Information on the estimated impact of regulation of the Minister for Climate and Environment of 9 September 2023 on the Energa Group's financial results
Belongs to:
- Current reports
Current Report No. 27/2023
Date: 5 October 2023
Subject: Information on the estimated impact of regulation of the Minister for Climate and Environment of 9 September 2023 on the Energa Group's financial results
Legal basis: Article 17 (1) of MAR - inside information
The Management Board of Energa SA ("Issuer") informs that on 5 October 2023 it received the information from the subsidiary Energa Obrót SA ("Company") about the estimated impact of the regulation of the Minister for Climate and Environment of 9 September 2023 amending the regulation on shaping and calculation of tariffs and methods of settlement in electricity supply ("Regulation") on the Company's financial results.
The Regulation introduces the mechanism enabling reduction of households' payments to electricity supply companies for the year 2023. The Company estimated the potential impact of introducing of this mechanism at PLN 320 million, what requires the Company to create a provision in the second half of 2023. This provision will translate directly into a decrease in the consolidated EBITDA (operating profit before amortization and impairment of non-financial non-current assets) of the Issuer's Capital Group by the above-mentioned amount.
The indicated estimates are subject to risk and result from the legal status as of the date of this report. The final impact of the Regulation on the results of the Issuer's Capital Group will depend on the final number of customers covered by the mechanism of reducing household payments towards the Company pursuant to the provisions of the Regulation. The final amount of the created provision will be presented in the consolidated financial statements of the Issuer's Capital Group for 2023.