Orlen is reviewing its strategic goals in response to the changing economic and geopolitical landscape, but the company insists it is not abandoning its energy transition ambitions. The Polish oil and gas giant is analysing the pace and method of implementing its plans while keeping the overall direction unchanged, according to Sławomir Radoń, executive director for strategy and innovation at Orlen.
The debate over the future of the energy transition has intensified amid high energy costs, declining European competitiveness, and shifting geopolitical realities. Radoń told WNP.PL during the Rzeczpospolita Economic Forum that the trend towards renewable energy remains clear, but the question is about the speed and the path to reach the goal.
– The trend is not changing. We are heading towards renewables. The question concerns rather the pace of change and the way to reach the target – said Radoń.
Europe needs a more pragmatic approach
Radoń argued that Europe should critically reassess a transition model based primarily on regulations. He called for a more business-driven transformation, one less dependent on directives from Brussels.
– Europe should approach this more pragmatically, so that the transition is more business-justified and less forced by regulations – he said.
The Orlen executive rejected the idea that companies need regulatory impulses to act. He noted that European business has become too accustomed to having its direction set by administrators.
– We have got used to regulations forcing change, but it does not have to be that way – he said, pointing to the U.S. market where breakthrough projects emerged without prior regulatory support.
– Tesla was created because it was a good business idea, not because someone had previously created the right regulations – Radoń added, stressing that Polish firms are ready to take a more active role in the transition and should not wait for the EU to change rules or create better conditions.
Gradual decline of oil, massive investment plans
Addressing the future of fossil fuels, Radoń said forecasts of a rapid end to the oil era have repeatedly proved premature. He recalled that a decade ago the peak of global oil demand was expected much sooner than currently predicted.
– I do not know when peak oil will occur. Oil consumption will gradually decline, but it will be a very long process. We are talking about decades rather than a few years – he said.
Despite the turbulent environment, Orlen is not planning a strategic revolution. Radoń emphasised that the company’s role is to maintain financial stability and prepare for various scenarios.
– The strategy must now take into account a very broad spectrum of possible scenarios. You have to be ready for different variants of events – he said. The company is currently analysing its strategic targets in light of global changes, but this does not mean withdrawing from investments or transformational ambitions.
Radoń reaffirmed the scale of planned capital expenditure: – By 2035 we are talking about investments of 350-380 billion PLN. That has not changed.
Źródło: WNP.PL, Fot. WNP.PL
