Industry Minister Ahn Duk-geun speaks at a parliamentary audit at the National Assembly in Seoul, Oct. 7. Yonhap

Industry Minister Ahn Duk-geun on Monday defended that a nuclear plant project in the Czech Republic is sufficiently profitable, denying allegations that Korea's consortium became the preferred bidder in the bid for below market prices.

"We have secured sufficient profitability. Even considering all situations, it has enough economic value, and there are no other projects that can match it in terms of profitability in the nuclear energy industry," Ahn said during a meeting with reporters.

His remarks came amid allegations that the project could result in a deficit due to the Korean consortium's dumping in the recent Czech nuclear power plant bid.

Korea's consortium, led by the state-run Korea Hydro & Nuclear Power, is currently seeking to finalize a contract to build two nuclear reactors in Dukovany, after being selected as the preferred bidder in July.

If finalized, the deal — estimated at around 24 trillion won ($17.7 billion) — will mark Korea's second nuclear power plant export, following a deal with the United Arab Emirates (UAE).

"Compared with other domestic nuclear plants or the UAE nuclear plant project, the budget for the Czech project is significantly higher, and we can initiate the project with sufficient profitability," Ahn said.

Ahn also dismissed allegations that Seoul promised a long-term and low-interest loan to Prague.

"It is regrettable that some consider trade finance as some kind of special treatment, when it is merely a necessary arrangement," Ahn said, noting that the government only expressed a non-binding intention to provide support when necessary.

During the meeting, Ahn also said the government will review measures to support the local chip industry amid growing concerns over the competitiveness of Samsung Electronics.

"Recently, there have been concerns about Samsung Electronics' competitiveness in certain areas, such as the high-bandwidth memory sector, but we will find ways to provide support and promptly seek a recovery," he added.

Touching on the issue of raising electricity bills to revitalize the financial health of the state-run Korea Electric Power Corp., Ahn noted that it plans to reach an agreement with related organizations in the near future.

"We are currently reviewing the hike at the working level," Ahn said. "The rate should be normalized quickly, but it is a matter of timing and extent." (Yonhap)