Changes in the field of decarbonization and safety with regional and global significance significantly affect the operation of business in Poland. ORLEN wants to participate in the discussion on energy transformation and the necessary EU regulations for this. The corporation has prepared a position paper, highlighting the most important challenges: maintaining the competitiveness of the EU market, technological neutrality, availability of financing for decarbonization, and moving away from the mandatory nature of regulations.
ORLEN is taking actions aimed at lowering its emissions, in line with the goals set by the Paris Agreement. EU regulations have a significant impact on the functioning of the Group, as they largely determine the development model of our sector. The new five-year regulatory cycle in the European Union presents an opportunity to draw attention to issues important from the perspective of our operations.
Therefore, ORLEN has issued a manifesto, focusing on what it considers to be the most important issues. The first is the competitiveness of the EU market. A key challenge is the implementation of the EU’s Clean Industrial Deal package, which can realistically help protect European economies against an influx of products with a higher carbon footprint from outside the EU. An equally important point is promoting the widest possible catalog of acceptable zero- and low-emission technologies at the EU level, allowing for the lower costs of the transformation and increasing its efficiency, in the spirit of technological neutrality.
– “Decarbonization financing is a significant aspect. Regulations should create incentives to invest in technologies reducing emissions, as these – especially at an early stage of development – are very capital intensive. We see that funds tailored to the needs of individual EU regions work more effectively. Analysis of the social consequences of implementing some requirements is also necessary. The decarbonization process, especially in Central and Eastern Europe, should be conducted in the spirit of a just transition,” said Witold Literacki, Deputy CEO for Corporate Affairs of ORLEN.
From the point of view of the effectiveness and pace of energy transition, the approach towards entrepreneurs is very important. EU regulations impose penalties for failing to meet the set requirements, and their implementation often involves high costs. According to the corporation, every industry that needs a transformation requires more investment incentives, as well as limiting excessive reporting and adjusting regulations to economic-social realities prevailing in each country. Constant dialogue between EU institutions and sector representatives is also extremely important in this context.
ORLEN has also prepared specific regulatory proposals. In the petrochemical sector, these include implementing a competitiveness policy to protect jobs and considering the impact of emission costs and energy prices on the competitiveness of the EU industry. In the field of natural gas, the corporation wants to maintain its role as a transitional fuel, significantly reducing the emission footprint of the EU economy. In power generation, one of the demands is to maintain and effectively enforce the status of natural gas and nuclear energy as transitional fuels within the EU taxonomy.
The corporation has prepared a number of proposals in four areas: petrochemistry, transport, natural gas and upstream, and power generation and heating. All are included in the manifesto. The document’s premiere and the accompanying discussion will take place during the upcoming Open Eyes Economy Summit in Krakow, where on November 19, ORLEN will organize the “Green Deal and the competitiveness and security of the economy” panel. The company will also promote the manifesto and its proposals during other upcoming conferences and debates, in the media, and during bilateral meetings.
In 2020, ORLEN, as the first fuel corporation from Central Europe, declared its goal of achieving emission neutrality by 2050, in line with the assumptions of the Paris Agreement. Decarbonization plans are a key element of the ORLEN Group’s business strategy, which is why the corporation has decided to increase its greenhouse gas emission reduction targets for 2030. The ORLEN Group intends to strengthen its position as a leader in energy transformation in Central Europe. By the end of the decade, the corporation will invest over 80% of all investment outlays in transformation projects (green and transitional), which will enable a reduction in the impact on the climate and environment, and an open approach to new business models.
Source: https://managerplus.pl/orlen-przedstawia-manifest-na-rzecz-transformacji-energetycznej-i-sprawiedliwej-dekarbonizacji-62428
