"I am convinced that the European Commission due to its complicated calculation model and bad data has damaged the Czech Republic through its share out of the emissions allocation," Industry Minister Martin Riman said in a statement.

"I am glad that the coalition government has accepted my decision to launch a lawsuit," he said.

The Commission cut the proposed Czech carbon emissions quota by 14.8 percent to an annual 86.8 million tonnes between 2008 and 2012.

The spokeswoman for European Commission environment commissioner, Stavros Dimas, described Prague's step as "Unfortunate." "We are confident that the decision by the Commission stands up in the court. It is unfortunate that the govenrment decided to go to court. The commission decision is a final one and cannot be negotiated," said Barbara Helfferich.

Hungary and Poland, whose carbon dioxide allocations were also cut, are also preparing challenges to the European Commission decision, the news release added.

Slovakia already launched proceedings against Brussels in February, arguing that the Commission took a unilateral decision and failed to take into account the country's need to produce more electricity from coal-fired power plants after the closure of two nuclear plants.

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