27.2 Cash flows from investing activities

Purchase of property, plant and equipment and intangible assets

In 2019, the largest expenditure on acquisition of property, plant and equipment and intangible assets were made in the following segments:

• Conventional Generation – PLN 3,610 million, including:
  • Branch Opole Power Plant – construction of power units no. 5 and 6 – approximately PLN 776 million,
  • Branch Turów Power Plant – construction of new power unit – approximately PLN 762 million
  • Branch Turów Power Plant – modernisation of power units no. 1-3 – approximately PLN 171 million,
  • Branch Kopalnia Węgla Brunatnego Bełchatów and Branch Kopalnia Węgla Brunatnego Turów – expenditure on replacement of basic machinery and construction of conveyors in the company’s mines – approximately PLN 372 million,
• Distribution – PLN 2,181 million – connection of new customers and modernisation and expansion of grid, stations and lines.

In 2018, the Conventional Generation segment incurred expenditure of PLN 4,159 million, and the Distribution segment – of PLN 1,849 million.

Purchase of financial assets

Expenditure incurred in 2018, amounting to PLN 114 million, concerned mainly investments in Polska Grupa Górnicza, Bank Ochrony Środowiska S.A., ElectroMobility Poland and Investment Funds.

Recognition and release of deposits with maturity over 3 months

Companies in the Conventional Generation segment are obligated to hold funds in the Mine Liquidation Fund, which is collected and deposited as required by the Geological and Mining Law.