* E.ON, RWE won't have to pay in instalments -CEOs
* E.ON to pay about 10 bln euros, RWE 6.8 bln euros
* E.ON not a takeover target -CEO
(Adds E.ON CEO interview)
BERLIN/FRANKFURT, Jan 2 German power utilities
E.ON and RWE are able to cover their
contributions to the country's nuclear waste storage costs in
one lump-sum payment, the chief executives of both groups were
quoted as saying on Monday.
RWE, E.ON, EnBW and Vattenfall agreed
with the government in October to start contributing this year
to a 23.6 billion euro ($24.7 billion) fund in exchange for
shifting liability for nuclear waste storage to the state,
giving investors greater clarity over the companies' future
Under the deal, E.ON and RWE must pay about 10 billion euros
and 6.8 billion respectively.
The companies had been pushing for favourable terms of
payment and the October deal allows them to transfer the funds
at one stroke by mid-2017 or in several more costly instalments
over the next decade.
"We don't need to draw on the possibility of payment by
instalments," RWE hief Executive Rolf Martin Schmitz said in an
interview with Die Welt, adding that RWE was "well positioned"
after raising billions in a stock listing of a minority holding
in energy group Innogy.
The remarks chime with those from E.ON CEO Johannes Teyssen,
who told newspaper Rheinische Post that the group had enough
financial flexibility to avoid paying in several steps.
Shares in RWE were the top gainers among German blue-chips,
up 3 percent by 1049 GMT, while E.ON shares rose 1.6 percent.
Teyssen said that E.ON needed to raise cash, either through
a share sale, hybrid issues or convertible bonds on shares of
Uniper -- the power plant and energy trading unit it
spun off in September -- to come up with the money.
Asked whether he was concerned that E.ON, shares of which
have fallen more than 13 percent over the past year, could
eventually be acquired, Teyssen said: "No, E.ON is not a
Teyssen said that he was in regular talks with potential
investors interested in buying shares in E.ON, adding that
activist shareholder Cevian -- recently reported to be
interested in buying a significant stake in the business -- was
not among them.
($1 = 0.9541 euros)
(Reporting by Andreas Cremer and Christoph Steitz; Editing by
Robin Pomeroy and David Goodman)