Rafako gets state aid
The European Commission (EC) has approved Poland’s plan to grant restructuring aid to Rafako.
Its value is approximately PLN 100 million. The money will be used to partially finance the restructuring plan. As a result, Rafako is expected to regain long-term profitability by the end of 2024.
The EC said such aid is necessary and appropriate. Moreover, it will ultimately contribute to Poland’s green energy transition. This is because Rafako provides technologies that improve the environmental efficiency of Poland’s power plants. On top of that, the aid, according to the EC, is proportionate, as approx. 65 percent of the restructuring costs are to be covered by Rafako and its creditors.
Poland has outlined measures to reduce the risk of distortion of competition that could result from the state aid. To this end, Rafako has sold its electric bus division.