Czechia delays capacity auctions: first price bids in the first quarter of 2027 at the earliest

The Czech capacity mechanism, under which power plants would be paid for their availability from 2030, faces a new delay. According to a commentary published on 3 November by oEnergetice.cz, the Ministry of Industry and Trade (MPO) indicates that the first price bids could be submitted only in the first quarter of 2027, about a year later than announced in August.

What changed. Transmission system operator ČEPS launched the procedure in mid-August, with a main auction and two extraordinary supplementary auctions, Y-4 and Y-5. In September, at the ministry's request, the deadline for preliminary assessment applications was moved from 20 September to 18 November 2026. On 15 October, the MPO published a draft amendment that moves the Y-4 and Y-5 auctions from 2026 to 2027 and changes about 20 provisions; comments could be submitted until 30 October.

The official reason. René Neděla, deputy director for energy at the MPO, told Ekonomický deník that the delay aims to attract greater investor interest, because under the original conditions and timetable the capacity on offer risked going unused.

The numbers. The European Commission approved the mechanism on 16 July 2026, with an estimated budget of €3.1 billion to €6.2 billion financed through consumer charges, according to pv magazine. Contracts can last up to 15 years, and the first delivery period was set to run from 1 November 2030 to 31 October 2031.

What comes next. The oEnergetice.cz commentary welcomes some changes, such as ČEPS covering the costs of availability tests, but warns that a one-year auction delay may postpone equipment orders, financing and the start of construction. In Germany, the first round of its own capacity auction ended with 5,160 MW awarded, according to Ekonomický deník.

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