The regulator ERU has set electricity prices (ie, the regulated parts) for 2005. The distributors (five out of eight are CEZ-owned), collecting regulated distribution fee and a trading/supply fee (regulated only in the unliberalized segment), should not record a significant change in their performance in 2005, according to our estimate. Second regulation period starts in 2005, with modified setting of allowed revenues, prifitability and regulated asset basis (concrete data are not available).
Households, the only group which will not have a choice of electricity supplier in 2005 (will become eligible in 2006), will see end-price rise on average by 4.3% (the increase is set individually for each regional distributor). The trading fee (less than 2% of total electricity price) in this regulated segment is to rise by more than 6%, the total network service fee (45% of the total price) will rise by 3.24%.
Tomáš Gatěk, Patria Finance