Industry associations: Faster gas and renewable build-out will improve Czech energy security

An amendment to the Energy Act known as Lex Gas will speed up the construction of new gas-fired and renewable energy sources, which is key to ensuring Czechia’s energy security. Industry and sector association representatives said this in response to the Chamber of Deputies’ approval of the amendment today. They also highlighted further steps the government needs to take. The amendment will now be considered by the Senate.

According to Minister of Industry and Trade Lukáš Vlček (STAN), approval of the amendment is a major step towards ensuring reliable electricity supplies in the coming decades. „Gas will serve as a transitional but essential source as we move away from coal and towards nuclear power and renewable sources. This will ensure stable energy supplies for households and businesses and strengthen our energy security,“ the minister said. He also recalled the ban on so-called energy dumpers, which he said would prevent waste.

According to the Confederation of Industry and Transport of the Czech Republic, the law will significantly speed up the preparation and commissioning of new gas-fired power plants, which will be crucial for energy security given the expected end of coal use. The confederation particularly welcomed the establishment of specific conditions to speed up construction of gas-fired power plants with a total installed capacity of 100 megawatts (MW) or more. By contrast, it considers the abolition of the principle that requirements for the construction of technical infrastructure can be amended only through the Building Act and its implementing regulation to be inappropriate. The confederation says this will complicate the permitting of construction projects.

„By approving the law, we have taken a step in the right direction. It is now essential that, following the adjustment of conditions to speed up the construction of strategic infrastructure, the Czech government prepare and quickly notify capacity mechanisms for dispatchable sources, which will be just as important for the Czech Republic’s energy security,“ said Bohuslav Čížek, director of the Confederation of Industry’s Economic Policy Section.

The Renewable Energy Chamber also welcomed the approval of the Energy Act amendment, saying it will help make the construction of renewable energy sources in Czechia faster and more efficient. Among the specific measures it praised were the designation of wind farms with a capacity of 15 MW or more as energy security projects, improved auction support arrangements, new conditions for purchasing waste heat, the abolition of inspections for small-scale solar installations, and changes to the conditions for grid connections. The chamber, however, criticized the distinction between renewable energy plants based on their capacity, which it considers discriminatory.

The Union of Community Energy (UKEN) highlighted a minor change to the law that could complicate the development of flexibility. The amendment now allows distribution system operators to prohibit connected generators and consumers from providing flexibility if, in the operators’ view, this could threaten the security of the distribution grid. The union says it is unclear exactly what this means, potentially giving operators broad powers that are difficult to oversee. „Such interference with the provision of flexibility is contrary to European law and could harm the Czech energy market and consumers,“ said Eliška Beranová, head of UKEN’s legislative working group.