1. CZECH REPUBLIC Joined the EU on May 1, 2004
Joined the EU on May 1, 2004
Signatory to the Kyoto Protocol
Target renewable energy share
in 2010 : 8%
Additional RES capacity to be built
to meet the target : 3.7 TWh/yr
Biomass accounts for 80% of the
country RES potential
Phytomass Thermal Power Plant - 10 MWe

2. RES promotion in the Czech Republic
The Czech Government supports new RES erection through
Subsidized renewable electricity prices
Five-year tax holiday
Direct subsidies
Emission reduction units revenue
New RES Promotion Law in the context of full liberalization
of the electricity market in 2006, expected to get passed
this year, introducing the „green certificates“ concept
EU Structural Funds and other internal programs
Indirect support (human resources, SMEs, farming, …)
Phytomass Thermal Power Plant - 10 MWe

3. The Project Pilot project Steam condensing Rankin-Clausius power plant
Pilot project
Steam condensing Rankin-Clausius power plant
10 MWe net electricity supply
Main fuels: energy plants and grain straw
Supplementary fuels: wood chips,
food crop waste, …
Location: Industrial site in the outskirts of
Hradec Kralove, Czech Republic
Phytomass Thermal Power Plant - 10 MWe

4. Key Parameters Boiler rated heat output 42 MWt
Boiler rated heat output MWt
Turboset rated capacity MWe
Projected capacity utilization %
Gross electricity production MWh/yr
Net electricity supply MWh/yr
Fuel consumption t/yr
Fuel average heat value GJ/t
Emmision reductions tCO2/yr
Phytomass Thermal Power Plant - 10 MWe

5. Financial Parameters (€ mn)
(may change substantially after the technology supply tender completion)
Investment budget
Initial working capital
Annual revenues
(assuming the electricity price CZK 2.50 per kWh, with electricity
sales at the bottom of the expected range and with zero CO2
emission reduction revenues)
Annual operating costs
Operating Profit
Phytomass Thermal Power Plant - 10 MWe

6. Current State of the Project
Suitable piece of land secured
Positive master planning decision obtained
Technology supply tender announced
Building permit application being prepared,
the permit to be obtained by the end of 2004
Czech Government grant applied for
EU structural funds grant application being prepared
Negotiations with equity investors on-going
Phytomass Thermal Power Plant - 10 MWe

7. Fuel Supply – Energy Plants
Major fuel source in the long run
Hectare yield: 10 to 15 t/ha
Cropped area to fully cover the facility fuel demand:
8 000 ha
Ideal use of the land redundant for the food
production
The market in the Czech Republic to be established
yet
Phytomass Thermal Power Plant - 10 MWe

8. Fuel Supply – Grain Straw
Major fuel source in the first few years
Current oversupply in the Czech Republic expected
to grow in the view of the latest state agricultural
policy developments
New bio-ethanol promotion legislation => straw as
a waste
Phytomass Thermal Power Plant - 10 MWe

9. Fuel Supply Current Contractual Position
Preliminary agreements with ca 150 farmers and
a wholesale contractor cover the initial fuel
demand for a full capacity operation
Long term deliver-or-pay agreements pre-agreed,
to be executed after the facility construction
commencement
Fuel auction
to establish the biomass fuel market
to maintain optimal market prices in the long run
Phytomass Thermal Power Plant - 10 MWe

10. The Site 2.3 ha industrial site plot on the outskirts of
2.3 ha industrial site plot on the outskirts of
Hradec Kralove, Czech Republic
In the ownership of EGST
Master planing decision issued
May accomodate up to 3 units of the projected
size in the future
Phytomass Thermal Power Plant - 10 MWe

11. The Site - Infrastructure
Nearby 110/6 kV switching station, 200 m from
the plot border !
Two railway sidings
Favourable road-access location
Sufficient gas, electricity, water and sewage
capacity in place
No conflicts with the adjacent land owners and
satisfactory result of the hydro-geological,
emission dissemination, noice etc. studies.
Phytomass Thermal Power Plant - 10 MWe

12. Project Developer EGST, s.r.o.
EGST, s.r.o.
Main activities: turn key deliveries, design,
assembly, revision work and consultancy in the
field of protection, control and signalling
technologies for energy facilities of all voltage
levels, automation of the related processes
No. employees: 40
Annual turnover: EUR 1,2mil.
Phytomass Thermal Power Plant - 10 MWe

13. Other Stakeholders Ministry of Environment of the Czech Republic
Ministry of Environment of the Czech Republic
Czech Environment Fund
Ministry of Industry and Trade
of the Czech Republic
CzechInvest
EBRD
IFC
Commercial banks
Equity investors
Phytomass Thermal Power Plant - 10 MWe

14. Financial Model
Phytomass Thermal Power Plant - 10 MWe

15. Financial Model - case 1
This case is pessimistic variant of the Financial Model
IRR > 15 %
Phytomass Thermal Power Plant - 10 MWe

16. Financial Model - case 2
This case is optimist variant of the Financial Model
IRR > 30 %
Phytomass Thermal Power Plant - 10 MWe

17. Contacts EGST, s.r.o. Vsehrdova 293/28 500 02 Hradec Kralove
EGST, s.r.o.
Vsehrdova 293/28
Hradec Kralove
Czech Republic
Tel:
Mr. Zdenek Tetrev, Mananging Director
Mr. Ales Mitterko, Project Manager
Leonard Beitler, Financial Advisor
Na Orechovce 47
Praha 6
Tel.: , Fax:
Phytomass Thermal Power Plant - 10 MWe