Polish Biomethane Gains New Momentum. Enea and the National Food Group Enter into Strategic Cooperation.

October 30, 2026

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(Enea Group) The Enea Group and KGS are planning to jointly develop biomethane projects. Combining the raw material resources of the National Food Group with Enea's energy expertise will create the foundation for biomethane production at Polish sugar refineries. A framework cooperation plan, paving the way for joint activities, was signed at the Ministry of State Assets.

The cooperation project involves preparing and evaluating a development model for a portfolio of biomethane plants with a total installed capacity of approximately 60 MW. It envisages the development of feasibility studies for six locations at seven sugar refineries owned by KGS. The signed framework cooperation plan – the so-called term sheet – outlines the directions of activities aimed at combining the potential of the agri-food sector with the energy and infrastructure competencies of domestic entities.

The inauguration of cooperation between Enea and the National Food Group was attended by: Wojciech Balczun – Minister of State Assets, Miłosz Motyka – Minister of Energy, Grzegorz Wrona – Deputy Minister of State Assets and representatives of the management boards of both companies.

"As an active owner, we recognize untapped potential and opportunities for creating business synergies. Today's agreement opens up new prospects for exemplary cooperation, combining the competences and experiences of entities from the energy and agri-food sectors. The synergy between Enea and KGS will enable the achievement of common goals, such as strengthening energy security and effectively transforming the sector. We are committed to green energy while reducing production costs and aligning with European decarbonization trends. We are pleased that once again, state-owned companies are setting an example of effective cooperation and becoming ambassadors for the country's economic development, " said Minister Wojciech Balczun .

The planned cooperation assumes the use of Enea's competences in the area of energy, energy transformation, financing and implementation of infrastructure projects and the potential of Krajowa Grupa Spożywcza SA in the field of agri-food activities, access to substrates, cooperation with growers and the possibility of utilizing by-products generated in production processes.

"Poland has the potential to produce billions of cubic meters of biomethane annually. Developing biomethane is an opportunity to strengthen domestic fuel production and better utilize the potential of the Polish economy. We have resources that can contribute to energy security. We need investments that will allow us to utilize this potential. Combining Enea's expertise with the resources of the National Food Group could pave the way for new projects that connect the agri-food sector with the energy sector. Such ventures will determine whether domestic capabilities will translate into mass-scale production of renewable fuel, increasing our country's energy independence, " said Minister Miłosz Motyka .

"This isn't just another letter of intent shelved. It's an example of local content in action. Two strategic Polish companies – Enea and KGS – are collaborating to develop the national economy, transform the energy transition, and support Polish agriculture. We also expect companies pursuing their business goals to undertake activities with broader economic and social significance, enabling the development of new competencies, technologies, and solutions. Modern installations will enable more efficient use of agricultural byproducts and waste, while diversifying KGS's operations, which is particularly important given the volatile economic climate in the sugar market. Enea will also benefit from this collaboration, strengthening its position in the green energy sector. From an owner's perspective, it is precisely these kinds of partnerships that we want to support – ones that benefit all parties involved while creating added value for the Polish industry and the entire economy ," emphasized Deputy Minister Grzegorz Wrona .

One of the main goals of the collaboration is to develop six projects enabling the production of biomethane – a total of up to 1.2 TWh per year. This fuel can be an alternative to natural gas, contributing to reducing CO₂ emissions and the carbon footprint of KGS's agri-food production.

" For the National Food Group (KG Spożywcza), this project is an opportunity to rationally utilize the resources we already have, while simultaneously diversifying our operations. One direction is to utilize the by-products generated in our production processes. We see distinct potential in the energy use of grain, based on our raw material resources and the opportunities for collaboration with growers and farmers. Biomethane production can also contribute to reducing the consumption of fossil fuels in our plants. Collaborating with Enea gives us the opportunity to jointly develop solutions that will be justified both economically and environmentally, " said Leszek Świętochowski, President of the National Food Group (KG Spożywcza SA).

For Enea, the cooperation means another step towards increasing the share of stable, controllable and renewable energy sources in its generation portfolio.

" Biomethane combines the benefits of renewable energy with the potential for stable use where natural gas is currently used. We want to combine the raw material resources of the National Food Group with Enea's expertise to jointly develop an effective model for the production and sale of this fuel ," said Stanisław Tokarski, Enea's Vice President of Commercial Affairs .

As part of the collaboration, the partners plan to conduct feasibility studies for six potential locations in two stages – initially, the first two with the highest investment potential. According to preliminary assumptions, each installation could produce approximately 18.2 million m³ of biomethane annually, generating approximately 200 GWh of renewable gas fuel. The final scale of the projects will depend on the results of technical, economic, environmental, and regulatory analyses.

"Each of the projects under consideration will be individually assessed for profitability, financing options, and long-term business value. We want to develop a model that will ensure efficient use of capital and responsible implementation of subsequent investments, while supporting the transformation of the Enea Group and creating lasting value for both partners ," said Marek Lelątko, Enea's Vice President of Finance .

Potential substrates used in future projects may include materials generated in agricultural and agri-food industries, such as manure, potato pulp, or sugar beet pulp. Analyses will help determine the optimal scale of projects and select locations with the greatest investment potential.

The signing of the framework plan marks the next stage of cooperation between the National Food Group and Enea. Further activities will be conducted with consideration given to the economic viability of the projects, the security of substrate supplies, technological conditions, and applicable regulations.

The partners assume that the biomethane plants will be hybrid in nature, enabling not only the production of biomethane but also the generation of electricity and heat for their own needs. The partners also do not rule out commercial production of biogas for cogeneration or transportation purposes, as well as collaboration with other entities. The main product of the projects is to be green gaseous fuel in the form of biomethane, which will have the potential to further decarbonize the energy sector and the agri-food industry.

The National Food Group is the largest state-owned entity in the agri-food sector in Poland. The company is a leader in sugar production, with an approximately 40% market share, and is also a significant producer of flour, starch, and processed fruit and vegetables. As a company of significant importance to the Polish economy, it carries out tasks related to ensuring the country's food security, combining tradition with modernity.

Enea is one of the leaders in the Polish electricity market in terms of electricity production and is responsible for the secure supply of energy to over 2.8 million customers. The Group manages the entire value chain in the electricity market: from fuel, through electricity generation, distribution, sales, and customer service. With its new Development Strategy until 2035, Enea is actively participating in the transformation of the energy sector and developing renewable energy sources. The Group combines the security of its current business with the consistent development of new sources that create future value. In doing so, it is guided by the principles of sustainable development and ESG. READ MORE