Czech Republic

Corporate income tax relief Tax exemptions

Direct cash grants

Job creation, training and retraining R&D tax allowance

The Czech Republic has a strong nuclear heritage, with six reactors currently generating about 37% of its electricity. It plans to extend the operating lives of existing plants and use decommissioned coal plants to introduce SMRs. The government has started working on an SMR roadmap, due in April 2023 but yet to materialise. EICDataStream is tracking three SMR projects worth a total value of US$1.5bn. In September 2022, national power company ČEZ and the South Bohemian Governor signed a contract to construct the first SMR at the Temelín nuclear power plant site by 2032. An initial geological survey has been completed. Except for this, plans for SMRs are in the early stages.

Who are the key players?

ČEZ has identified two coal-fired power plants at Detmarovice and Tusimice for two SMRs expected to be operational by the late 2030s. The state energy company is also exploring Prunérov, Ledvice and Melník as further potential SMR sites.

The Czech Republic has signed letters of intent for the construction of SMRs with Rolls-Royce, Holtec, the Korean KHNP agency, NuScale, EDF, GE Hitachi and Westinghouse, and there is a cooperation agreement with Ontario Power Generation in the field of nuclear energy with a specific focus on SMRs.

Why invest?

SMR nuclear opportunities include early-stage environmental assessments, feasibility contracts

SMR nuclear opportunities are likely to be focused on early-stage contracts

and other preliminary studies. The Czech government actively supports foreign investment and export activities through various initiatives, grants and incentives. Organisations including CzechInvest and CzechTrade offer valuable resources, expertise, and support to foreign businesses looking to enter or expand in the Czech market.

Romania could become the first country in Europe to deploy an SMR power plant. The Doicesti SMR project, sited at a former coal power plant, has moved to front-end engineering and design (FEED) works, and the plant is expected to come online by 2029. Headed by Nuclearelectrica, Romania’s partly state-owned nuclear energy company, the project will feature the NuScale VOYGR-6, producing 462MW of energy. The design is one of the most advanced in the world, with US approval gained in 2020.

The first simulator of the NuScale VOYGR SMR plant control room in Europe has opened at the University Politehnica of Bucharest in Romania to support the project.

US backing

The US Trade and Development Agency awarded a US$1.2m grant to identify and evaluate potential sites and US$14m for FEED. In May 2023, another tranche of funding was announced, led by the US and several multinational public-private partners from

Japan, South Korea and the UAE. A total of US$275m was reported, including US$99m from the US Export-Import (EXIM) Bank. The EXIM Bank and the US International Development Finance Corporation also issued letters of interest for “potential financial support of up to US$3bn and US$1bn, respectively, for project deployment”.

Who are the key players?

Nuclearelectrica has signed a memorandum of understanding with E-INFRA, Nova Power & Gas, Fluor Enterprises, Samsung C&T Corporation and NuScale Power to collaborate to implement NuScale SMR plants in Romania and across Central and Eastern Europe.

Why invest?

Supply chain opportunities include environmental assessments and geotechnical investigations for phase 1, and materials and equipment supply and engineering contracts for phase 2. Financial incentives for foreign investors include tax breaks, cheap loans and free public utility access. A new agency for investment and foreign trade will launch soon, incorporating InvestRomania.