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Greening of the Czech Republic’s largest coal-fired power plant to start this year

International power group Sev.en Energy agreed with Czech utility company ČEZ on an earlier sale of the Počerady Power Station. With a capacity of 1,000 megawatts (MW), Počerady is the largest coal-fired plant in the Czech Republic generating annually about 6 terawatts-hour (TWh) of electricity by burning brown coal.

The acquisition was initially planned to be completed in 2024. The accelerated timeline will speed up the process of modernising and upgrading the plant to meet all emission standards by 2021.

“The purpose of this investment is to meet the EU’s and the Czech Republic’s most stringent climate and environmental requirements until the time when the Czech Republic obtains sufficient energy from other than fossil sources,” said Luboš Pavlas, CEO of Sev.en Energy.

The immediate overhaul of the Počerady Power Station is expected to help the Czech Republic to gain time for a safe transition to alternative energy solutions, such as the construction of a new nuclear power plant or other reliable and green energy capacities. According to Sev.en Energy, it will also be an important backup for the daily and yearly periods when mainly photovoltaic and wind power plants supply electricity on an intermittent basis.

Sev.en Energy will rely on its experience with the retrofits of the Chvaletice power station and the Kladno CHP plant for the planned upgrade of the Počerady Power Station. The group is considering using Microvel technology to capture particulates and other pollutants. Počerady’s Unit 6 will be the first to be overhauled. Sev.en Energy is discussing cooperation on this greening project with leading Czech universities, offering them the opportunity for applied research.

Dentons has advised international energy group Sev.en Energy on the acquisition. Commenting on the transaction, Dentons partner Petr Zákoucký said that the deal illustrates how a key energy player, acting responsibly and constructively, can contribute to both the energy transition and to the country’s security of supply.

The Czech Republic is the third-largest coal producer in the European Union, but an earlier than expected coal phase-out seems to be gathering pace. The country’s Coal Commission, by the end of the year, will determine when the Czech Republic will exit coal.

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