Polish companies KGHM and TAURON have signed a letter of intent regarding cooperation in the construction of low-emission energy sources, including the use of small modular reactors (SMRs). The agreement was reached during the TOGETAIR 2022 Climate Summit in Warsaw. KGHM is a copper and silver producer and large industrial energy user and TAURON an energy company.
“We initiated the clean energy production project as one of the first in Poland. We have signed an agreement with an American partner [NuScale] and we are preparing investment analyses. The SMR technology will increase the cost-effectiveness of KGHM and transform the Polish energy sector. Together with TAURON, we will work and explore possibilities for further development,” said Marcin Chludzinski, President of the Management Board of KGHM Polska Miedz.
Pawel Szczeszek , CEO of TAURON Polska Energia, explained: “We strive to make modular nuclear reactors an important element of our target production mix. This will most likely be reflected in the new corporate strategy prepared in the Group. The cooperation established today with KGHM opens up this perspective for us.”
TAURON and KGHM intend to jointly conduct research and development with the use of SMR technology. In the future, there are other investment projects that will use low-carbon energy sources, the pair said a statement. The companies will prepare a work schedule, legal analyses and other projects are also planned to promote activities that will have an impact on Poland's energy security.
Under a contract concluded at the beginning of 2022, KGHM with NuScale will implement the SMR technology in Poland. The first power plant is to be commissioned by 2029. Clean energy will power the production divisions of the copper company. The construction of SMRs is directly related to KGHM’s Climate Policy and the company's new strategic direction - energy.
TAURON's so-called Green Return plan is a series of activities aimed at a significant change of existing generation sources, which are based mainly on fossil fuels, into zero-emission sources. These are being implemented through development of projects and market acquisitions.
KGHM's ambition is to effectively increase the share of renewable energy sources in covering energy demand. The company has its own low-emission gas-fuelled generation sources and is also developing renewable energy projects, including photovoltaic power plants in areas owned by KGHM. It is also taking part in a tender for the development of offshore wind projects in the Baltic Sea.
Polskie Elektrownie Jadrowe (Polish Nuclear Power Plants) recently submitted an environmental report on Poland’s first nuclear power plant.