WARSAW Jan 8 French group Alstom has placed the lowest bid - 3.8 billion zlotys ($1.2 billion) - to build a 450 megawatt lignite-fired unit for PGE, Poland's biggest utility.
A rival consortium of Japanese company Hitachi and Polish group Budimex bid 4 billion zlotys, the groups said on Tuesday.
Poland's coal-reliant energy sector requires heavy investment because many plants are way past their prime. The new unit at PGE's Turow plant is designed to replace older ones in the plant in five years.
Alstom's offer is more than 1.0 billion zlotys above state-controlled PGE's initial budget.
"I do not think that PGE will accept the offer. I am wondering whether it can be negotiated," said Maciej Hebda, head of research at Espirito Santo in Warsaw.
PGE was not available to comment. ($1 = 3.1497 zlotys) (Reporting by Agnieszka Barteczko; Editing by Dan Lalor)