Veolia unveils a major project to phase out coal in Poland to support European decarbonization and strengthen energy resilience in Poznań

Veolia today unveils a flagship district heating project in Poznań: a multi-energy cogeneration plant that supplies  heat to  60% of Poznań's 560,000 residents. Thanks to an innovative technology, it has increased efficiency to 92% and significantly advanced decarbonization, reducing CO₂ emissions by 25%. This historic initiative in the city's coal phase-out strategy paves the way for the establishment of a completely coal-free district heating network by 2030, using biomethane, hydrogen, and other local energy sources. 
This is the biggest change in the history of district heating in Poznań, improving air quality, enhancing energy security, and ensuring a stable heat supply for the city's residents. 
 

Poznań – a model of heating network transformation

This project is a perfect example of effective decarbonization in district heating systems. Modern gas-fired cogeneration allows heat and electricity to be produced simultaneously, increasing efficiency and significantly reducing emissions. The new plant ensures stable deliveries and greater flexibility compared to coal-fired units.

In the coming years, Veolia will implement Phase 2 with innovative solutions to further reduce CO₂ emissions and increase the share of recovered and renewable energy, bringing coal consumption down to zero. The global energy leader will develop solutions using residual heat from industrial production, wastewater, and data centers. The next step in the project will be the construction of geothermal heating plants, which will provide a stable and renewable energy source covering approximately 20% of the city's heating needs. By 2030, Poznań's district heating network will be based on a diversified and decentralized energy mix, with coal having been completely eliminated from the energy mix.

Philippe Guitard, CEO Central & Eastern Europe Zone, Veolia: “The energy transition of more than 500 district heating networks managed by Veolia in Europe is a challenge of considerable scale. It requires local, flexible solutions that maximizes available resources. Today, we are witnessing a decisive step forward in Poznań. The investment made represents a key milestone in the energy transition of the district heating network in the capital of Greater Poland. It will enable the complete phase-out of coal from the Poznań system by 2030.” 

A strong support for city’s resilience and energy stability through flexibility 

This new unit not only supplies the district heating system but also supports the national power grid (KSE) through a capacity contract, ensuring readiness to operate during peak electricity demand. It strengthens energy security and facilitates the integration of renewable energy sources into the national system, stabilising variable output. Gas-fired, high-efficiency combined heat and power plants respond more quickly to load fluctuations than coal-fired ones, which is crucial in a system based on a growing share of renewable energy sources. 

Veolia, leader of ecological transformation is also investing in Smart District Heating Network projects that are currently being implemented, including infrastructure digitalization, sensors and remote control systems, as well as AI-based optimisation tools to predict heat and electricity demand, minimize losses, optimize supply temperatures, and integrate distributed energy sources in real time.

Jacek Jaśkowiak, Mayor of Poznań: "For years, Poznań has focused on modern and responsible solutions that improve residents’ quality of life and protect the climate.  This new energy unit is an important step toward completely phasing out coal, but the subsequent investments that will be carried out are equally significant. Thanks to our collaboration with Veolia, we are creating the district heating system of the future, ensuring supply security, price stability, and cleaner air. We  meet the needs of rapidly developing districts and demonstrate that Poznań is ready for the climate and technological challenges of the 21st century.”

ABOUT VEOLIA 

Veolia group aims to become the benchmark company for ecological transformation. Present on five continents with 215,000 employees, the Group designs and deploys useful, practical solutions for the management of water, waste and energy that are contributing to a radical turnaround of the current situation. Through its three complementary activities, Veolia helps to develop access to resources, to preserve available resources and to renew them. In 2024, the Veolia group provided 111 million inhabitants with drinking water and 98 million with sanitation, produced 42 million megawatt hours of energy and treated 65 million tonnes of waste. Veolia Environnement (Paris Euronext: VIE) achieved consolidated revenue of 44.7 billion euros in 2024. www.veolia.com 

 

VEOLIA GROUP IN POLAND

VEOLIA GROUP IN POLAND has been a reliable partner for industry and Polish cities undergoing ecological transformation for over 25 years. Building on its knowledge and international experience, it offers innovative environmental services and solutions that harness synergies and maximise the benefits of implementing the circular economy concept. Operating in three sectors – energy, water, and waste – it is involved in the production and supply of heat, the provision of district heating services for around 3 million customers, energy trading and sales, as well as water transmission and treatment. By continuously investing in the expansion and modernization of its infrastructure, it also develops modern services, including those aimed at improving energy efficiency and Total Waste Management, contributing to the sustainable development of the entire country.

Veolia in Poland employs over 4,600 people, whose mission is "Renewing the world’s resources." It operates in 123 towns and manages district heating networks in 58 cities. It operates through the following operating companies: Veolia Energia Polska (holding), Veolia Energia Warszawa, Veolia Energia Łódź, Veolia Energia Poznań, Veolia Term, Veolia Energy Contracting Poland, Veolia Industry Polska, Veolia EKOZEC, the Water and Sewage Company in Tarnowskie Góry, and their subsidiaries. www.veolia.pl

VEOLIA ENERGIA POZNAŃ continues a 120-year tradition of energy production in Poznań and a nearly 60-year history of the city’s district heating network, offering its customers innovative and tailored energy services. The company produces district heat and electricity through cogeneration and manages the district heating network. It supplies heat to around 60% of the city’s residents, as well as to industrial plants, public institutions, and commercial and service centres.