The Czech Post will receive 4.5 billion from the state for its services

The state currently owes Czech Post CZK 4.5 billion to cover the cost of providing universal service between 2018 and 2020. It cannot pay the money because it is subject to notification by the European Commission as state aid. This was said by the chairwoman of the Czech Telecommunications Office (ČTÚ) Hana Továrková.

The Post Office is legally entitled to be reimbursed for the net cost of providing the essential services set out in the postal license, up to a maximum of CZK 1.5 billion a year. The vital services that the license holder must provide throughout the territory at a regulated price include, for example, the delivery of ordinary or registered letters or postal orders.

The ČTÚ approves the payment amount based on statements from the post office. In recent years, the claim has consistently exceeded the maximum possible amount. The authority plans to launch a new postal license holder tender for 2023 and 2024 next spring. The selection should take place by the end of June.

In recent years, Czech Post has been losing money. This year expects a loss of around CZK 800 million, which is, however, about half a billion CZK lower than in the previous year. The post office operates 3,200 branches and employs around 27,000 people.