FILE PHOTO: Czech electricity producer CEZ's logo is seen next to an electricity pylon in front of the Ledvice coal-fired power plant near the village of Ledvice, Czech Republic, February 9, 2016. REUTERS/David W Cerny/File Photo

Czech watchdog rejects appeals in nuclear power tender

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PRAGUE :The Czech anti-monopoly office UOHS on Thursday rejected appeals by Westinghouse and EDF against a tender that chose South Korea's KHNP as preferred bidder to build new nuclear power units in the Czech Republic.

UOHS said it had either stopped proceedings in some appeals or rejected proposals brought by U.S. group Westinghouse and France's EDF, which had both challenged the tender run by a unit of state-controlled utility CEZ.

UOHS said the parties could still appeal the office's decisions, which were not final.

The Czechs plan to use the new nuclear power units, together with small modular reactors and renewable sources, to replace a fleet of coal-fired plants as well as some older nuclear reactors that are nearing the end of their lifespan.

On Wednesday UOHS had put a temporary block on the conclusion of a contract with KHNP following the challenges by Westinghouse and EDF. That block remains in effect until the office's decision comes into force, UOHS said on Thursday.

Part of Westinghouse's objections had focused on usage of a national security exception that suspended public procurement rules. UOHS said it terminated the appeal proceedings in this matter as the company should have filed objections immediately after learning of the procedure more than two years ago.

Other parts of the appeals were also terminated.

UOHS had started proceedings in September. CEZ has said the appeals would not delay the tender's timeframe, under which it seeks to conclude a contract with KHNP by next March.

The project, which is expected to be the country's largest-ever energy procurement deal, estimates completion of the first reactor by 2036.

Source: Reuters

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