Press Room

2019


2018



Under the tender of 2 INNER-CASING supply that will be used in V94.2 type gas turbines, the contract that we signed on May 9, 2018; the first INNER-CASING was delivered on October 22, 2018 to EUAS İstanbul Natural Gas Combined Cycle Power Plant.


Under the supply of rotor blades and stator vanes and blade connection parts for V94.2 type gas turbines installed at İstanbul Natural Gas Combined Cycle Power Plant A Operation Directorate, we made the second delivery of 1 set first stage rotor blades and 1 set first stage stator vanes and blade connection parts on September 11,2018.


Our family, growing up with you every day, is moving to its new office on July 28, 2018.

Our new address:

Vadistanbul, Ayazağa Mah. Cendere Cad.                               

No:109 1B Blok Kat:22

34396 Sarıyer İstanbul

Tel:         +90 212 232 30 30                                                          
Fax:         +90 212 232 72 82

2017


Our employee SANJAYBHAI MANUBHAI PAREKH has been granted ‘’HSE Award” for the Best Employee of the Month’’ by our client TSGI for his performance at STAR Refinery Project.

Our congratulations to Mr. Parekh and we wish him success in his life and career ahead.


A new milestone for our EPC project in Aliğa: 5 million lost time injury free man hours worked! The team will be celebrating on 25 May in Aliağa. There has been great progress on our project.


Last week, CEO Vedat Irdelp and Deputy General Manager Canbek Yıldıran went to the World Economic Forum. They listened to presentations from world innovators and leaders and also got a good chance to talk to many owners of exciting businesses. Stay tuned for future projects that may arise from this trip.


ViTO-Satarco Business Partnership and EUAS has signed the contract for the supply of rotor blades and stator vanes and blade connection partsfor V94.2 type gas turbines installed at İstanbul Natural Gas Combined Cycle Power Plant.

Blades, vanes and other parts will be delivered within 780 calendar days according to the contract.

2016


Our subsidiary company "IOT - VİTO Mühendislik İnşaat ve Taahhüt A.Ş." has achieved an important milestone by completing 3 million man-hours without Lost Time Incident (LTI) at SOCAR's ongoing STAR Refinery Tank Farm Project.

Our congratulations to all the team behind this success and we wish for many more accident-free days to come.


Our subsidiary company IOT-VİTO Mühendislik İnşaat ve Taahhüt A.Ş has been entitled for ASME S, U ve U2 stamp certificates following the final inspections performed by ASME Inspector on March 31st, 2016.



IOT ViTO has been awarded ‘’HSE Award for the Best Sub-Contractor of the Month’’ for the month of April 2016 by our client TSGI & SOCAR.

Also we are glad that we have bagged this Best Sub-Contractor HSE Award three times in last four months.

We will continue putting our best effort towards maintaining best HSE standards at site.


IOT-VİTO has achieved an important feat on May 10th, 2016 by completing 2 million man-hours without LTI at Star Refinery Tank Farm Project.


As of May 2016, latest project status at Star Refinery Tank Farm Project is as follows:

  • Total working hours has reached 1.89 million man-hours without any loss day
  • Total number of employees has reached 1090
  • Hydrotest process is ongoing at 620-TK-001B/E tanks
  • 620-TK-001D tank is made ready for Hydrotest process


Our subsidiary company IOT-VİTO Mühendislik İnşaat ve Taahhüt A.Ş has awarded with Certificate of Commendation by the main Contractor TSGI for their financial contribution provided to Aliağa Primary School under  the Aegean Refinery’s Social Responsibility Project.  




The Global Energy Architecture Performance Index 2016 benchmarks energy systems of nations from across the world on three fundamental energy goals:

  • Economic growth and development – the extent to which a country’s energy architecture adds or detracts from economic growth.
  • Environmental sustainability – the environmental impact of energy supply and consumption.
  • Energy access and security – the extent to which an energy supply is secure, accessible and diversified.

 

The report provides governments and the private sector with a yardstick to monitor and drive energy transition. Launched in 2013, the 2016 index has evolved to include the latest available energy data from 126 countries on 18 indicators, highlighting strengths as well as areas of potential improvement.

Here is the top 10 list from this year’s report:

by Espen Mehlum

You can read the full article on www.weforum.org/agenda/2016/03/who-are-the-world-s-top-10-energy-performers

2015


As of October 30th, 2015 ViTO, has acquired the following certifications:

  • ISO 9001:2008 Quality Management System
  • ISO 14001 Environmental Management System
  • TS 18001 (OHSAS) Occupational and Safety Management System


Hydraulic jacking operation, which is considered one the major milestones in typical tankage construction is commenced at STAR Refinery Tank Farm Project as of September 28th, 2015 and first lifting of crude oil tank (82 meter diameter) is performed successfully. 


