Prague: The Czech government announced plans to acquire an 80% stake in the $18 billion Dukovany nuclear power project, marking a significant step in the country's energy sector development. The project involves the construction of two new units at the existing Dukovany nuclear power plant.

According to Anadolu Agency, Czech Prime Minister Petr Fiala revealed on X that the government had approved the financing method and would take over the majority stake from the Czech state utility company CEZ. The stake will be transferred from CEZ's subsidiary, Elektrarna Dukovany II (EDUII), which is responsible for the project's investment.

Fiala also mentioned the government's intention to finalize a contract with South Korea's KHNP by May 7 to build the new units. The project, estimated to cost 400 billion crowns ($18 billion) at today's prices, aims to have the first unit operational by 2036, as reported by the CTK news agency.

Czech Finance Minister Zbynek Stanjura, also on X, stated that the state would provide a loan to EDUII to cover construction expenses from the contract signing until the units are commissioned. Although specific details of the loan remain confidential, it is estimated to be around CZK200 billion per unit at 2024 prices. The construction of two units simultaneously is expected to reduce overall costs, and the loan is planned to be repaid over a 30-year period post-licensing.

The European Commission's approval of the loan is still pending, as per the CTK news agency.