IFS Applications Makes Polish Utility More Cost Effective
Ostroleka Power Stations Group, situated in northeastern Poland about 120 km from Warsaw, purchased IFS Applications as a vital ingredient in preparing the company for the privatization process that has been commenced in Poland. IFS Maintenance, IFS Distribution and IFS Financials form the basis of the company's ambition to streamline budgeting, identify sources of costs and involve all levels of staff in running operations.
The Challenge
Since 1990 Poland has been undergoing a transformation in the ownership structure of its economy. New private businesses are developing, and many of the traditional state-controlled companies are being transformed into State Treasury Corporations (STC), which means that while the stock is 100% state-owned, the company operates on a commercial basis. Coupled to this are the new energy guidelines established by the Polish Cabinet in 1996 for implementing reforms in the energy sector, which allow third-party access to the national grid. The guidelines also seek to create a competitive energy market and promote environmental protection.
Ostroleka Power Plant is an STC, at present providing electricity for the national grid but eventually offering power direct to customers as well. And like other STCs, the transition from state control to commercial enterprise is one of the major challenges facing the company today. With a position among the top 15 of over 50 power plants in Poland, Ostroleka is a respected player in the market.