Erection works of Group 1 Tanks of Star Refinery Tank Farm Project which is undertaken by  IOT - VİTO Mühendislik İnşaat ve Taahhüt A.Ş will commence on August 12th, 2015.

IOT - VİTO Mühendislik İnşaat ve Taahhüt A.Ş. signed a turnkey contract for the construction of cylindrical and spherical tanks with the main contractor Técnicas Reunidas - Saipem - GS Engineering - Itochu Corporation  consortium) of the refinery in October 2014.


Hamon delivered one air cooled condenser (ACC) to Ramat Negev Energy Ltd whose contract is signed on November 2012.

The cogeneration plant whose 42.15% share is owned by Zorlu Enerji will 120 MW electricity and 70 ton/h steam generation capacity and expected to be operational in the second half of 2015.


Bruno Presezzi - ViTO Business Partnership has signed a contract for the supply of 3 Innercasings tendered by EÜAŞ Ambarlı A Fuel Oil Natural Gas Combined Cycle Power Plant Operation Directorate on March 12th, 2015.

Under the contract, 3 inner-casings of the V94.2 type gas turbines will be delivered in 2016.


We will be moving our office to Bomonti Business Center as of February 2nd, 2015.

Bomonti Business Center
Cumhuriyet Mah., Silahşör Cad.
Yeniyol Sk. No: 8, Kat: 13
34380, Bomonti, Şişli,
İstanbul, Turkey


IOT – ViTO Mühendislik signs turnkey contract for the tank farm of the refinery

Developments have been recorded in the "Star Refinery Project", which is being developed by Star Rafinerisi A.Ş. -an affliate of SOCAR Turkey Enerji A.Ş. (STEAŞ)- in Petkim Petrokimya Holding A.Ş.'s Aliağa complex.

According to Yatırımlar, Técnicas Reunidas (Spain), Saipem (Italy), GS Engineering (S. Korea), Itochu Corporation (Japan) consortium- the contractor of the project- has signed a turnkey contract with IOT – ViTO Mühendislik for the construction of the tank farm of the refinery.

Under the contract, more than 50 cylindirical and spherical tanks with a total capacity of 1,2 million m3 will be constructed on turnkey basis.

IOT was established as the joint venture of Indian Oil Corporation- one of India's largest oil and gas companies- and Oiltanking GmbH (Germany)- one of the world's largest terminal operators.

ViTO Enerji ve Yatırım A.Ş. established a joint venture in Turkey under the name of “IOT – ViTO Mühendislik İnşaat ve Taahhüt A.Ş.” in co-operation with IOT Infrastructure & Energy Services Ltd.

To view the printed version of the article please click here.

Source : Yatırımlar Magazine, Issue: 1214


STAR Refinery Project has reached 586 injury free days and achieved 3.5 million man-hours without LTI.

2014


ViTO is awarded for the manufacturing of injectors, deflectors and servomotors for 6 hydro power plants by Rainpower. Production has started in Turkey and parts will be used in the following projects in Switzerland and Canada which Rainpower recently signed contracts.

 22 MW Tretheway HEPP (Canada)

6 MW Wedgemount HEPP (Canada)

15 MW Culliton Creek HEPP (Canada)

15 MW Les Farettes HES (Switzerland)

16 MW Box Canyon HES (Canada)

15 MW Kvitno Creek HES (Canada) 

Previously, ViTO has manufactured and exported 6 injectors for Runotullo HEPP (Peru) and Jamia HEPP (Peru) and trouble free commission of the system was achieved.


ViTO Enerji and Investment Corp. entered partnership with IOT Infrastructure & Energy Services Ltd.  which is one of the world’s largest tank farm contractor & operator. Newly founded company “IOT ViTO Mühendislik İnşaat ve Taahhüt A.Ş.”  will serve for oil & gas projects in Turkey and neighboring countries and mainly focus on projects for refinery such as storage, process units etc.

IOT Infrastructure and Energy Services was established as a joint-venture between Indian Oil Corporation and Oiltanking GmbH to provide storage and logistics solutions for crude oil and petroleum products. Currently, the company is active in EPC, terminalling, upstream services and renewable energy.

Indian Oil Corporation is world’s 18th largest petroleum company with an annual turnover of $81.3 billion and ranked 96th in Fortune 500 Global List. The group controls 10 of 20 refineries in India and operates 71% of the downstream pipeline capacity.

