Yesterday was the official launch of the new CEZ "Rainbow logo" a graphic symbol of the Rainbow electricity which it had introduced recently. The Rainbow energy label stands for a wide range of various types of electricity which CEZ supplied to its customers, and which vary in terms of price and period of supply. Each individual type of supply has its particular colour and the entire package makes it possible for the consumers to choose the most convenient type of electricity, optimise consumption and reduce costs. In the future, CEZ is planning to use the "Rainbow energy" brand also for the supply of other types of energy, such as heat and gas.

Four colours of the "Rainbow logo" express the following four essential characteristics of the Rainbow electricity:

1. cost-effective CEZ is cutting down its prices for the next year. The company guarantees that the average price of electricity it will offer in 2002 will be lower than in 2001. For example its "yellow electricity" supply for the next year was sold to distribution companies for 73hellers/kWh, which is almost one quarter less than the average price this year,
2. reliable its technical background and expertise, the variety of its power plant sources, economic power and experience, all these features enable CEZ to guarantee steady and continuous electricity supply,
3. ecological all CEZ-operated power plants comply with the strict European environmental and safety standards,
4. Czech the energy is generated exclusively by Czech sources, in the Czech territory and with the assistance of Czech suppliers.

The colour-structured offer of Rainbow energy also implies the miscellaneous character of the power plants which generate the electricity. Each colour reflects not only a different product (a particular kind of electricity with specific supply period and price), but also the type of power plant which has contributed to the production volume."Rainbow electricity also represents the right to choose a particular electricity supplier and symbolises the upcoming liberalisation of the Czech electricity market," said the CEZ General Manager Mr. Jaroslav Mil, on this occasion. The beginning of the next year will start a considerable transformation of the Czech electricity market. As of January 1, 2002, consumers are not bound to purchase electricity from a single distribution society which operates in the particular territory. From this date on, the customers are entitled to a free choice of the supplier they want to buy energy from. "The implication for CEZ is that from the beginning of the next year we will be operating in a completely free market. It is only up to us, whether we will benefit from this opportunity," emphasised Mr. Jaroslav Mil and also added: "The public should know that CEZ is not a monopoly electricity producer and has been selling electricity for the same price over the past ten years.

However, it does not supply electricity to end customers."The existing legislation framework in the first stage of the liberalisation gives the right of free choice of a supplier only to those consumers whose annual consumption exceeds the volume of 40 GWh, i.e. power distribution companies and large enterprises. However, the gradual liberalisation of the Czech market will make this alternative accessible even for small and medium-sized enterprises and from the year 2006 it will be available even for households. By choosing CEZ as their supplier, the customers will benefit from the co-operation with a reliable partner that supplies inexpensive electricity.CEZ was the first company that started offering its electricity through a public tender. A total of three tenders has been held until today, and the offered electricity was not bought only by distributors, but also by dealers and several large companies functioning as end customers. Before starting to sell its electricity through a public tender, it had made a prior offer to the distribution companies, because they are bound to supply the electricity to their protected customers, which also include households. CEZ has already managed to sell 85 per cent of its volume for the next year.The principal objective of CEZ, which also entails the Rainbow energy offer, is to speed up the liberalisation process. This is because a faster progress of opening the electricity market will make it possible for the general consumer public to enjoy the advantages of the opportunity to choose their electricity supplier much sooner.

Ladislav Kriz, Press Officer