27. 8. 2024

Another step forward in the modernisation of the Czech energy sector: the government and ČEZ enter into a security agreement for the development of small and medium-sized modular reactors

After the government decided on the preferred contractor for the construction of two new nuclear units at the Dukovany Nuclear Power Plant, it is now taking another step forward, to secure a sufficient supply of electricity at affordable prices for future generations. The security agreement approved by the government will make it possible to secure the state’s security interests, by selecting a future partner for the development and construction of modular reactors in the Czech Republic. This document, required by the Low Carbon Act, precedes the selection of the contractor proper.

“Our efforts to develop nuclear energy in the Czech Republic are not limited to the successful tender for new units in Dukovany and preparation of new sources for the Temelín site. Small and medium-sized reactors can constitute an integral part of the country’s future energy mix. They can provide consumers and companies not only with electricity, but also with heat, replacing the end-of-life coal facilities,” says Minister of Industry and Trade Jozef Síkela, adding: “Furthermore, the programme for the construction of SMR offers a great opportunity for the Czech economy – the production of nuclear facilities and substantial involvement in the supply chain, similar to large units. The contract we have entered into with ČEZ will guarantee that the state’s security interests are safeguarded in their development.”

The agreement guarantees that the state’s security interests will be safeguarded, as they are in the construction of large nuclear units. The investor’s obligations include providing the state with information about the selection of the SMR contractor and enabling the state to secure its security interests through a so-called security requirement.

“Nuclear power is a secure, stable, reliable, and clean source of energy. Small and medium-sized reactors can serve as a suitable supplement of large reactors, helping to maintain the country’s energy security and self-sufficiency. We assume that new nuclear sources, including modular reactors, will also be significantly represented in the State Energy Policy that is currently being completed and that bases the country’s long-term energy mix on a combination of nuclear and renewable sources,” says Daniel Beneš, Chairman of the ČEZ Board of Directors and CEO.

ČEZ Group plans to build its first modular reactor near the South-Bohemian Temelín nuclear power plant. It should be built before the commissioning of the new large Czech nuclear unit that is planned to be built before 2040. In its preparation, ČEZ is cooperating closely with the South-Bohemian Region and ČEZ’s subsidiary ÚJV Řež.

ČEZ is also exploring other locales for the erection of the second and third SMR. These include the sites of the Dětmarovice and Tušimice power plants, which are currently undergoing intensive exploration and monitoring work, before it is definitely clear whether they are suitable for the deployment of a nuclear source.

Modular reactors can be mass-produced in factories and then several can be gradually concentrated at one site, one unit at a time. In their preparation, it makes sense to place SMRs on the sites of existing coal-fired sources, where they can generate not only power, but also heat for the central heat supply systems in these regions, which are now being supplied by the end-of-life coal-fired power plants.

The Government of the Czech Republic has recently approved a plan of the Ministry of Industry and Trade that includes the use and economic benefits of small and medium-sized reactors (SMRs). This plan anticipates the inclusion of SMR in the State Energy Policy and Regional Development Policy of the Czech Republic, defining possible investor models and prospective sites for development, and recommending legislative changes to foster the preparation of sites for SMR constructions in the first half of the 2030s. The plan also provides for government support for the development of nuclear energy on the European level, making the Czech Republic a leader in the field.

The Ministry of Industry and Trade is also taking specific steps to make it possible for Czech companies to join global supply chains and to support strategic investments and innovations in the Czech nuclear industry.