Ing. Marcel Kalakaj, Project Ambassador and CFO of Exclusive Networks, one of the world’s largest distributors of cybersecurity products and services, answers questions regarding the project’s financing.
What is the envisaged funding model for the project? Is it sufficient?
In the preparation phase, it is appropriate to consider multi-source financing options, including dedicated participation from a combination of alternative sources. Grants will undoubtedly play a key role in overall financing, making it crucial to secure and utilize them to their maximum potential. Another important financing component is bank loans, which Teplárny Brno will rely on in the subsequent implementation phases. Initially, the company plans to use self-financing in combination with investments secured by ČEZ, specifically for the construction of the heat exchanger station estimated at CZK 2–3 billion.
The implementation costs are estimated at approximately CZK 19 billion. What exactly does the project’s budget account for?
The economic viability of the project is a crucial consideration, given its exceptional importance and scale. Teplárny Brno is currently considering a total investment of around CZK 16 billion. However, this figure covers not just the construction of the hot water pipeline but also the associated technical infrastructure, such as the heat exchanger station, which will be mainly covered by ČEZ. Additionally, the costs of bridges and tunnels along the more than 42-kilometer route must be considered. Therefore, the hot water pipeline represents only one part of the total anticipated expenditures covered by the investment.
What is the project’s financial return?
The goal is to minimize dependence on gas and ensure safe, smooth, environmentally friendly, and emission-free heating for our citizens. At present, the parameters influencing the financial return – including contract pricing, subsidy amounts, loan terms, and interest rates – are still under review. Based on the current conditions, the project’s payback period is estimated to be approximately 25 years.