CEZ PHOTOVOLTAIC POWER INVESTMENTS

Investment programme comprising a series of similar land-based, multi-megawatt photovoltaic power plants located in the Czech Republic.

The development of renewable energy capacity, using indigenous sources of energy, will support national and European targets for renewable energy generation and contribute to environmental and security of energy supply objectives. Electricity generation from PV sources will displace fossil fuel-fired generation and the associated emissions of CO2, NOX and SO2. Additionally, the investments included in this operation are situated in Convergence Regions (“Strictu Sensu” and “Phasing-In”).

The environmental and social impacts of the land-based solar PV installations are likely to be limited to visual effects. Based on current information, all projects under the investment programme fall under Annex II of the Environmental Impact Assessment directive (85/337/EEC as amended by 97/11/EC and 2003/35/EC), leaving it to the competent authority to decide on the need for an EIA in line with the Directive. The project shall comply with national and EU environmental legislation.

The promoter is a public undertaking in the sense of the Utilities Directive 2004/17/EU and would thus have to apply public procurement procedures accordingly. However, some of the schemes have been fully or partly developed by private entities and corresponding supply/works contracts may have been awarded prior to the project acquisition by the promoter. In these cases, publication of contract notices was not required. The Bank will ensure that suitable procurement procedures will be applied by the promoter and/or the borrowers.