17.6.3. TRANSACTIONS WITH ENTITIES RELATED TO THE STATE TREASURY

As at 31 December 2020 and 31 December 2019 the State Treasury owned 27.52% of the ORLEN Group Parent Company's shares - PKN ORLEN and has ability to exert a significant influence on it.

The Group identified transactions with related parties with the State Treasury on the basis of “Companies with State Treasury share" from the website of the Prime Minister’s Office.

Above transactions were concluded on an arm’s length basis, were related to the ORLEN Group current operating activities and concerned mainly fuel sales, purchase and sales of natural gas, energy, transport and storage services.
Additionally, there were also financial transactions (loans, guarantees, bank fees, commission) with Bank PKO BP, Bank Pekao S.A. and Bank Gospodarstwa Krajowego (bank fees, commission).

In April 2020, PKN ORLEN, as part of the acquisition of control over ENERGA, purchased from the State Treasury 213.33 million shares of ENERGA, representing 51.52%. of its capital and representing approximately 64% of votes at the company's general meeting for a total amount of PLN 1.781 billion. Additional information in note 7.3.

At the end of 2020, PKN ORLEN and other companies from the ORLEN Group, instructed by the Prime Minister submitted under the decision issued pursuant to Art.11h section 3 and 4 of the Act of 2 March 2020 on special solutions related to the prevention, counteraction and combating of COVID-19, other infectious diseases and crisis situations caused by them (Journal of Laws of 2020, item 1842), involved in the preparation of temporary hospitals in Płock and Ostrołęka in order to provide additional beds for patients with COVID-19. The costs incurred in connection with the implementation of the temporary hospital construction project for 2020 to be reimbursed on the basis of contracts between PKN ORLEN and the State Treasury – the Minister of State Assets amounted to PLN 39 million. Additional information is presented in note 8.