The planned construction of new nuclear reactors at Czechia’s Dukovany plant has come to a halt after the country’s Anti-Monopoly Office issued a preliminary measure to halt the progress of a contract with South Korea’s KHNP.
The decision follows formal complaints from the losing bidders, EDF of France and Westinghouse of the US, that the recently completed tender process lacked transparency and fairness. This is preventing Czech state-owned energy company ČEZ from signing the contract with KHNP until the anti-monopoly office can assess the merits of the complaints.
“The issuance of preliminary measures does not indicate how the case will be decided,” the anti-monopoly office said, describing the decision as “a standard step for procedural assurance” in cases where a final ruling has not yet been made.
For EDF and Westinghouse, the measure provides a window of opportunity to challenge KHNP’s selection, which they argue may not be in accordance with the principles of fair competition.
“EDF acknowledges the decision made by the Office for the Protection of Competition (ÚOHS) concerning the ongoing proceedings related to the Dukovany project tendering process,” the company said in reaction sent to Euractiv.
“EDF fully respects the work and process led by ÚOHS and will cooperate as needed in the upcoming steps.” Yet due to the confidential nature of the process, EDF declined to comment further.
As previously reported by Euractiv, EDF also asked the European Commission to investigate foreign subsidies and review Czechia’s decision to award a nuclear reactor contract to a South Korean supplier.
Meanwhile, ČEZ is defending its choice of KHNP, insisting that the tender process was compliant and invoking a security exemption that allows it to bypass standard procurement rules if there are security concerns.
Negotiations between ČEZ and KHNP are indeed ongoing and concern the form of the final contract, ČEZ spokesperson Ladislav Kříž told Euractiv.
According to the current timetable, the contract should be ready to be signed by 31 March 2025.
“It can be expected that by that time, the ÚOHS will be able to make a decision in the proceedings so that the signing of the contract is not delayed,” the ČEZ spokesman added.
Czech Industry and Trade Minister Lukáš Vlček (STAN, EPP) admitted that the preliminary measure presented “a certain complication”, although he said it was not a major obstacle to the tender.
(Aneta Zachová, Paul Messad | Euractiv.cz, Euractiv.fr)