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Alpiq wins arbitration proceedings against the Polish PGE

In arbitration proceedings between Alpiq Ltd. (Alpiq) and the Polish energy group PGE, the International Arbitral Centre of the Austrian Federal Economic Chamber (VIAC) has ruled in favour of Alpiq in the matter of a compensation payment of euro 43 million (approximately CHF 52 million) plus interest.

Following long but ultimately unsuccessful negotiations, Alpiq Ltd. filed a request for arbitration in 2009 thus asserting its claim resulting from a breach of a long-term electricity supply contract with PGE. The VIAC arbitral tribunal supported Alpiq’s position with respect to the essential parts of the claim. The amount awarded still has not been received, even though the arbitral award by VIAC is binding for both parties and can only be contested by lodging an extraordinary appeal.