US considers investing in Poland’s first nuclear power plant

(This article was updated on 3 January 2025)

The U.S. International Development Finance Corporation (U.S. DFC), America’s development finance institution, has expressed interest in investing in the first Polish nuclear power plant with an investment of more than PLN 4bn, according to Polskie Elektrownie Jądrowe (Polish Nuclear Power Plants – PEJ), the state-owned company tasked with building the plant, on 12 November. The plant, to be located in Lubiatowo-Kopalino in Pomorskie Voivodeship close to the Baltic Coast, will have an electricity generation capacity of up to 3750 MW.

Reuters reports that the total cost of the plant is predicted to reach about USD 40bn (c. PLN 165bn), meaning the potential US contribution would be about 2.5% of the total cost. 

There are different dates published concerning when the plant will be operational. The plant is due to be fully operational by 2040, says Reuters, with the European Commission (EC) stating that it is scheduled to start operating in 2030. In 2022 the Polish government announced the operation date to be 2033, which was amended to 2036 by Deputy Minister of Industry Wojciech Wrochna in December 2024, reports Nucnet, a Brussels-based industry title. 

The news about the US investment interest comes a month after Polish Prime Minister Donald Tusk commented on the urgency of the Polish economy’s transition from coal to sustainable sources, and the need to seek investment from the international financial community. Bloomberg reports that Poland’s reliance on coal has resulted in the country’s electricity prices being among the EU’s highest. 

Mark Brzezinski, U.S. Ambassador to Poland, described his country’s interest as a “symbol of our shared commitment to a clean and secure energy future” and declared that “the US is fully committed to supporting Poland’s energy transformation with strong backing from American financial institutions.” 

Agnes Dasewicz, Head of Investments at the US International Development Finance Corporation (DFC), stressed the geopolitical importance of the project: “DFC is committed to enhancing regional energy security throughout Central and Eastern Europe. This Letter of Interest is a step toward reducing regional reliance on Russian energy exports while also seeking to bolster economic growth and create jobs.” According to the press release: “DFC partners with the private sector to finance solutions to the most critical challenges facing the developing world today. It invests across sectors including energy, healthcare, critical infrastructure, and technology.”

The European Commission (EC) “has opened an in-depth investigation to assess whether public support that Poland plans to grant for a nuclear power plant in Lubiatowo-Kopalino is in line with EU State aid rules,” according to a press release on the EC website published on 18 December. 

The EC reports that the Polish government has declared it will cover 30% of the total cost of the first power plant, which – according to the EC – is estimated at EUR 45bn (c. PLN 192bn), almost PLN 30bn more than the figure quoted by Reuters.

The Polish government will also provide state guarantees covering 100% of debt taken by PEJ to finance the investment project; and a two-way contract for difference to provide revenue stability over the entire lifetime of the power plant of 60 years.

According to PEJ, American interest in Poland’s renewable energy strategy has also been expressed through the private sector. In 2022, PEJ announced that Westinghouse Electric, an American company, would build the nuclear power plant. The U.S. Export-Import Bank (Exim Bank) has declared interest in financing PLN 70bn towards the cost of the plant. 

“The involvement of this significant entity is not just of financial importance to us. It signifies the interest of the American administration in our project,” said Wojciech Rosiński, Financial Director at PEJ.