CEZ A.S.

Westinghouse to Upgrade Temel_#237;n's Control and Monitoring Systems

In terms of technical complexity, it will be one of the most demandingprojects in the history of the

Czech Republic, worth billions of crowns. The important project must notdisrupt the operation of

the key Czech emission-free power plant. Selected control and managementsystems will be

partially renewed and upgraded by Westinghouse as their originalsupplier. Westinghouse has the

greatest knowledge of its system, apart from CEZ itself, whichstrengthens the safe course of the

upgrade.

In 1993, the Government decided to complete two of the four Temel_#237;ngenerating units that were under

construction and to replace the original system with Westinghouse's thenstate-of-the-art digital control

and management system. This was one of the world's first links betweenan Eastern and American

project. Since the first unit was commissioned, it has operated herewith only routine modifications and

updates. A part of the system will now undergo its first major upgrade.

"Although this is an upgrade of systems, negotiations with the existingsupplier took more than a

year. Our first priority is of course to ensure safety, but we alsoinsist that the work should not

affect the operation of Temel_#237;n itself. All this had to be carefullyprepared and formulated in the

contract," says Daniel Bene_#353;, Chairman of the Board of Directors andChief Executive Officer of _#268;EZ.

In practice, experts will replace some systems and some of the fixedequipment, including the buses and

control elements involved. Most of these are not only physicallyseparated from each other, but also from

all external networks.

"In fact, it is a complex of several independently backed-up systemsthat have been operating

reliably at Temel_#237;n since 2000. This upgrade is not a solution to asudden need, but a carefully

prepared step in the gradual renewal of the equipment with a view to theplanned sixty-year and

possibly even longer operation. This is why the entire project is spreadout until 2029," explains

Bohdan Zronek, Member of the Board of Directors and Director of theNuclear Power Division.

The contract for the control and management system upgrade was signed byrepresentatives of _#268;EZ and

Westinghouse on Monday, September 13.

"This agreement requires full cooperation at all levels during thecomplete renewal of the affected

parts of the control system," says Tarik Choho, President ofWestinghouse Europe, Middle East and

Africa. "We are proud to be working with _#268;EZ on this significant upgradeof information and

control systems that will not disrupt the operation of this key Czechemission-free power source,_quot;

he adds.

_#268;EZ has been preparing the control and management system upgrade projectfor three years, when

specialists specified the needs and, above all, the schedule of work.The physical work itself will start

together with Westinghouse this year, but some of the activities willonly be possible during the planned

major outages for fuel replacement. The next one is due at Temel_#237;n inApril next year.

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