PGE Polska Grupa Energetyczna S.A.

Report Publication Announcement • Dec 24, 2018

Publication of preliminary results of main capacity market auction forthe year 2023

With reference to the current report no. 41/2018, the Management Boardof PGE Polska Grupa Energetyczna S.A. ("PGE") notifies that on December22, 2018 PSE S.A. published preliminary results of the main capacityauction for year 2023, including the clearing price of 202,99PLN/kW/year.

At the same time, the Management Board of PGE discloses that totalcapacity obligation of 6 850 MW has been ultimately contracted forgeneration units owned by PGE Group. Capacity contracts have beenconcluded for one year.

The above clearing price is not a final result of power market auction.Final results are to be published by the President of Energy RegulatoryOffice on its website (in the section Biuletyn Informacji Publicznej) onthe first business day following 21st day after the close of capacityauction. Until then all capacity obligation contracts are conditional.PGE will update this current report only if the final results ofcapacity market turn out substantially different from preliminaryresults.

Total capacity obligation contracted for generation units owned by PGEGroup for the year 2023, including long-term obligations contracted inthe auction for the year 2021, amounts to 11 493 MW.