Those prepared will profit: Capacity mechanism changes Czech energy market rules

The Czech electricity market is facing a fundamental change. Alongside revenue from electricity sales, balancing services or flexibility, a new source of income is to emerge – a payment for capacity availability. In July 2026, the European Commission approved the Czech market-wide capacity mechanism as the first mechanism of its kind under the new CISAF (Clean Industrial Deal State Aid Framework).

Over the summer, Czech preparations moved from European approval into the implementation phase. On 6 August, the Ministry of Industry and Trade (MPO) issued a measure of general application setting out the mechanism’s basic conditions. ČEPS is preparing the detailed rules, and the first capacity auctions are due to take place later this year.

According to ČEPS’s current timetable, prequalification will take place in September 2026, auction bids will be submitted in October 2026, and the auction evaluation is to be completed during October 2026. The first delivery period will run from 1 November 2030 to 31 October 2031.