DECISIONS OF THE PRESIDENT OF ENERGY REGULATORY OFFICE PERTAINING TO ADJUSTMENTS FOR YEAR 2020 ISSUED FOR THE SUBSIDIARY POLENERGIA ELEKTROCIPEŁOWNIA NOWA SARZYNA SP. Z O.O.

The Management Board of Polenergia S.A. (“Issuer”) hereby reports about the issue, for the Issuer’s subsidiary, Polenergia Elektrociepłownia Nowa Sarzyna Sp. z o.o. (“Polenergia ENS”) a decision of the President of Energy Regulatory Office (“ERO President”) determining the costs of consumption of the collected natural gas and costs of the uncollected natural gas for 2020, in the adjustment period from 1 January 2020 to 1 June 2020, due to Polenergia ENS pursuant to the Act on the principles of covering costs generated by producers in relation to early termination of long-term power and electricity sale contracts in the amount of PLN 30,366,227.

Furthermore, the Issuer informs about the issue, for Polenergia ENS, of a decision of the ERO President determining the amount of the annual adjustment of stranded costs for 2020, in the adjustment period from 1 January 2020 to 1 June 2020 in the amount of PLN 3,964,267.

The Issuer acknowledges the agreed amounts as indisputable.

Legal basis: Art. 17(1) of Regulation of the European Parliament and Council (EU) No. 596/2014 on market abuse and repealing Directive 2003/6/EC of the European Parliament and Council and Commission Directives 2003/124/EC, 2003/125/EC and 2004/72/EC (Journal of Laws of the European Union L of 2014, No. 173, p. 1)