Tag: Energy

Cyprus Signals Block On Turkey EU Energy Chapter

Cyprus supports the opening of Turkey’s EU Energy chapter but only if it signs the UN Convention on the Law of the Sea and normalises relations with the island, says Commerce Minister Praxoulla Antoniadou.

Since the chances of this happening anytime soon are slim, it’s safe to say that the government is signalling that it will block this chapter in Turkey’s EU-membership negotiations.

“At this point of time, Cyprus is unfortunately confronted with the gunboat diplomacy of Turkey in the area, contesting the sovereign rights of the Republic…” said Antoniadou at an informal meeting of EU Energy ministers.

Until Turkey normalises its relations with Cyprus, the government resists the opening of its energy chapter. Antoniadou counters the argument that Turkey could enhance the EU’s energy supply security with the position that there is no direct link between this and the accession negotiations of a candidate country.

“The role that a candidate country could potentially play in the EU’s security of energy supply cannot influence the course of her accession negotiations by offsetting the need that the candidate country fulfils her obligations,” she says.

Alternatively, if Turkey contributes to the peace process by supporting the Turkish-Cypriot leadership to reunify Cyprus on the basis of a bizonal, bicommunal federation with political equality, then a bright horizon of peace, cooperation and economic growth will open for the Eastern Mediterranean area, says Antoniadou.

In its latest assessment of Turkey’s accession negotiations, the EU said that they have “regrettably not moved into any new areas for over a year.”

“The Commission is concerned about the recent tensions in relations between Turkey and Cyprus. A new positive agenda in EU-Turkey relations needs to be developed, to enable a more constructive relationship based on concrete steps in areas of common interest,” says the latest conclusions on the issue from the EU.

Turkey and Cyprus are locked in a tense military and political confrontation over undersea gas-and-oil exploration rights in the waters around the island. Since Noble Energy started drilling in Block 12 in Cyprus’ Exclusive Economic Zone (EEZ) on September 19th, Turkey has sent its own seismic research ships accompanied by warships. It plans to explore for hydrocarbons in partnership with the Turkish-Cypriot political leadership.

Parallel to this confrontation, Turkey is also jockeying for position with Egypt and has proposed building a gas pipeline between the two countries.

Egypt has already signed a bilateral agreement to delimit the maritime borders with Cyprus and cooperate on developing hydrocarbon exploration and exploitation. Egypt recently re-confirmed its commitment to its agreement with Cyprus, saying it would ‘undoubtedly’ implement the deal, according to Egyptian foreign minister Mohamed Kamel Amr in comments reported by Athens news agency.

In earlier statements, Ankara said that Cyprus’ maritime border agreements with its neighbors Lebanon, Egypt and Israel are null and void.

Infringement on sovereign rights

Turkey’s seismic research activities in Cyprus waters fly in the face of the government’s sovereign right over the island’s EEZ as it does not have official permission to conduct research for oil and gas reserves. Ankara disputes this right on the basis that the government does not represent the Turkish Cypriots. Turkey has signed an agreement with the ‘TRNC’ to delimit maritime borders and explore for hydrocarbons. The ‘TRNC’ is only recognised by Turkey, and the government promptly responded by saying the agreement was illegal.

As the only internationally-recognised government on the island, the leadership has gone ahead with a contract with Noble Energy to explore for hydrocarbons in Block 12, an area which borders Israel’s gas field Leviathan.

The government’s right is upheld by the EU, Greece, Israel and Russia, all of which have made statements condemning Turkey’s threats towards the island and supporting its right to exploit resources in its sovereign territory.

Defence ministry sources said that if Turkey proceeds with actual exploration for undersea hydrocarbons, the government’s approach will be different. For the time being, authorities take the view that ships sent by Turkey are in international waters and will be treated like any other ship.

Source: cyprusnewsreport.com

via Cyprus Signals Block On Turkey EU Energy Chapter | Defence news from Greece and Cyprus.

October 16, 2011
Wärtsilä strengthens its presence in Turkey with another major power plant order

Wärtsilä strengthens its presence in Turkey with another major power plant order

* Reuters is not responsible for the content in this press release.

Wed Oct 12, 2011 6:15am EDT

Wärtsilä Corporation, Trade &Technical Press release, 12 October 2011

Wärtsilä is a major supplier of electrical generating capacity to Turkey with more than 3 GW of output either in operation or awaiting installation. Approximately 85 percent of these plants are running on natural gas.

Wärtsilä, a leading global supplier of flexible power plants and services to the power generation market, has received a major order for a power plant to be installed in Turkey. The contract has been placed by Yesilyurt Enerji Elektrik Uretim A.S., an independent power producer (IPP).The power plant will supply electricity for the company’s steel mill in Samsun, on the Black Sea coast of Turkey. Any surplus energy generated by the plant, will be sold to the national grid.

The intermediate load power plant is expected to be running for more than 6000 hours per year, and will feature eight 18-cylinder Wärtsilä 50SG engines running on natural gas. The output will be more than 145 MW. However, together with a steam turbine in combined cycle operation, the output will reach 160 MW at full load. The plant is scheduled to be operational by October 2012. The order is included in Wärtsilä’s third quarter order book.

