Learn about PSE

Electricity reaches homes, businesses and institutions through the distribution network fed from the transmission network we manage. We are the only electricity transmission system operator within the territory of Poland. We care about the reliability of electricity supply to all regions of the country.

We play a key role in the development of the Polish economy. We also ensure the secure and cost-effective operation of the Polish power system as part of the common European system.

Learn about PSE

Our company in numbers

GRI 102-1 GRI 102-6

We operate throughout the country under the name of Polskie Sieci Elektroenergetyczne Spółka Akcyjna (PSE S.A.).

Our clients are:

electricity undertakings involved in electricity generation and trading,
electricity distribution system operators (DSOs),
final consumers connected to the transmission network.

Scale of PSE operations in numbers

GRI 102-7

Employment

2019

2018

2017

Number of PSE employees

2,538

2,376

2,258

Financial data

2019

2018

2017

Net sales (in PLN m)

9,106

10,097

8,887

Net profit (in PLN m)

729

490

531

Total assets (in PLN m)

20,640

20,377

19,513

EBITDA (in PLN m)

1,513

1,188

1,231

TAX EBITDA (in PLN m)

1,552

1,312

1,328

ROE (net profit/equity)

4.82

3.37

3.77

Network infrastructure

2019

2018

2017

Total length of transmission lines (in km)*

14,822

14,695

14,195

Number of transmission lines (EHV)

280

267

258

Number of extra-high voltage substations

107

106

* Line length converted to 1 circuit.

Services

2019

2018

2017

Number of transmission service agreements with entities
- connected to the transmission network

37

34

33

Number of transmission service agreements with entities
- operating in the electricity balancing market, not connected to the transmission network

90

93

90

Total

127

123

2019

2018

2017

Number of PPS access service agreements with DSOs not connected to the transmission network

157

158

163

Number of concluded agreements for the connection of new sources to the transmission network

29

31

35

Total capacity of new generating sources with connection agreements in force (in MW)

14,775

15,102

16,098

Number of connection agreements for new generating sources for which PSE has launched investment projects involving works necessary for connection

20

22

24

100 percent stake is held by the State Treasury GRI 102-5

100%

The share capital of PSE is PLN in thousands
(and has been fully paid up)

9,605,473

Number of agreements for the provision of demand side response services

Number of agreements concluded for the period 1 July 2018 – 30 June 2019 by programme:

Guaranteed Programme ─ payment for readiness and utilisation; summer package (1 July - 30 September 2018 and 1 April - 30 June 2019) with a guaranteed capacity volume of 362.5 to 534.5 MW in individual hours	10
Guaranteed Programme; 2 agreements increasing capacity in the summer package 1 April - 30 June 2019) to the guaranteed capacity volume of 372.5 to 558 MW in individual hours	2
Guaranteed Programme; winter package (1 October 2018 - 31 March 2019) with a guaranteed capacity volume of 510 to 535 MW in individual hours	6
Current Programme ─ payment for performance (1 July 2018 - 30 June 2019)	5
Simplified Current Programme ─ payment for performance (1 April - 31 December 2019) (item shown owing to the continuity of application of agreements from the beginning of Q2 2019)	5
Total	28

Number of agreements concluded for the period 1 July 2018 – 31 December 2020 by programme:

Guaranteed Programme ─ payment for readiness and utilisation; summer package (9 agreements: 5 country-wide and 4 in defined areas; provision period 1 July - 30 September 2019) with a guaranteed capacity volume of 593 MW to 715.4 MW in each hour	9
Guaranteed Programme ─ payment for readiness and utilisation; winter package (7 agreements – 2 country-wide and 5 in defined areas; provision period 1.10-31.12.2019) with a guaranteed capacity volume of 442.8 MW in each hour	7
Guaranteed Programme ─ winter package (to cover the whole PPS from 1 February to 31 March 2020 and from 1 October to 30 November 2020) with a guaranteed capacity volume of 612 MW in each hour	6
Guaranteed Programme ─ summer package ─ (to cover the PPS excluding 5 areas, provision period from 1 April to 30 September 2020) with a guaranteed capacity volume from 683.7 to 764.5 MW in each hour	6
Guaranteed Programme ─ summer package ─ (to cover dedicated areas: Poznań, PAK, Łódź, Lublin-Zamość, Zielona Góra, provision period from 1 April to 30 September 2020) with a guaranteed capacity volume of 25.5 MW in each hour)	7
Current Programme ─ payment for performance (1 July 2019 - 31 December 2019)	4
Current Programme ─ payment for performance (1 January 2020 - 31 December 2020)	4
Simplified Current Programme ─ payment for performance (1 January 2020 - 31 December 2020)	4
Total	47

