Photon Energy NV's subsidiary, Lerta, has successfully secured 316 MW in additional capacity auctions for 2025 held by Polish transmission system operator PSE SA. The company announced the news today, highlighting that Lerta JRM, part of its New Energy Division, won 315 MW of Demand Side Response (DSR) capacity and 1.088 MW of renewable generation, in addition to the previously contracted 10 MW for the same year. This brings the total maximum capacity contracted with PSE to 326.088 MW for the first quarter of 2025.
The awards are expected to generate PLN 56.1 million (USD 14.2m/EUR 13m) in revenues for 2025. Photon Energy noted that it opted to reduce its participation in the auction from the initially planned 490 MW due to low demand for capacity and recent successful optimizations in the secondary market. The company intends to pursue additional contracts to maximize profitability, with Poland's new ancillary services market opening on June 14, 2024, offering potential for additional revenues from flexibility.
Borys Tomala, New Energy Director at Photon Energy Group, commented on the results, stating, “For the first time, due to unfavorable auction parameters and surprisingly low demand from PSE, our success is not well visible immediately after the auctions, and initial observations may even suggest a regression compared to 2024.
However, our portfolio is growing every week, and we do not intend to change that – we are confident that the decision to decrease the volumes contracted during the auctions was the best possible one and that we will fill the gap in the secondary market later this year or during deliveries in 2025.”
Photon Energy aims to reach 430 MW in 2025, building on its 2024 contracts for 389 MW. The company's portfolio includes over 130 MWp of utility-scale solar, while its Virtual Power Plant aggregates renewable energy generators and consumers, surpassing 420 MW of total capacity.
The capacity contracts are expected to be concluded based on preliminary results shared by PSE on March 19, 2024.
