Resource Use and Circular Economy
In CEZ Group, various fuels and materials are used to generate and distribute electricity and heat. The consumption of fossil fuels and nonrenewable sources represents a material strategic impact of CEZ Group’s activities, the mitigation of which is the focus of CEZ Group’s strategic targets and actions. When purchasing resources, local sources of raw materials are preferred to minimize transportation distance. When selecting and using materials and resources, we respect the requirements or prohibitions on their use according to specific European regulations and directives (e.g., REACH Regulation, Regulation on Persistent Organic Pollutants, Directive on the Restriction of the Use of Certain Hazardous Substances in Electrical and Electronic Equipment, or Regulation on F-gases). Substitutes are being sought for substances of concern or of very high concern.
Circular economy, as a sustainable model of production and consumption that optimizes resource use, extends the life cycle of individual products, and reduces waste to minimum, has been implemented into CEZ Group culture, strategy, and business activities.
CEZ Group is aware of the growing importance of waste management and protection of finite natural resources throughout all its operations. Thus, waste is seen as a resource, and principles of circular economy are applied throughout all steps of waste management.
In line with VISION 2030, targets have been set for the shift away from the use of primary raw materials, i.e., a reduction in coal production, further decarbonization actions, and an increase in generation from emission-free sources. CEZ Group strives to uphold the life cycle of products and materials by maintaining their value in the economy as long as possible, minimizing waste generation, and maximizing recycling and reuse (circularity).
The partial targets to minimize the consumption of primary raw materials and increase the use of renewable energy sources are tied to the main activity of CEZ Group, i.e., generation of electricity and heat from coal and biomass.
One method to prevent waste generation and minimize the consumption of primary raw materials is to use coal combustion residuals (hereinafter referred to as CCR) in construction and for restoration. In this area, the ambition is to use at least 98% of all produced CCR. Combustion residuals and desulfurization products (a total of 4.607 million in 2024) are subject to regular testing and certification as part of waste prevention and are further used in as products. Of the above production, 99.87% of CCR was used. The precondition for achieving this goal in the coming years is sustainable quality of CCR, certification, and regular supervision of CCR quality.
In order to achieve the tasks under the Environmental Policy and meet the set targets in the area of resource use and circular economy, actions are being implemented with a priority on achieving climate neutrality. In addition to these actions, others are being implemented in the area of resource use and circular economy.
- Certified Environmental Management System
- Construction of a Waste-to-energy Plant in Mělník
- Take-Back of End-of-Life Products
- Waste Sorting to Meet the Waste Management Hierarchy
- On-site Regeneration of Transformer Oils
- Certification of Coal Combustion Residuals
- Disposal of Unneeded Assets
- Pre-Demolition Waste Screening
More information can be found in the Sustainability Report 2024.
The consumption of material resources is shown in the following overview. In addition to fuels, material resources include sorbents, material additives, oils, ferrous metals, and materialtechnological units (PV modules). Taking into account the nature of production, secondary raw materials are used in insignificant amounts, and not for the main generation activities. Water consumption as a material resource is presented in the chapter Water Resources of the Sustainability Report 2024.
In 2024, 6,600 tonnes of ferrous metals, 4,800 tonnes of ferric sulfate, 2,000 tonnes of hydrochloric acid, 1,500 tonnes of sodium hydroxide, 1,000 tonnes of oil, and more than 179,000 PVPP panels (solar modules) were also used. The weight of the resources for generation is based on measured data. Solid and liquid biofuels from biomass for the generation of electricity and heat or for transport come from resources that meet the sustainability criteria set out in the RED II/RED III Directive and are certified under voluntary systems (KZR INiG, SURE, IPCC). In accordance with the requirements of the RED II/RED III Directive for the application of the cascading principle of biomass use, fuels from biomass are used which cannot be used for purposes other than in energy generation. The preferential material use of biomass over its energy use is respected.
Information on additions, disposals and changes in the valuation of buildings and land is set out in Note 3 of the Notes to the Consolidated Financial Statements as at 31 December 2024. Additions to the buildings and structures asset class relate primarily to the acquisition of GasNet.
