As expected CEZ, together with other 10 investors, was short-listed in the tender for the three Bulgarian power plans (Russe, Varna and Bobov Dol) with a total capacity of 1,900 MW. Final bids are due on March 25. Based on the limited information regarding the power plants, we would be comfortable with a bid from CEZ not significantly exceeding EUR 100m.
In other news, Romania wants to sell the largest of the eight distributors, Muntenia Sud (which serves the capital Bucharest), in which CEZ may also be interested.
Also, CEZ released some details regarding the expansion of its coal-fired plants, which is in line with the company’s plan to replace its production capacities at costs of around CZK 150bn after 2010. In addition, NPP Temelin should increase its output by 3.8% y-o-y in 2005 as stand-by times together with operating efficiency should improve. However, the launch of its second block, originally intended to be reconnected yesterday, will be suspended due to drainage problems.