European Commission approved nuclear standard and proclaimed NPP Temelin as safe. Declaration should help into long last dispute between Austrian and Czech side. Austrian mainly ecology organizations tried to force Temelin to improve its safety.
Separately, according to CBW weekly Verbund plans to trade electricity in Czech Republic. It is part of its broader expansion in the region as it already started to trade lower volumes of electricity in Slovakia. In non-specified longer term Verbund plans to buy generation assets there. We view news as neutral for today’s trading with CEZ and reiterate our Buy recommendation with fair value CZK 1,030.