Oroszlány Power Plant to Be Restarted by Veolia

The Hungarian Veolia Group has acquired the power plant in Oroszlány, west of Budapest, from the electricity MVM Plc., and the plant will be restarted in early 2024, the company told the state news agency MTI.

According to the information, the two units of the plant, each with a capacity of 50 megawatts (MW), will generate electricity by burning biomass and, to a lesser extent, prepared separated waste (SRF) after the equipment is refurbished.

The project would create 200 jobs at the plant and 250-300 jobs at the suppliers, and the investment would contribute to Hungary's international commitments to reduce carbon dioxide emissions, they said.

The Oroszlány site of the Vértes Power Plant Plc. is Hungary's fifth largest coal and biomass-fired power plant and has been out of operation since December 31, 2015.

The plant could not operate after that date due to the tightening of environmental standards. MVM had previously planned to convert the Vértes power plant to waste-to-energy fuel due to the tightening of environmental standards, but this did not materialize due to technological and legal constraints.

The parties have not disclosed the value of the current sale, but MVM has previously estimated the value of the units that could be used at the plant after 2016 at more than HUF 10 billion.

Veolia is a leading player in the Hungarian energy market with more than 30 years of experience. The group's energy business supplies energy to more than 60 state and municipal institutions, 66 health and social institutions and 57 industrial sites, and as a district heating provider it provides heating for more than 270,000 district-heated homes and public buildings in 14 cities, according to the company's website.  The group has ten power plants with high-efficiency natural gas-fired and renewable energy – biomass – units, and a significant share of the regulatory market thanks to its virtual power plant. The electricity sold by the group annually covers the annual consumption of nearly 623,000 inhabitants. Last year, the business generated revenues of HUF 226 billion.