Integration of Spot Markets of the Czech Electricity Market Operator and Prague Energy Exchange

PRAGUE - The Electricity Market Operator (OTE), as a traditional organizer of short-term electricity trading in the Czech Republic, and the Prague Energy Exchange (PXE) are going to interconnect their electricity market organization systems as of 1 April 2009.

From that date, participants in Prague Energy Exchange will be using its own terminals to take part on the Electricity Market Operator’s organized daily market (instead of the existing spot PXE market), which will provide continuous operation, alignment and settlement of daily electricity transactions in EUR.

The financial settlement will be carried out depending on through which terminal (OTE, PXE) the requirement is sent to the Daily Market.

Jirí Stastný, General Manager of the Czech Electricity Market Operator, said: “The primary objective of the integration is the pursuit of increasing the liquidity of the spot market in the Czech Republic and achieve greater transparency in respect of setting the electricity spot price in the Czech Republic.” David Kucera, Secretary-General of the Prague Energy Exchange, said in this respect: “A liquid and transparent spot market is a precondition for the introduction of financial products which we intend to introduce to the electricity market in the future.”

PXE will also terminate the calculation of the PXE Czech Day Base and PXE Czech Day Peak indexes by 31 March. Concerning the above mentioned, the electricity delivery price for a given day will, as from 1 April 2009, be derived from an index value which will be calculated based on the results of trading in the Daily Market.

Contact: Pavel Maxa OTE +420-605-133-111 Jirí Kovarík PXE +420-724-504-946

Source: Electricity Market Operator (OTE) / Prague Energy Exchange (PXE)

Contact: Pavel Maxa, OTE +420-605-133-111, Jirí Kovarík; PXE +420-724-504-946