Ivana Bednářová | archiv Veolia Energie
Veolia Energie is investing 20 billion Czech crowns in the Czech Republic as part of an ecological transformation. Group CEO Reda Rahma explains why the move away from coal is inevitable, what projects are already in operation, and why modern business means not only creating value for shareholders but for society as a whole.
As part of Veolia’s strategic programme called GreenUp, you are envisaging investments of 20 billion Czech crowns in the Czech Republic in an attempt to wean yourself off coal. What has led you to make such a significant investment?
It‘s simple – the world is changing and we have to change with it. Our recent global survey showed that 89% of people are certain that climate change is happening. But it’s not just about ecology. It’s about the whole business world changing. Companies today face pressure from all sides – customers demand sustainable solutions, banks make loans conditional on meeting climate targets, investors look for ESG strategies, emission allowances affect energy prices. Those who do not adapt will cease to be competitive. We decided to be one step ahead. GreenUp is not just a strategic programme, it is our ticket to the future.
What exactly does this transformation look like? Can you tell us about the projects that are already changing reality today?
One such example is our Elektrárna Kolín (Kolín Power Plant), where last year we abandoned lignite after 93 years of operation. It was a symbolic moment – the end of an era and the beginning of a completely new one. We invested 250 million and converted the power plant to biomass, specifically wood chips, which are produced as waste from logging.
Or our heating plant in Přerov, where we use sorted municipal waste that cannot be subjected to recycling and that would otherwise end up in a landfill as fuel to generate heat. We process 70 to 90 thousand tonnes of waste annually to generate heat and electricity for the town of Přerov. This is circular economy in its purest form – waste becomes a source of energy.
In Frýdek-Místek we also stopped burning coal during May last year, replacing it with a combination of natural gas and biomass. In Karviná we have completed the first stage of decarbonisation, where as of last year we have already installed five gas boilers. The next step will be the construction of a solid alternative fuel boiler, which is similar to the Přerov project. The project is worth about seven billion crowns, more than half of which will be covered by a Modernisation Fund grant.
What new technologies and services are you bringing to the market? What specifically can you offer those looking for modern energy solutions?
Darwin said that it is not the strongest who survive, but those who best adapt to change. And that’s exactly what I see in business today. We live in a time when being innovative is not just fashionable, but essential for survival. That is why we have recently strengthened our position in guaranteed energy savings, so-called EPC projects, through the acquisition of Advance Energo. Imagine if we came to a client and said: “We’ll make you save 30% on your energy costs, we’ll pay for the investment and you’ll pay us back from the savings.” The Bohnice Psychiatric Hospital is a perfect example – here we have designed and implemented solutions that will save the hospital 30% in their energy costs and almost 15 million Czech crowns per
year.
I would also like to mention our Domy sobě programme. These are photovoltaic systems for apartment buildings, where the home owners’ associations can use the roof of their house to generate electricity thus reducing energy costs for the entire building. We work on dozens of projects all over the country.
Companies today are no longer just service providers, but also community partners. How is this reflected in Veolia’s work?
That’s exactly how we see it. We are not just a heat supplier, we are part of the life of towns and villages. For us, partnership means not only being there for communities in good times, but also in times of need. When we faced floods in Moravia last year that inundated our key operations, we didn’t just deal with technical issues – we did our best to ensure that people were able to enjoy a hot shower after a hard day’s work as quickly as possible. Our people worked around the clock – many at the expense of not being able to attend to their own flooded homes.
But the partnership goes much further. There is the Veolia Foundation, which celebrated its 20th anniversary last year. During that time we have supported projects worth more than 270 million Czech crowns. It‘s not just charity – it’s an investment in the future of the regions where we operate. Our STARTER programme is a perfect example of this. We help small entrepreneurs and traditional craftsmen directly in the Moravian-Silesian, Olomouc and Central Bohemian regions. Since 2000, we have distributed almost 126 million Czech crowns among them and supported the creation of over 2,500 new jobs.
We also support educational programmes, open our facilities to students from technical schools and actively participate in events in our partner cities, be it children’s or sports days, concerts or anniversary celebrations. We are a partner that wants to thrive here with the community. If the city is doing well, we are doing well. When we invest in cleaner technologies, we improve the quality of life for everyone. This is the true meaning of modern business – to not only create value for shareholders, but for society as a whole.