PSE Capital Group

GRI 102-45

PSE Capital Group consists of Polskie Sieci Elektroenergetyczne (PSE) as a parent company and 2 subsidiaries wholly-owned by PSE. Polskie Sieci Elektroenergetyczne is also linked by equity to three undertakings with foreign equity share: LitPol Link Sp. z o.o. in liquidation, Joint Allocation Office S.A. and TSCNET Services GmbH. PSE Capital Group was established to perform tasks under the Programme for the Power Sector adopted by the Council of Ministers on 28 March 2006. The Programme provided for the endowment of the transmission system operator with transmission assets, and with tools for the maintenance, operation and expansion of the assets in the form of specialised companies.

www.pse.pl

PSE Inwestycje S.A.

100%

PSE Inwestycje S.A.

Until 30 April 2017, PSE Inwestycje operated within the PSE Capital Group as an entity specialised in preparing and supervising investment projects. The company had design and project supervision expertise, based on which it provided services related to the preparation and implementation of investment projects, development of the power system, and social communication services.

On 1 May 2017, an organised part of business was disposed of by way of dividend in-kind payment to the sole shareholder, i.e. Polskie Sieci Elektroenergetyczne. From then on, PSE Inwestycje has provided project preparation and implementation services for the construction, expansion and upgrading of buildings for the purposes of welfare/ office and technical facilities of PSE’s transmission system.

As a result of a significant reduction of operations in 2018 due to the transfer of project implementation tasks to PSE, as of 1 January 2019 the company suspended business for a period of 24 months.

www.pse-inwestycje.pl

PSE Innowacje sp. z o.o.

100%

PSE Innowacje sp. z o.o.

The primary business object of PSE Innowacje is the provision of consulting services which involve analysing, research, new technologies and IT solutions in the power sector. The company’s activities support the secure and economical operation of the PPS, in particular through work performed under PSE’s strategic projects.

www.pse-innowacje.pl

Litpol Link sp. z o.o.
in liquidation

50%

Litpol Link sp. z o.o.

LitPol Link was established in 2008 for implement the initial phase of the Poland-Lithuania interconnection project as a joint venture of the Lithuanian and Polish transmission system operators, i.e. Litgrid and PSE.

The company was responsible for the preparation of analyses, studies and obtaining permits necessary for the implementation of investment projects. As a result of the company’s activities, arrangements were made concerning the final route of the interconnector, its cost and financing, as well as the interconnector operating model.

LitPol Link has achieved its objectives by completing the first Poland-Lithuania interconnector project which has been in operation since 2016. On 19 June 2019, the company’s meeting of shareholders decided to put the company into liquidation.

Joint Allocation
Office S.A.

1/25 share

Joint Allocation Office S.A

A company established by 20 TSOs from the CEE and CWE regions and Norway through a merger of the auction offices Central Allocation Office GmbH and Capacity Allocation Service Company.eu S.A. Currently, JAO is owned by twenty-five transmission system operators from 22 countries.

Joint Allocation Office (hereinafter JAO) is a service company supporting the electricity market by holding cross-border capacity auctions. It provides cross-border capacity allocation services to operators including PSE. In compliance with the requirements of the Network Codes, they are implemented through a centralised common European platform. JAO is the operator of the platform.

PSE holds a 4.0% stake in JAO. The shareholders of the company are 25 transmission system operators from 22 European countries.

www.jao.eu

TSCNET Services Gmbh

1/14 share

TSCNET Services Gmbh

In order to improve the quality of inter-TSO cooperation within the TSC initiative, 10 TSOs established the company TSCNET based in Munich. TSCNET started its operating activities as of 1 May 2015. The shareholders of TSCNET are 14 TSOs associated in TSC. The activities of TSCNET Services (hereinafter TSCNET) include supporting transmission system operators in the operational planning processes, as well as support in the development and implementation of new regional processes.

