The Czech government reiterated that domestic suppliers will have a 60% share in the CZK407bn (16.4bn) project to construct two new blocks at the Dukovany nuclear power plant (NPP).

“I am not afraid we would not reach that,” Czech Minister of Industry and Trade Lukáš Vlček told the Czech Press Agency (ČTK) and other media at a press conference on June 9.

Vlček made the comments just days after the Czech side signed the contract for the Dukovany extension with South Korea Hydro & Nuclear Power (KHNP) following the Czech Supreme Administrative Court (NSS) removing the blocking of the contract on June 4.

Vlček also said that 30% is already guaranteed by the subcontracts signed last month.  

As bne IntelliNews has covered, the signing of the contract between KHNP and EDU II, the joint venture of the Czech state and the majority state-owned energy utility ČEZ, was blocked by a preliminary measure issued by the regional court in Brno last month, after one of the unsuccessful bidders for the Dukovany project, French Électricité de France (EDF), filed a lawsuit against the selection of KHNP.

At a press conference, Vlček also stated that elections in South Korea won’t have any effect on the KHNP commitment to the tender.

“The project has excellent political backing in Korea. We have a strong response across the whole political spectrum,” Vlček was quoted as saying by ČTK.

The Czechs rushed in to sign the contract with KHNP amid speculations about enduring legal battles, and while the KHNP offer was still valid before the end of June.  

In a separate development, Czech media reported that the European Commission is conducting a preliminary review of the Dukovany tender, including a potential breach of the EU’s foreign subsidy rules.  

Last month, European Vice President for Prosperity and Industrial Strategy Stéphane Séjourné also requested from Czech Minister of Industry and Trade Lukáš Vlček that the Czech side wait to sign the Dukovany contract with KHNP.

Last summer, ČEZ, which is responsible for the tender, recommended that the Czech government pick KHNP as the contractor for the building of two nuclear units at Dukovany, with potentially another two units at the younger Temelín NPP to be built later. ČEZ has already spent CZK3.6bn (€141mn) on preparatory works.

As per media reports, EDF also objected to the lack of transparency in the contract proceedings, which were exempted from public tender on security grounds. EDF’s lawsuit came after the country’s antitrust office, ÚOHS, turned down the complaint filed by EDF against the selection of KHNP in its final ruling.