The 18-cylinder Wärtsilä 50SG spark-ignited gas engine is the largest gas powered combustion engine generating set in the world. It reaches an exceptionally high net efficiency rating of more than 50 percent in combined cycle mode. The engine was introduced in the latter part of 2010, and the very first installation was also in Turkey.

Samsun lies on Turkey’s Black Sea coast and is an area where environmental conservation is considered to be of prime importance. For this reason, an Environmental Impact Assessment (EIA) ‘A’ category certificate was required before the power plant project could be approved. The Wärtsilä 50SG gas engines, which feature very low levels of nitrogen oxide (NOx) emissions, fulfilled all the requirements of this ‘A’ category certification.

“This power plant will demand fast start-ups and shut-downs with high part-load efficiency. Wärtsilä’s technology is well proven and fully capable of meeting these requirements. High efficiency with a minimal environmental footprint were prime considerations in designing this project,” says Hikmet Yesilyurt, Executive Member of the Board, Yesilyurt Enerji Elektrik Uretim A.S.

“Wärtsilä’s already strong presence in Turkey is further enhanced with this important order. Smart Power Generation is a key element in meeting the needs of today’s energy markets, and our broad portfolio of gas and dual-fuel engines is central to this concept. We have an unmatched track record in Turkey, and this together with the local sales and service support that we provide, was a major reason for our being awarded this contract,” says Ufuk Berk, Managing Director of Wärtsilä in Turkey.

Wärtsilä has been present in Turkey since 1994 when the first units were delivered. Today, some 330 Wärtsilä engines are already in operation or awaiting installation, producing well in excess of 3 GW of generating capacity. Customers are supported with a strong local sales and service organisation. Wärtsilä operates from two locations in Turkey and employs 128 people. A third service workshop is planned to be opened early in 2012, and this will increase the number of personnel to around 160.

Smart Power Generation

Wärtsilä has pioneered a Smart Power Generation approach to meeting the future needs of the global energy market. In order to provide a reliable and secure delivery of electricity and to balance supply with demand, flexibility in fuel choice and operational requirements is essential. Wärtsilä is a market leader in providing flexible, efficient, and dynamic power generating capacity.

As at the end of 2010, Wärtsilä had delivered 4500 power plants to 168 countries, providing a total of over 47 GW of energy capacity.

via Wärtsilä strengthens its presence in Turkey with another major power plant order | Reuters.

October 13, 2011
Local Wind Energy Industry Emerges In Turkey

Turkey has used wind energy for more than ten years now, but never from locally developed and produced wind turbines. That’s about to change.

In what Turkish newspapers are calling “the biggest project in the history of the republic,” the Turkish government recently announced the country’s first National Wind Energy System. The project, which is led by a team of experts from top Turkish universities and scientific unions, has been ongoing — in secret — for the past two and a half years.

Late next year, expect the unveiling of the first stage in this ambitious energy project: a 500-KW wind turbine built entirely locally, using only parts produced in Turkey.

Moving quickly

By 2014, the government expects to follow up this 500-KW model with a 2,500-KW wind turbine, also completely locally produced. While these two turbines will constitute a 3-MW drop in the bucket of Turkey’s approximately 1,500-MW installed wind capacity, they indicate that the government is serious about laying the foundation for a local wind energy infrastructure in the country.

The National Wind Energy System has cost TRY 50 million ($27 million) so far. Over the next five years, the Turkish government hopes the System will “match the automotive industry’s contribution to to the country’s economy.” By using entirely locally sourced machinery and labor, the System will also bring Turkey closer to its goal of energy independence.

Turkish energy officials have previously declared that they expect wind capacity to reach 5,000 MW by 2015 and an astounding 20,000 MW by 2023 (Turkey’s centennial). The government expects the latter goal to require $30 billion in investment capital, of which it hopes to procure $7.5 billion locally.

Great Potential

If Turkey can manage to meet its ambitious goals, it will join European countries such as Spain and Germany in the ranks of the top wind energy-users worldwide. With 90,000 MW of potential wind capacity, the biggest mystery is why Turkey hasn’t yet harnessed more than 2 percent of it.

Efforts to spur local investment in wind power before now were hindered in Turkey by a botched auction of tenders for wind project licenses in 2008. In that year, Turkey’s Energy Market Regulatory Authority awarded 80,000 MW-worth of tenders that overlapped at grid connection points, requiring the whole set to be re-auctioned.

Hopefully, the National Wind Energy System marks the government’s serious intent to realize a large-scale wind industry in Turkey. The country’s actual installed wind capacity in 2015, however, will be the best indicator of its success.

via Local Wind Energy Industry Emerges In Turkey | Green Prophet.

October 12, 2011
Platts: Azerbaijan is the most stable and proactive country of the region

Apaku. Nijat Mustafayev – APA-ECONOMICS. Azerbaijani gas will be increased not only on the account of Shah Deniz, but on the account of other fields too, said the representative of Platts magazine John Roberts at the 6th Kazenergy Eurasia Forum, in Astana, Kazakhstan.