Within the meaning of SOGL regulation, TSCNET is one of the Regional Security Coordinators (RSCs) which, pursuant to the SOGL and CACM/FCA regulations are to serve five regional processes performed in 10 capacity calculation regions (CCRs).

PSE holds a 6.7% stake in TSCNET and is one of the 14 shareholders of the company.

www.tscnet.eu

*Polskie Sieci Elektroenergetyczne S.A. – parent company. The company has field subunits of PSE units and PSE field job positions in: Bydgoszcz, Katowice, Poznań, Radom and Warsaw.

In the financial statements and in equivalent documents, PSE data is disclosed excluding the Capital Group companies.

Economic performance

GRI 103-1

We implement our strategic objectives, continuously monitoring our performance and the achievement of key economic and financial indicators. Preparing mid-term projections that make it possible to assess the capability to finance the expenditure adopted in the Investment Projects Plan, assuming full implementation of strategic objectives and operations.

GRI 201-1 GRI 102-7

Direct economic value generated taking into account income, operating costs, employee remuneration, subsidies and other investments for the community, undistributed profits, and payments to capital owners and state institutions.

Income (value in thousands of PLN)

2019

2018

Income (all income and profits included
in the financial statements)

9,270,307

10,234,389

Net sales

9,105,507

10,097,051

Other operating income

130,523

85,888

Financial income

34,277

51,450

Operating expenses (value in thousands of PLN)

2019

2018

Operating expenses

8,368,699

9,626,633

Operating expenses

8,266,475

9,478,295

Other operating expenses

94,602

145,827

Financial expenses

7,622

2,511

Operating expenses (taking into account the exclusions shown)

2019

2018

Operating expenses (taking into
account the exclusions shown)

7,654,073

8,950,524

exclusions:

Payroll, social security and other benefits

396,651

380,404

Taxes and charges

313,447

294,447

Investment in communities*

0

87

Interest expense

4,528

1,173

Payments to investors (value in thousands of PLN)

2019

2018

Payments to investors

0

Dividend

0

Payments to the state (value in thousands of PLN)

2019

2018

Payments to the state

599,645

508,815

Taxes and charges

313,447

294,447

Interest expense**

4,528

1,173

Income tax, current part

172,249

143,610

Payment from profit

109,421

69,585

Retained value (value in thousands of PLN)

2019

2018

Retained value

619,937

394,560

* We carry on a regulated activity, generating our core income from the transmission tariff approved by the President of ERO. In practice, this means that we have limited capabilities to develop social engagement programmes. It is the responsibility of the President of ERO to determine whether or not tariff-financed costs are justified, and therefore it is not up to PSE to decide on its involvement in social areas.

** In 2019, 98 percent of PSE’s interest expense was remitted directly to the state budget, and in 2018 it was 69 percent.

GRI 201-4

Total monetary value of financial assistance received by the organisation from government during the reporting period, including at least the value of (value in thousands of PLN)

2019

2018

Subsidies, investment and development grants, others

218,438

36,436

Other financial benefits received from government

244

288

Membership of organisations

GRI 102-12 GRI 102-13

Learn about international industry organisations and associations of which PSE is a member:

ENTSO-E – European Network of Transmission System Operators for Electricity, a key player in building a common electricity market. ENTSO-E was established in 2009, taking over the tasks of the TSO organisations UCTE, NORDEL and ETSO. The primary area of the organisation’s activities is promoting the reliable operation and development of interconnected power systems while ensuring the security of electricity supply within the EU’s common energy market. ENTSO-E plays an important role in implementing the EU’s Third and Fourth Energy Packages, assuming responsibility for the development of many documents, in particular network codes which set forth rules necessary for the development of a common electricity market in the EU.

PSE’s representatives are involved in the activities of the organisation at each level of the structure, ranging from its Assembly, the Board and the Committees, to regional groups, expert groups, task forces and working groups.

GRI 103-2 The working structure of ENTSO-E is composed of committees. PSE has its representatives in each of the following:
- Market Committee
- System Development Committe
- System Operations Committee
- Research, Development & Innovation Committee
- Digital Committee
- Legal and Regulatory Group.
The active presence of PSE’s representatives in the ENTSO-E structures strengthens the position of the Polish transmission system operator on the global stage.

