Czech Ministry of Industry and Trade prepares state energy trader to boost security

The Ministry of Industry and Trade (MIT) is preparing to establish a state energy trader. It is intended primarily for purchasing gas and, potentially in the future, other forms of energy as well. Among other things, the aim of the state trader is to increase energy security and strengthen the state's influence over gas stocks in the Czech Republic. Industry and Trade Minister Jozef Síkela (STAN) told reporters today.

The state energy trader will be able to negotiate directly with European gas suppliers, which could allow the Czech Republic to buy gas at lower prices. The state trader is to purchase gas for the state's needs.

For example, at the government's instruction, the state has already purchased gas for the state material reserves for the first time. The authority bought 2.4 terawatt-hours (TWh) of gas for storage at a cost of CZK 8.5 billion. According to Síkela, gas in the material reserves is intended only for purposes decided by the state. In the future, he said, these stocks will form the basis for further measures that the Czech Republic will adopt not only to increase energy security, but also to make life easier for households. “We want to continue these purchases, but we want to do so systematically,” Síkela said.