In January we have started Łagisza construction. We did not stir up much media hype around that. Despite the frosty winter, one could discern the effects of building teams day by day. Spring accelerated the construction works even more.

We are racing against time. 1 January 2008, the entry date of the tighter sulphur emission regulations is coming soon. At present we meticulously pay attention to carbon dioxide emission, while in a few years we are going to take a close look at nitric oxides emission.

EU law is relentless. If we want to keep producing, we have to obey stringent environment protection rules. Those power industry companies which do not encourage construction of new ecological and economical power units and do not resolve to give up old and ineffective units will cease to play an important role both on domestic and European market.

We are aware of that and do our best to keep the pace. We are also aware of how much time was necessary to convince politicians, scientists, public opinion and bankers that the construction of Łagisza is the right thing to do, as we need more energy. Fortunately, no one questions these arguments any more and they are justified by numerous studies and analyses and even in the recent government programme for the industry.

The government declares that there have to be generated new 1000 MW of power every year in Poland. Łagisza is one of the elements of this scheme. Yet, this is not all. PKE SA’s strategy foresees replacement of old power units with new 2260 MW of power by 2020. In April, we published invitations for potential partners to present offers concerning reconstruction of Blachownia and Halemba. At present, these are unprofitable, obsolete plants the decision on which must be quick. PKE Management wants to replace old power generation equipment operating in Ruda Śląska and Kędzierzyn-Koźle by 2012.

Contrary to all appearances, there is not much time.