In the next few years, the expenses related to green transformation, which make it possible for Poland to meet the climate targets of the European economy, may reach even PLN 100 billion annually. Such a huge challenge is impossible to undertake without the involvement and determination of the entire banking sector, as Jerzy Kwieciński, Vice President of Bank Pekao S.A., argued during the World Economic Forum in Davos.
“The role of financial institutions in the energy transition” was the topic of the expert panel organised at Polish House. During the World Economic Forum, the red and white building became a venue for meetings and discussions on key issues from the perspective of Poland as well as Central and Eastern Europe. According to all panellists, the urgency of immediate dependence on resources from Russia and switching the whole economy to the “green track” is now the most significant challenge, but also an opportunity for our region.
The European Union is aiming ambitious targets to reduce CO2 emissions by 55% by 2030 and then fully achieve zero carbon emissions. “To this end, EU will have to invest as much as EUR 350 billion annually in energy transformation,” noted Kwieciński.
Poland’s participation in this project will be more than crucial, as we are among the first five EU Member States in terms of population and the only country in this group that was behind the “Iron Curtain” for decades.
“The enormity of this amount is evidenced by the fact that our entire banking sector generates about PLN 150 billion for corporate credit needs, of which one-third, that is PLN 50 billion, are investment loans. This demonstrates the tremendous role that the banking sector will have in supporting the energy transition,” said Kwieciński.
Inl February this year the pace of transformation and the use of indirect energy sources could have been a subject of discussion, Russia’s invasion of Ukraine finally convinced all market players that investing in RES is part of establishing the security and sovereignty of Poland and the entire region.
“Companies already involved in this process and planning further major investments in this area can find an ally in us,” stated Kwieciński.