Government plans further steps on Gabčíkovo Hydroelectric Plant

The termination of the contract by the state with energy utility Slovenske Elektrarne (SE) on operating the Gabčíkovo hydroelectric power plant is the first step taken by the state, with further steps to follow, Environment Minister Peter Žiga said on RTVS's talk show on Sunday. The Minister declined to provide further details on steps planned by the state. "Nevertheless, we're completely convinced that the planned steps will result in the contract being terminated, which has already been announced, and that there will be no compensation (to be paid to SE)," said Žiga. Former economy minister Juraj Miškov on the show described Žiga as an "agent for Italian company Enel", which owns 66 percent of SE, while the rest is in the hands of the state. According to Miškov, the termination of the contract has removed from SE the obligation to carry out a major overhaul of turbines at Gabčíkovo, which should cost €80 million in total. This overhaul now will have to be paid by the state. Furthermore, Enel may now demand compensation of hundreds of millions in euro for terminating the contract, said Miškov. According to Prime Minister Robert Fico, "It's a win-win situation for us. We can't lose anything, we only can gain," said Fico, adding that SE has violated the contract on running the Gabčíkovo hydroelectric plant, so the state shouldn't suffer any damage in terms of the compensation to be paid to the electricity utility.