| The EU's new ambitious plans to further reduce | | | | of a 10% biofuels target. |
| carbon emissions and increase sustainable | | | | CEZ is analyzing the reforms' impact upon valuing |
| generation also propose the integration of carbon | | | | its generation business, as are equity analysts, |
| capture and storage facilities within the power | | | | who argue that the external financial implications |
| generation model. However, this will significantly | | | | have not been fully considered and will propel |
| increase costs, which is expected to double retail | | | | power prices. The subsequent impact upon the |
| prices. The practicalities of these reforms are | | | | corporate model is also yet to be determined; |
| questionable, given the uncertain financing and | | | | however, with high capital (and sunk) costs, |
| risks involved. | | | | increased maintenance charges and the rising cost |
| The EU has launched a new package of reforms | | | | of capacity, the prospects look bleak. What is |
| aimed at reducing carbon dioxide emissions by 20 | | | | clear is that on the retail side of the equation the |
| of the energy mix and that biofuels should make | | | | consumer will inevitably make up the shortfall. |
| up 10 fuel mix target, for example the feasibility | | | | |