Brussels approves Czech system for construction of new power generation sources

The European Commission has approved a Czech system of “capacity mechanisms” for the construction of new power generation sources, it said on Thursday. Under this system, the government is expected to guarantee investors – via state aid – at least a partial return on their investments in new power generation sources in the coming years.

Establishing capacity mechanisms was one of the priorities of the Czech coalition government in the energy field.

The scheme is intended to ensure a year-round supply of energy in the grids, even during periods of peak demand.