Marquard & Bahls is one of the largest independent petroleum and chemicals storage providers in the world. The Group owns and operates 75 terminals in 23 countries with a total storage capacity of more than 19.2 million cubic meters. It has revenue of € 17 billion and 11th largest family owned company in Germany.


Erection works at the 2nd unit of Aslancık Hydroelectric Power Plant are completed by ViTO. Provisional acceptance of the power plant will be made by the Ministry of Energy and Natural Resources at the end of September.


It has been announced that electricity generation capacity of Turkey has increased 3.560 MW in the first 7 months and reached 67.431 MW in total.

According to the data released by Ministry of Energy,  of the installed capacity which became operational between January and July, 983 MW constitute the natural gas fired power plant investments constitute 983 MW whereas import fired and lignite fired power plant investments constitute 950 MW and 51 MW respectively.

Within the same period 1025 MW hydro electrical power plant investment became operational and wind power plant investments increased by 43% compared to last year and reached the level of 543 MW.

Commissioned new electricity generation capacity only in the month of July is 745 MW, İçdaş’s import coal power plant comprise the 600 MW, five wind power plant investments which make capacity increase comprise the 69.4 MW and four hydro power plant constitute the 67.7 MW.

Electricity generation of Turkey in July, reached 23.235 GWh with an increase of 2.4% and electricity consumption become 22.679 GWh with 2.1% increase.


TEIAS has published the power generation data of 2014 May. According to the data, Turkey generated a total of 20.08 TWh electricity. 14.75 TWh of this amount was met by the power plants which are owned by the private sector. These plants generated 73.4% of Turkey’s total power generation, while the state-owned power plants generating 5.34 TWh. When we look at the power generation based on resources, it can be seen that natural gas keeps its dominance in the market and 48.8% of the  total generation (9.78 TWh) were met by natural gas fired power plants. Coal follows natural gas by 28.8% (5.79 TWh) and hydro’s come third with 15.8% (3.17 TWh).

Natural gas at power generation keeps growth trend

Despite the policies of the Energy  Ministry to reduce the dependency on  natural gas at power generation, it is being  observed that the power generation made  by natural gas power plants are in a growth trend since February. According to the TEIAS data, the natural gas fired power plants has generated above 8.92 TWh in February, which increased significantly by reaching 9.80 TWh of generation on May. In 2014, the highest power generation provided by the natural gas fired power plants were calculated in January with over 10.51 TWh of generation.

Source : Enerji IQ Turkish Energy Market Report | No: 28


We would be appreciated to meet with you together with our esteemed business partners Rainpower and STF/BWE at our booth  of #C113A in Hall 10 at ICCI 2014 International Energy and Environmental Fair and Conference which will take place in Istanbul Expo Center from 24th to 26th of April 2014. 


As of March 2nd, 2014; reliability run is successfully conducted at Gebze Natural Gas Fired Combined Cycle Power Plant and provisional acceptance procedures are completed.


Performance tests of Gebze Natural Gas Fired combined Cycle Power Plant were successfully completed  on February 16th, 2014 with 2 MW higher power output than the guaranteed value.

2013


Gebze Combined Cycle Power Plant has been commissioned following the completion of acceptance procedures by Ministry of Energy and Natural  Resources on December 20th, 2013. 

EPC company Ansaldo Energia completed the project 29 months after NTP by the client without any delay. Gebze CCGT is equipped with two AE94.3A gas turbines,  one steam turbine and related generators.


Our CEO Mr. Vedat Irdelp has attended the "World Economic Forum" held in the city Dalian of Republic of China between September 11th and 13th, 2013. More than 1,500 participants from 90 countries shared strategies and solutions and discussed global issues and risks.


Source : http://www.weforum.org/events/annual-meeting-new-champions-2013


High level executive and employees of Yeni Electricity Generation Corp. gathered with IMES Industrial Organized Zone Manager Suheyl Erboz at the iftar.

Serdar Bilgiç, Board Member of Yeni Electricity Generation Corp made a thank you speech following the iftar and said that power plant will meet the 2% need of the electricity demand of Turkey and will be an environmentally friendly facility in all aspects.

Source : http://www.hakimiyet.com/kocaeli/yeni-elektrik-as-yonetim-kurulu-uyesi-bilgic-h121481.html


All erection works of Cakmak-1 HEPP are being carried out by ViTO. Two identical 10 MW vertical pelton turbines are supplied by Rainpower for the power plant.


