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Polish biogas producer strikes landmark electricity trading deal

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Polska Grupa Biogazowa (PGB), Poland's largest agricultural biogas operator, has agreed a large-scale electricity trading partnership with energy trading firm Hekla Energy, the first deal of its kind in Poland for electricity generated from agricultural biogas.

Under the agreement, more than 200GWh of biogas-derived electricity will enter Hekla Energy's portfolio in the first year of cooperation, representing over 15% of Poland's total agricultural biogas electricity output. The contract covers electricity from almost all of PGB's operating and newly built plants.

PGB currently operates 21 biogas plants with a combined installed capacity of 22.5MW, producing around 200GWh annually. All facilities are managed remotely through the company's Monitoring and Analysis Centre, which it describes as a unique capability in Europe.

The partnership gives PGB access to a wider range of trading products on the Polish Power Exchange, while allowing Hekla Energy to offer customers a stable, dispatchable renewable energy source that can balance intermittent wind and solar generation.

Both parties said the arrangement would help producers avoid selling electricity during periods of negative prices, an increasingly common occurrence in European power markets, which can reduce the value of support available under renewable auction and feed-in schemes.

Sabine Dujacquier, president of PGB's management board, said the agreement would allow the company to supply energy from local renewable resources in a consistent and predictable way, describing this as particularly important for businesses and institutions with ESG commitments and security of supply requirements.

Gracjan Grela, president of Hekla Energy, said the scale of the partnership had the potential to increase revenues by several million Polish złoty annually, adding that the deal demonstrated how trading expertise and advanced plant management infrastructure could be combined to improve returns for biogas producers.

Both companies said the partnership also supports the circular economy by making productive use of agricultural waste streams.



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