energy and fuel sectors. They include: The Pumped Storage Power Plants Company, The Polish Oil and Gas Mining Company, The Dychów Water Power Plants Complex Company, the Żarnowiec Water Power Plant. Since the 15th November 2002, Mr Jan Tokarz, President of the PSPP Company, performs the function of the President of the Association. The members of the Management Board are: Jan Tokarz - President of the Management Board, Zbigniew Zakrzewski - Deputy President of the Management Board, Lech Hryckiewicz - Deputy President of the Management Board.
Since its establishment, the Renewable Energy Association has been involved in promoting knowledge on the renewable sources of energy, including: biomass, windpower, water energy, sun and gas energy. The Association constitutes the platform for exchanging experiences and information between its various members. There are more and more companies applying to become members of the Association, which proves that the basic goals of its activity have met with a favourable response. The Renewable Energy Association is a member of the Polish Electric Energy Committee. Its role is appreciated not only in Poland, but also internationally. It provides promotional support for associate members, including the PSPP Company, to use the renewable energy sources to produce electric energy.
Therefore, both the Association's activity and the title "Patron of the Polish Ecology" granted to the President of the Management Board, Mr Jan Tokarz, may very well show what it means to be environmentally friendly.