EPC (Engineering, Procurement and Construction) contract signed by Ansaldo Energia and the Cairo Electricity Production Company, held by the Egyptian Electricity Holding Company, provides for the design and construction of an open cycle turnkey 600MW power plant near the "6th October" power plant located in the suburbs of Cairo. The plant will be situated near the existing one built by Ansaldo Energia in 2012.

In Chile, Ansaldo Energia sold to the Korea-based POSCO Engineering & Construction, which is the EPC Contractor, two 270 MW RT-30 steam turbines with their relative air-cooled TRX-L56 turbogenerators to be installed at AES Gener's "Cochrane" plant located in Mejillones, in the region of Antofagasta.

Lastly, in a Temporary Companies' Association with ABB, Ansaldo Energia obtained a turnkey order from Terna for the design, installation, commissioning, testing and subsequent 10-year servicing and maintenance of a synchronous condenser plant to be installed in Codrongianos, in the province of Sassari (Italy)


Developments have been recorded in Yeni Elektrik Üretim A.Þ.'s (an affiliate of Unit Group) "Gebze Natural Gas Combined Cycle Power Plant Project", which is planned to be developed in Kocaeli - Gebze.

According to our information, following the first firing of the gas turbine on May 26, 2013, the 1st unit gas turbine was successfully synchronized with the national grid on June 7, 2013. The plant is anticipated to come online in January 2014.

As known, EPC work for this project was undertaken by Ansaldo Energia. Forty per cent of the shares in Gebze Natural Gas Combined Cycle Power Plant, which had previously been owned entirely by Unit International, were acquired by Italian Ansaldo Energia S.p.A. in 2011. In the same year, a deal was reached with Ekon - Prokon Group to act as the sub-contractor for the construction and assembly works of the project.

Ref.:Yatırımlar 1127 / April 15, 2013 (GB/ÖB)


The first firing of the Gebze 865 MW combined cycle power plant has started by EPC contractor Ansaldo Energia on May 26th, 2013.

The Project is ongoing without any delays and change in the schedule and expected to be operational in January 2014. Notice to Proceed (NTP) was given in July 2011 by the project owner Unit Group.

The power plant is equipped with two AE94.3A gas turbines with 294 MW output at ISO conditions, one steam turbine and related generators which are manufactured in Ansaldo Energia workshop in Genova, Italy. 


The Obama administration has signalled support for more plants to export liquefied natural gas, as the US embraces its surging energy production as a key new element of its national security policy.

Barack Obama said at the weekend the US was likely to be a net gas exporter by 2020, the strongest sign yet that the president is swinging his support behind higher energy sales overseas.

The Department of Energy is studying applications for new liquefied natural gas terminals, with approval of one in Texas likely within months. It would be only the second such approval granted for sales to countries without trade agreements with the US, such as Japan, the world's largest importer of LNG.

The decision over new export terminals coincides with a White House rethink of energy policy, aimed to give it an elevated place in US diplomacy.

"I've got to make an executive decision broadly about whether or not we export liquefied natural gas at all," Mr Obama said during a trip to Costa Rica. "But I can assure you that once I make that decision, then factoring in how we can use that to facilitate lower costs in the hemisphere and in Central America will be on my agenda."

The North American shale revolution over the last decade has unlocked large reserves of gas that were not previously accessible at commercially attractive rates.

US gas prices have fallen to levels that are about one-third of the cost of LNG imported to Europe, and one quarter of the cost of LNG in Asia, a development with the potential to upend global markets.

Any approval for new terminals is unlikely until after Ernest Moniz, Mr Obama's nominee for energy secretary, has been confirmed, likely in the coming weeks.

Although the energy department is the decision maker, the issue is being debated at senior levels in the White House, which sees energy exports as giving the US new geopolitical leverage.

In a little-noticed speech in New York in late April, Tom Donilon, the White House national security adviser, said the new energy bounty allowed the US "a stronger hand in pursuing and implementing our international security goals".

Mr Donilon said increased US and global gas production could break the link between the gas and more expensive oil prices and "weaken control by traditional dominant natural gas suppliers".

The White House is also promoting gas as an alternative fuel to oil and coal as a way to reduce greenhouse emissions.

The initial pace of approvals for new LNG export terminals is likely to be measured, a nod to domestic political sensitivities about how to manage the country's surging energy production.

A vocal lobby of energy-intensive manufacturers, including Dow Chemical and Alcoa, has urged the administration to limit export permits, arguing unrestricted LNG sales overseas could erode the energy cost advantage created by the shale boom's cheap gas.

However, US officials believe that being seen to restrict exports for the benefit of domestic industry would send a terrible signal about the country's support for free trade.

