RWE Cancels Planned Czeczott Coal-Fired Power Plant in Poland, Heren Says

RWE AG, Germany’s second-biggest utility, shelved plans to build the 800-megawatt Czeczott coal- fired power plant near Katowice, southern Poland, because it wouldn’t be financially viable, ICIS Heren said yesterday in its daily electricity market news letter.

RWE, which had started preparations for the plant, would be forced to buy all emission permits for the station at auctions from 2013, adding to production costs, Heren said, citing an unidentified company spokeswoman. RWE owns 75 percent of the venture and Kompania Weglowa SA holds the rest. The plant would have cost 1.5 billion euros ($1.9 billion), according to RWE’s website.

The Polish electricity market will struggle to meet demand from 2013 through 2015, Heren said, citing unidentified analysts.

To contact the reporter on this story: Lars Paulsson in London at lpaulsson@bloomberg.net

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