The Industry Ministry expects wholesale prices to rise by 8% next year, with prices for end customers rising by about 3%. Earlier this week CEZ said that the company is registering demand for wholesale electricity prices for 2006 at 10% or more above 2005 prices. However the price setting is done in two rounds, and the price in the second round is usually lower. In our model we expect the 2006 average wholesale electricity price to increase by 5-6%.
Separately, the National Property Fund said it is supporting the CEZ BoD proposal of a CZK 9/share dividend. CEZ is holding its AGM on Monday, June 20.