The current Minister for Trade&Industry, Martin Riman, in an interview for Hospodarske noviny daily said that both ODS (Civic Democrats) and CSSD (Social Democrats) have very similar view on the electricity issue in the Czech Republic. This should include review of the current mining limits an completion of nuclear power plant Temelin; i.e. additional two blocks of 1,000MW capacity each.
Our view:
Both ODS and CSSD have been in favour of breaking the current mining limits, which would be positive for CEZ and its renewable program and production capacity mix given low price of lignite coal. In addition, extension of NPP Temelin would also be positive given low variable costs at the nuclear power plants. Note that CEZ should prepare its strategic plan for capacity renewal/replacement by autumn this year.