Reuters reported that Swedish power group Vattenfall construction of two coal power plants in Germany has been held up by problems with steel quality.

Mr Oystein Loseth Vattenfall Chief Executive declined to give an estimate of potential costs.

He said that "Boxberg will be delayed 9 to 12 months. We will take Boxberg into operation in 2013. When it comes to Moorburg it is still unclear but it will be sometime after Boxberg."

He added that Vattenfall had issues with the steel being used in the construction of the plants which was an industry-wide problem affecting other utilities.

The company said last month it would take a charge of around CZK 10 billion in the second quarter related to Germany decision to close its nuclear power plants.

(Sourced from Reuters)