Photon Energy Secures Additional Capacity Market Contracts for 139 MW in Poland, Locking in Revenues of EUR 12.5 Million for 2026

Amsterdam/Poznań – 4 April 2025 – Photon Energy N.V. (WSE&PSE: PEN) announces that its subsidiary, Photon Energy Trading PL, part of the Company’s New Energy Division, successfully secured 139.2 MW in the additional 2026 Polish capacity auction conducted by PSE S.A., the Polish Transmission System Operator, on 27 March 2025. This includes 129.3 MW of Demand Side Response (DSR) capacity and 9.9 MW of renewable generation. Together with the previously contracted 57.0 MW for 2026, the Company’s total contracted capacity obligation now stands at 196.2 MW, securing Capacity Market revenues of PLN 52.073 million (EUR 12.548 million) for 2026.

“We are excited to have secured additional 139.2 MW in the recent Polish capacity auction, reinforcing our position as a leading flexibility service provider in Poland. This achievement, generating PLN 52.073 million in revenues for 2026, aligns with our strategy to optimise profits through our Virtual Power Plant. As the third-largest aggregator of demand-side flexibility in Poland, we remain dedicated to integrating renewable energy sources and expanding our service offerings,” said Georg Hotar, CEO of Photon Energy Group.

The Additional 2026 Capacity Auction

The auction results varied by quarter: the Q4 auction cleared in the first round, Q1 in the third round, and Q2 and Q3 in the twelfth round, reflecting differing demand levels. Based on preliminary results, Photon Energy secured an average price weighted by volume of PLN 265.414 (EUR 63.955) per MW/year, ensuring total revenues of PLN 52.073 million (EUR 12.548 million) for 2026.

Participants in PSE capacity auctions commit to providing DSR and capacity services on-demand in case of grid stress events.

Polish DSR Strategy and Plans

While the contracted volume and revenues appear lower than previously projected, this reflects the Company’s strategic decision to optimise gross profit from its Virtual Power Plant business. A detailed analysis of auction parameters and potential price developments led Photon Energy’s dedicated energy flexibility team to conclude that bidding higher volumes would have significantly depressed prices. This approach is also reaffirmed by the results for Q2 and Q3 2026 clearing below EUR 10,000 per MW/year, along with the Company’s recent success in secondary market optimisation.

Strengthening Market Position and Expanding Services

Photon Energy’s success in the Polish capacity auction for 2026 is an important milestone on its journey to becoming the number one flexibility services provider in Poland. 

Other notable services, developments and strategies include:

• Third-largest DSF aggregator: Photon Energy remains the third-largest demand-side-flexibility aggregator in the Polish Capacity Market, reinforcing its leadership position.
  
  
• New services for system operators: Photon Energy is expanding its involvement in Ancillary Services, undergoing qualification for its in-house Load Frequency Control (LFC) node and first scheduling unit. Additionally, the Group is closely monitoring local flexibility markets and opportunities within Flexibility Services for DSOs.
  
  
• Optimisation strategy: Photon Energy employs a comprehensive approach to asset optimisation, leveraging both market-based (implicit) and dispatch-based (explicit) signals to maximise efficiency and profitability.
  
  
• Balancing services provider certification: Photon Energy is in the process of becoming a certified balancing services provider, following its milestone achievement as the first independent aggregator listed by the Polish Energy Regulatory Office.
  
  
• Expanding market presence: the Company continues to grow its in-house Virtual Power Plant, enhancing value for solar, wind, biogas, water and battery assets by enabling their participation in Transmission System Operator services such as the Capacity Market and Ancillary Services in Poland, the Czech Republic, and Hungary.

About Photon Energy Group – photonenergy.com

Photon Energy Group delivers solar energy and clean water solutions around the world. Its solar power services are provided by Photon Energy; since its foundation in 2008, Photon Energy has built and commissioned solar power plants with a combined capacity of over 180 MWp and owns power plants with a combined capacity of 130 MWp. It is currently developing projects with a combined capacity of 1 GWp in Australia, Hungary, Poland, Romania and South Africa and provides operations and maintenance services for over 1.1 GWp worldwide. The New Energy business has electricity trading licenses in Poland, Hungary, the Czech Republic, Slovakia, and Serbia. The Company is one of the largest providers of DSR services to the Polish TSO with a contracted capacity of approx. 320 MW for 2025, and through its Virtual Power Plant (VPP) aggregates energy generators and consumers with a total capacity of over 480 MW. The Group’s other major business line, Photon Water, provides clean water solutions including treatment and remediation services, as well as the development and management of wells and other water resources. Photon Remediation delivers comprehensive environmental remediation solutions, including patented in-situ technology that has been proven to effectively remove PFAS from groundwater and soil. Photon Energy N.V., the holding company for Photon Energy Group, is listed on the Warsaw, Prague and Frankfurt Stock Exchanges, as well as XETRA, Germany’s leading online trading platform. Photon Energy Group is headquartered in Amsterdam, with offices in Australia and across Europe.