Czech energy authorities have formally appealed a local court decision that temporarily banned the signing of a new nuclear power plant construction contract with Korea Hydro & Nuclear Power (KHNP), the nuclear industry reported on Tuesday.

Dukovany II Nuclear Power Company (EDU II), the state-backed entity overseeing the Czech Republic’s nuclear expansion project, filed the appeal with the country’s Supreme Administrative Court on Monday. EDU II is a subsidiary of CEZ, the Czech state-owned power utility, and oversees the construction of two new reactors at the Dukovany site.

The appeal follows a May 6th, 2025, ruling by the Brno Regional Court which granted a preliminary injunction requested by France’s EDF, one of the unsuccessful bidders in the project. The court barred EDU II and KHNP from signing the contract until a final decision is made in EDF’s administrative lawsuit challenging the bidding process.

As a result, a high-profile signing ceremony between the Czech government and KHNP, initially scheduled for May 7th, 2025, was abruptly canceled.

CEZ CEO Daniel Beneš noted on LinkedIn that the issue at stake extends beyond a single project and touches on the country’s legal stability and energy policy credibility. “We trust that the Supreme Administrative Court will issue a prompt decision,” he wrote.

Industry observers believe the court is likely to move quickly, given the project’s significance as a national infrastructure initiative, as a prolonged delay could result in losses worth hundreds of billions of won. If the Supreme Administrative Court sides with EDU II, it could drastically shorten the timeline for resolving the legal dispute and potentially allow the contract to proceed without waiting for the lower court’s final ruling.

For its part, the Czech government pre-approved the contract between CEZ and KHNP to ensure that the deal can be signed without delay once the injunction is lifted. While the Brno court’s decision did not explicitly validate EDF’s claims, it emphasized procedural thoroughness. The court cited the Czech Antitrust Office’s dismissal of EDF’s objections - noting that the agency lacked jurisdiction - as one of the key reasons for granting the injunction.

Separately, KHNP is planning to request legal relief from the Czech Supreme Administrative Court, citing damages caused by the project’s delay. KHNP stated that the situation poses serious harm not only to itself but also to the Czech national interest and expressed confidence that the Dukovany bidding process had adhered to transparent legal procedures.

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