Speaking about production and transportation perspectives of energy carriers in Caspian Sea Roberts looked through the possible routes for accessing of gas to the world markets. He noted that, EU supported on Nabucco projects. Other projects are not supported sufficiently.

Roberts said that Turkmen gas was important for this project: “I regret that, Turkmenistan is on the passive position compared to Azerbaijan’s proactive position. Turkmenistan is on passive position and expects the route versions from others, while Azerbaijan takes active steps on extraction, exploitation and accessing of gas to the world markets”.

As to Kazakhstan, Roberts hesitated and noted that time would show. In general, Roberts said Azerbaijan was the country, which pursued the most stable and consistent oil and gas policy, he showed Azerbaijan as an example for the other countries in the region.

“Moreover, Azerbaijan and Kazakhstan are the most reliable transit countries of the region, they proved it with the recent activities in this sphere”, Roberts added.

Generally, in his speech, Roberts noted Azerbaijan as the most stable and proactive country of the region. Also he said that Turkmenistan should take more active steps for the proof of seriousness of its opinion on gas transportation to Europe.

Apa.az

October 7, 2011
EBRD further assists Turkey to reduce its dependence on fossil fuels

Azerbaijan , Baku, Sept. 29 / Trend , G.Dadashova /

The EBRD has extended its financing facility to support Turkey’s investments in renewable energy and energy efficiency projects to increase energy savings and reduce carbon emissions, EBRD reported.

“By extending the Mid-size Sustainable Energy Financing Facility, or MidSEFF, originally launched in December 2010, the Bank will continue helping Turkey to reduce its dependence on fossil fuels by financing private sector energy efficiency investments in mid-size sustainable energy projects with the total investment cost of up to €50 million,” the report reads.

The EBRD will offer a total of €225 million in loans to Turkish banks for on-lending to private sector borrowers to undertake mid-size renewable energy, waste-to-energy and industrial energy efficiency investments.

Yapi Kredi Bank (YKB) is the first local bank to join the extended MidSEFF. Through the purchase of notes issued by YKB under its established Diversified Payment Rights securitization program, it received a total of €75 million from the EBRD for on-lending to eligible sub-borrowers.

“Since its launch almost a year ago, the MidSEFF has been an important component of the EBRD’s support of Turkey’s long-term energy strategy. We have so far provided around €300 million in financing to four leading banks in Turkey. Building on our success we are pleased to welcome new Turkish commercial lenders to our extended facility. Our joint cooperation brings tangible results, unlocking the potential that renewable energy resources have in Turkey,” EBRD Director for Turkey Michael Davey said.

The Bank will provide financing to participating Turkish commercial banks through diversified payment rights securitization programs, established by those banks. In addition, the EBRD will undertake direct risk participations with the same banks in selected sub-projects up to a total value of €75 million.

As in previous MidSEFF investments, additional comprehensive technical assistance, funded by the European Union and other prospective donors, will be made available to support the preparation and appraisal of MidSEFF sub-projects in Turkey.

The four banks involved in the previous MidSEFF were Türkiye Garanti Bankasi A.Ş., DenizBank, Vakif Bank and Akbank.

The Bank focuses on renewable and sustainable energy, small business development in the regions, agribusiness, municipal, environment and other infrastructure, and privatization In Turkey.

Do you have any feedback? Contact our journalist at trend@trend.az

via EBRD further assists Turkey to reduce its dependence on fossil fuels – Trend.

September 30, 2011
Turkey would consider US proposal for nuclear power plant

US proposal to build a nuclear power plant would be considered: Turkish Energy minister

AFP

Turkey’s energy minister said Monday Ankara would consider a proposal from the United States to build a nuclear power plant in the country’s north.

“If a proposal comes from the United States, we could evaluate it but so far, no concrete proposal has been made to us,” Energy Minister Taner Yildiz told reporters.

Turkey reached an agreement with Russia in May 2010 to build Turkey’s first nuclear plant in Akkuyu in Mersin province, in the south.

In December, Turkey and Japan also signed a memorandum on civil nuclear cooperation, a step towards a possible $20-billion deal for Japanese companies to build a nuclear plant at Sinop, on Turkey’s Black Sea coast.

Yildiz said Turkey wanted to hear the same political will from Japan after the latter’s prime minister changed.

“I can say we are negotiating with different countries and different companies in order to generate alternative solutions in case Japan is unable to carry on with us,” Yildiz said.

The minister declined to name which countries or firms Turkey was negotiating with but said everything would be clarified by the end of October.

He repeated the Turkish government’s insistence to press ahead with plans to build its first nuclear power plant amid concerns raised by Japan’s nuclear disaster.

“There is a logic to our determination,” said Yildiz. “We want to minimise our dependence on energy imports.”

via Turkey would consider US proposal for nuclear power plant – Region – World – Ahram Online.

September 21, 2011