The main product of CEZ Group is the supply of electricity and heat, i.e., commodities to which the principles of the circular economy do not apply. In CEZ Group, products that meet the requirements of circularity are designed, especially in the field of lighting, building management systems, ventilation equipment, and heat exchangers, but these do not constitute material resource outflows. In terms of resource outflow, a significant item, with a volume of 4.607 million tonnes, are residues from the combustion of coal and biomass and from the cleaning of flue gases, which are greatly promoted for use in construction and for restoration. In 2024, 80.1% of CCR was used for landscaping and terrain shaping, and 19.86% of CCR was sold for other uses in the construction industry. A total of almost 511,000 tonnes of FGD gypsum were sold for the production of plasterboard and cement.
CEZ Group is aware of the growing importance of waste management. This waste is seen as a new resource and material, and the principles of the circular economy are applied throughout all steps of waste management. The waste management hierarchy, in order of importance from prevention, preparation for reuse, recycling, and energy recovery to disposal, is applied in all activities.
Data on waste and waste management are reported in accordance with Directive 98/2008 of the European Parliament and of the Council and Commission Decision 2014/955/EU on the list of waste by waste catalog numbers and recovery/ disposal codes, based on weighing at the time of transfer of waste to the recovery/disposal facility. Data are based on company-wide data collection and waste management data from the companies to which the waste was transferred.
The amount of waste generated and information on further waste management are recorded on the basis of weighing slips and entered into registration systems in order to avoid double counting. In relevant cases, waste is tested to verify its properties or to exclude hazardous properties. The data does not include wastewater or mass from mining that is used for remediation and restoration works. Waste production data is reported and checked annually by the competent public administration bodies.
In connection with the ongoing disposal of technologies and demolition of coal-fired power plants, increased generation of demolition waste has been recorded. We conduct pre-demolition waste screening for reusable and hazardous waste, and we manage demolition to maximize waste recovery.
Main Waste Streams
The main waste streams accounting for the majority of non-hazardous and hazardous waste from main generation activities:
Scrap metals including their alloys (iron and steel, aluminum, copper, cables, etc.).
Waste from wastewater treatment plants and clarifier sludge (suspensions of solid and colloidal particles of organic and inorganic substances in water).
Waste from power plants and other combustion facilities that is not recoverable, according to Regulation (EC) No. 1272/2008, fly ash is not classified as a hazardous substance. The substance consists of phases of glassy/ amorphous material and minerals containing SiO2, Al2O3, Fe2O3, CaO.
Construction and demolition waste (e.g., insulation, construction timber, waste plastics, mineral fibers, bricks, concrete, reinforced concrete from demolition and reconstruction of buildings, including excavated soil as part of construction work).
Waste engine, transmission, and lubricating oils and waste oil separators; these substances are sorted into categories according to their use for recovery, reprocessing, or energy use.
In 2024, 45% of generated waste was sent for recycling, 12% was recovered by other options and 41% was directed to disposal, and the remaining 2% of the waste generated represents waste stored year-on-year to be recovered or disposed of in the following year.
In 2024, waste generation increased slightly in connection with the demolition of coal-fired power plants, however, the increase was not as significant as in 2023. Apart from the demolition waste, which decreased compared to 2023, waste generation remained at the level of previous years. Hazardous waste accounted for approximately 4.1% of all waste in 2024.
The Czech Republic has a valid concept of radioactive waste and used nuclear fuel management (Government Resolution No. 597/2019), which ensures compliance with EU and international requirements considering management of radioactive waste. We manage radioactive waste at nuclear power plants in compliance with Act No. 263/2016 Coll., Atomic Energy Act. CEZ Group is committed to minimizing nuclear waste and reducing its volume. At both Temelín and Dukovany nuclear power plants, the liquid radioactive concentrate is immobilized in bitumen into a form complying with waste acceptance criteria for disposal. Solid radioactive waste is compacted at low pressure or incinerated, melted, and compacted at high pressure in facilities abroad.