The lower chamber of the Czech Parliament yesterday overrode the Senate veto of the new energy law, therefore passing the law. The Senate veto in October contributed to CEZ’s stock weakness over the last couple of months for fears that a delay in this crucial piece of power-sector legislation could complicate CEZ privatization (on the day of the Senate veto, the stock lost 4%). The lower chamber needed just a simple majority to override the Senate veto, and approval of the energy law was therefore seen as the likely outcome. The law envisages a gradual opening of the electricity market to competition over 2002-2006, with third-party access being the model of competition. The news of the law’s approval may help the stock, though this effect will likely be limited.