TNBiz (TNBiz)
Markets  |  August 22, 2012 11:40:16

Ministry of Finance wants to pay a guarantee electricity prices for Temelín

PRAGUE (MEDIAFAX) - Low prices for electricity from new nuclear power plants do not like the Treasury Department, which fears the impact on the budget of the Czech Republic for the construction of two blocks of Temelin. According to the Ministry of Trade and Industry but any fluctuations in the price paid by the consumer, reported on Wednesday server

In the text of the new Energy Policy of the Czech Republic, which came from the Ministry of Industry to comment on other ministries, there is talk of the possibility of introducing "a mechanism of compensation for new carbon-free sources, which would allow to stabilize the final price of electricity."

Experts agree the same time that this task just directs to a system not unlike the existing government support for renewable sources, which would result in ensure guaranteed prices promoted by the ČEZ Group as one of the possibilities of state guarantees for investment in the estimatedworth 200-300 billion.

CEZ Group CEO Daniel Benes in March came up with the idea that the state could at Temelin provide fixed selling price of electricity with the fact that if the market price fell below a certain threshold, the state would be at CEZ's Temelin new production pay the price. If on the other hand, the market price is higher than the specified threshold guaranteed, that CEZ would pay the price difference to the Treasury.

Those interested in Temelin are Areva, a consortium of Westinghouse Electric Company, LLC and Westinghouse Electric and a consortium of Czech companies ŠKODA JS, Atomstroyexport and Gidropress that submitted their bids until Monday deadline. Participants in the tender promise 70 percent of Czech companies in the contract, which is due out at least 200 billion.

The parent company and core group CEZ electricity producer ČEZ, which in 1992 founded the National Property Fund of the Czech Republic. Besides the production and sale of electricity is one of the activities of CEZ Group and telecommunications, informatics, nuclear research, design, construction and maintenance of energy facilities, mining or processing of by-products. CEZ Group currently ranks among the three largest producers of heat in the Czech Republic.

Jan Soukup,

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