Polish Committee for Large Electric Systems (PKWSE) – one of 58 national committees operating on behalf of International des Grands Réseaux Électriques (CIGRE), the world's largest international association of experts dealing with the issue of power generation, transmission and distribution. PKWSE operates on behalf of CIGRE, promoting the activities of the associate in Poland. It is currently composed of 6 supporting members and more than 112 full members.

Cooperation within CCRs – Poland is included in three capacity calculation regions (CCRs): CORE, Baltic and Hansa, established under a decision of the EU Agency for the Cooperation of Energy Regulators (ACER) in November 2016 on the proposal of all TSOs. Through the working structures of the above-mentioned regions, representatives of the individual TSOs, including PSE, carry on work aimed to implement market mechanisms whose design will ensure the capability for efficient, unconstrained and secure cross-border commercial exchange of electricity. The activities cover all market segments – from long-term markets, , through the day-ahead market (in the form of market coupling), to the intraday market – and they involve, among other things, the implementation of a coordinated process of capacity calculation, including the allocation of costs of remedial actions used in the process and implementation of the Market Coupling mechanism on the PPS interconnections.

CEE Forum (Central Eastern European Forum for Electricity Market Integration) – a forum established to provided political support in the electricity markets integration process.

Central Europe Energy Partners (CEEP) – an international non-profit association representing the Central European energy sector, whose objective is to support the integration of the Central European energy sector within the framework of the EU common energy policy. The Chairman of the CEEP Board of Directors is a representative of PSE.

Learn about the national industry organisations and associations and CSR initiatives of which PSE is a member:

Association of Polish Electrical Engineers (SEP) – a creative non-governmental organisation of a scientific and technical nature operating for social and public benefit. It is a voluntary association of electrical engineers of all specialties, whose professional activities are related to broad-based power engineering, as well as legal persons with an interest in its activities. The activities of SEP include electrical engineering, energy engineering, power engineering, electronics, radio-frequency engineering, optoelectronics, bionics, information technology, computer science, telecommunications, automation, robotics, and other related fields.

Polish Association for Electricity Transmission and Distribution (PTPiREE) – an organisation whose main object is to take measures towards comprehensive development and rational use of networks and facilities for the transmission and distribution of electricity. The Association seeks to initiate, promote and take advantage of technical and organisational progress in electricity transmission and distribution, and to support the development of the electricity market.

Partnership for the Implementation of Sustainable Development Goals (SDGs) – a partnership between the Ministry of Entrepreneurship and Technology and representatives of more than 100 entities, including PSE, for the implementation of sustainable development goals. The goals are the content of the UN Agenda 2030: Global Plan for Sustainable Development adopted by the UN in 2015, referred to in brief as “Agenda 2030”. The Agenda has set 17 Sustainable Development Goals whose implementation is to contribute to building a more sustainable future, in particular to levelling out socio-economic inequalities, with a simultaneous development combined with the preservation of the natural environment in as good condition as possible and reducing the adverse impact of climate changes (Goal No 13).

Responsible Business Forum – the largest non-governmental organisation in the country dealing with CSR (Corporate Social Responsibility). Its mission is to promote sustainable development, inspire the business that changes the world, and to integrate people who change the business. The association was set up in 2000 on the initiative of business, academic and NGO communities, and it has the public benefit organisation status. Since 2002, the Forum has been the national partner of CSR Europe – a network of organisations promoting the concept of responsible business in Europe.

Responsible Energy – an initiative that groups together socially responsible companies from the energy sector. Its main idea is to increase the awareness of the importance of sustainable development and popularise good practices among representatives of the energy sector, students, and representatives of the administration and NGOs. Since 2010, PSE, as a signatory of the Declaration, has been implementing projects concerning e.g. transparency of operation and effective management, occupational safety and health, promotion of energy efficient solutions, cooperation with local governments, and stakeholder engagement.

“Sport & Energy” Tourist and Sport Society – an organisation set up by employees of PSE, continuously pursuing its statutory objectives since 1998 by providing both member and non-member PSE employees with access to sport facilities, participation in organised sport competitions, representation of PSE in sport competitions of the energy sector, and by supporting the integration of company employees.