European Union antitrust regulators have accepted an offer from CEZ AS, the Czech Republic’s largest power producer, to sell power assets to resolve a competition probe into whether it hindered rivals. “The divestiture of significant generation capacity will allow a new player to enter the Czech electricity market and to compete with the incumbent CEZ,” EU Competition Commissioner Joaquin Almunia said in an e-mailed statement. “This will benefit all electricity customers,” he said.
/We expect the sale of 800 MW brown-coal Chvaletice for 4,12 bln. CZK to Litvinovska uhelna should be sufficient for EU antitrust regulators. Therefore, we see the statement as slightly positive, nevertheless expected. Please note that much more important date for trading with CEZ shares is next Tuesday, 16th April – Bulgaria’s energy regulator will decide on the license held by CEZ and lawmakers in the European Parliament are due to vote on a European Commission proposal that would delay issuance of new carbon permits through 2015, temporarily restricting supplies in hopes of lifting prices.