The Turkish and
United Arab Emirates governments agree to jointly develop Turkey’s
large coal fields in the south for power generation. The $12 billion
deal may help Turkey diversify its supply.
Energy-hungry Turkey has signed a landmark deal with the United Arab
Emirates to develop its coal fields in the south with a giant project
worth nearly $12 billion.
The deal between the Abu Dhabi-based,
government-controlled TAQA and Turkey’s state-run electricity company
EÜAŞ was a crucial, according to Turkish Energy Minister Taner Yıldız.
is the second-biggest investment made in Turkey after the two nuclear
power plant projects,” Agence France-Presse quoted the minister as
The parties foresee the generation of some 85 million
tons of coal annually, or 45 billion kWh every year. Some 15,000 people
will be recruited during the construction phase and the facilities will
provide jobs for 8,500 once finished, officials said. The
Afşin-Elbistan facility will be the largest among Turkey’s planned
coal-burning facilities, as some 40 percent of Turkey’s lignite coal
lies under the Afşin-Elbistan zone, according to the minister. “We will
carry out clean and decent work there. A careful [project].” EÜAŞ
General Manager Halil Alış said the current daily capacity of 2,800 MW
in the area will be increased by up to 8,000 MW, or 8 billion square
meters of natural gas.
Under the intergovernmental agreement,
the project partners will modernize and expand the existing 1,400 MW
Plant B and develop several new power plants and associated mines in
sectors C, D, E and G of the region.
Preparatory work on Plant B
and the feasibility study for the planned 1,440 MW Plant C and
associated mine development will start immediately.
Turkish economy has been doing very well over the years ... because you
have a good investment climate. If you have a good investment climate,
we’ll come and invest,” U.A.E Energy Minister Mohamed Bin Dhaen al-Hamli
said at the ceremony, noting that the deal will carry on ties between
the two countries.
energy feed is vital for Turkey, as the country is largely dependent on
Russian-supplied gas for power generation. The government, which has
already solidified agreements with Russia for the construction of a nuclear plant in the southern province of Mersin, is seeking a partner for a second one in the Black Sea
province of Sinop. South Korea, which is one of the short-listed
candidates for the plant, will reportedly cooperate with the U.E.A if it
wins the tender. However, Yıldız said not providing a government
financing guarantee was among Turkey’s reservations, as South Korea
insists on such a promise.