Projected Costs of Generating Electricity - OECD Nuclear Energy ...

Natural gas – combined cycle gas turbine (CCGT)
The 580 MW CCGT falls into the largest-size gas-fired power plant category being built in Canada. It
consists of two state-of-art gas turbines and a single steam turbine to achieve high efficiency and low
emissions.
Clean coal – supercritical pulverised coal combustion (PCC)
The supercritical PCC uses a single supercritical boiler and a high efficiency turbine. It includes a dry
flue gas desulphurisation (FGD) unit for removing sulphur dioxide from fuel gas, low nitrogen oxides
burners and a high-efficiency dust-collection system, using fabric filters to reduce particulate and
associated mercury emissions.
Czech Republic
Electricity production in the Czech Republic is based on all the basic types of power plants. The highest
share of total generation is produced by coal-fired plants (64% in 2003, domestic coal) and two nuclear
power plants contribute a significant share (31% in 2003). Power plants with natural gas combustion in
2003 cover only about 3%, hydroelectricity plants in 2003 had a share of approximately 2%; the share of
other sources (renewable sources, wind, solar) is minimal. The total production in 2003 was 83.2 TWh.
The Czech Republic is a significant electricity exporter – 17 TWh were exported in 2003.
The biggest electricity producer is a joint-stock company called CEZ, a.s., whose share in the total production
is approximately 75%. It operates the two nuclear power plants, as well as 15 coal-fired plants
and 13 hydroelectric plants, 7 of them being small ones.
As of 1 January 2002, the Czech Republic has started, in accordance with the “Energy Act”, to gradually
deregulate the electricity market, which is based on regulated access to the grid and to the distribution
systems. Electricity market members are: producers, grid operators, distributors, market operator,
commodity stock-exchange, businessmen and end customers. Enterprising in energy branches within
Czech Republic territory is allowed only with a special license issued by the Energy Regulatory Office.
Since 2002, the first group of end customers with annual consumption higher than 40 GWh has the status
of eligible customers, authorised for access to the national grid and to the distribution systems, having
the right to select their electricity supplier. From 1 January 2006 all end customers will become eligible
customers. Since 1 January 2002, the government regulates electricity prices for protected customers,
as well as the electricity transmission and system service prices. With regard to the trend of increasing the
share of renewable sources in the electricity production, the Energy Regulatory Office sets the purchase
prices for electricity produced from these sources (such as small hydroelectric plants, wind and photovoltaic
plants, biomass combustion – separately and in combination with fossil fuel). These prices are
markedly higher than usual electricity prices; however, the distribution companies are obligated to buy
the production from these sources.
At present, the Czech Republic is preparing an act, expected to become valid as of January 2005,
in support of using energy from renewable sources. The act is based on the European parliament and
European Council Directive 2001/77/EC “Support of electricity production from renewable sources under
conditions of the unified energy market”. The basic target of this act is for “renewable electricity” to reach
8% of national production by 2010.
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