Polish refiner Orlen should escape windfall tax, says CEO (updated)

Energa S A

04/10/2022 13:30

(Adds CEO, details)
       GDANSK, Oct 4 (Reuters) - Polish refiner PKN Orlen
 PKN.WA  does not expect to be hit by the government's planned
windfall tax because it is carrying out investment important to
Poland's energy security, Chief Executive Daniel Obajtek said on
Tuesday.
    Poland expects to raise 13.5 billion zlotys ($2.77 billion)
from a windfall tax on energy companies, the government
announced in September, and was considering extending the
measures to other businesses. 
    "Companies that have excess profit, I believe, should be
taxed in this regard ... but PKN Orlen does not have excess
profit ... I don't see these (legislative proposals) as hitting
Orlen very strongly," Obajtek said on the RMF FM radio station.
    "We are investing in Poles, in the security of Poles, in
low-emission power plants, zero-emission sources, in refinery
modernisation. This is important for our security."
    Obajtek said the company is carrying out wide-ranging
investments and is working on its merger with Polish gas company
PGNiG  PGN.WA  after previous takeovers of utility Energa
 ENGP.WA  and refiner Grupa Lotos.
    "Next year we plan to spend 23 billion (zlotys) on
investments," he said
    Obajtek added that he expects the PGNiG takeover to happen
within weeks, preferably at the start of November.
    PKN shareholders approved the merger in September and PGNiG
shareholders are set to vote on Oct. 10. 
 (Reporting by Karol Badohal and Adrianna Ebert
Editing by Louise Heavens and David Goodman)
 ((karl.badohal@thomsonreuters.com; +48 58 769 65 97;))