Peter Orszag, the former White House budget director, now at Citigroup, echoed those concerns on Friday, saying the US would struggle to argue against China's restrictions on exports of rare earth minerals if it was holding back gas exports.

"It is very difficult as a general principle to justify export restrictions on something like this, where there's no proprietary national security technology concern," he said.

Significant sections of big business also oppose restricting exports. "We are firmly in the camp that says LNG exports should be permitted," said John Rice, the General Electric vice-chairman.

"We have lots of manufacturing and some energy intensive operations, and we would benefit from $3 gas too, but in the long run we think it's in our interest and every other competitive company on a global scale to have a level playing field."

Under the 1938 Natural Gas Act, companies are not allowed to export gas from the US without a licence. For countries that have a trade agreement with the US, those licences are granted automatically. For countries without a trade agreement, the energy department says it will approve exports "unless it is shown that the authorisations would be inconsistent with the public interest."

Source : Financial Times By Richard McGregor in Washington and Ed Crooks in New York 06.05.2013


Beyaz TV made an interview with our chairman Mr.Vedat İrdelp at ICCI 2013 exhibition.

Source : https://www.dailymotion.com/video/xzejcf#tab_embed


Energy and Natural Resources Minister Mr.Taner Yıldız has visited the booth of Ansaldo Energia which is represented by ViTO at ICCI 2013 fair took place between 24-26 April 2013.



Our CEO Mr. Vedat Irdelp has attended the “World Economic Forum” held in the capital of Azerbaijan in Baku on April 7-8, 2013. Visions for the future of Central Asia and South Caucasus is discussed at the meetings with the participation of more than 200 global and regional business leaders, heads of government and civil society representatives

For more information: http://www.weforum.org/events/world-economic-forum-strategic-dialogue-future-south-caucasus-and-central-asia-2013#flickr_show


A leading research group has increased its estimate of the US’s potential gas resource by 26 per cent, in the latest sign of how the shale revolution has boosted the country’s energy supplies.

The report of the Potential Gas Committee found that the US has technically recoverable natural gas potential of 2,384tn cubic feet – the highest evaluation in the group’s 48-year history, and double the level 10 years ago.

It exceeds the last assessment in 2010 by 486tn cu ft – an increase of 25.6 per cent.

Adding that to the country’s proved gas reserves of 305tn cu ft means the US has a total available future supply of 2,689tn cu ft – enough to last about 110 years, based on current rates of consumption.

The 2010 assessment implied 100 years of supply.

“It’s really shale gas that has exceeded the potential many people expected,” said John Curtis, director of the PGC and a professor at the Colorado School of Mines who led the study.

The report is further proof of how the shale boom has transformed North America’s energy landscape. Production of shale gas has surged thanks to the widespread use of techniques such as horizontal drilling and hydraulic fracturing, or “fracking”, in which huge volumes of water and chemicals are pumped at high pressure into shale rock, creating fractures through which the trapped gas can flow.

Shale gas now accounts for 30 per cent of total gas consumption in the US compared with just 1 per cent in 2000. The surge in supply last year helped to push down the US price of gas to 10-year lows.

The availability of gas is changing the face of US industry, with gas now increasingly replacing coal in power generation and oil as a feedstock in petrochemicals and even in transport. There has been talk of a shale-related industrial renaissance in the US.

The PGC’s report “confirms that we can continue to rely on abundant, clean natural gas for our future energy needs”, said David McCurdy, head of the American Gas Association. He said that by harnessing the resource, the US could look forward to “decades of market stability”.

The shale gas surge has continued despite strong opposition from environmentalists, who worry that fracking can contaminate water supplies. There are also concerns about the flaring of unwanted gas from shale oil wells, the disposal of fracking water, and the toxicity of chemicals used in the extraction process.

The PGC’s biennial assessment of America’s gas potential was fairly stable at about 1,000tn cu ft through much of the 1990s and early 2000s. But it started to rise sharply in 2006 when unconventional gas production took off. The committee estimated that the US had about 200tn cu ft of resources in 2006, a figure that rose fivefold by 2012 to 1,000tn cu ft.

In its report, the committee said the increase in its current assessment was primarily thanks to a re-evaluation of shale gas plays in the Appalachian basin in the eastern part of the US, which contains the Marcellus and Utica Shales, and also important new contributions of both shale gas and conventional resources in the Rocky Mountains region in the west.

The PGC’s figures include both traditional and shale gas and coalbed methane – gas trapped in coal seams.

Source : Financial Times by Guy Chazan


ViTO will exhibit at ICCI 2013 International Energy and Environment Fair and Conference which is taking place in Istanbul Expo Center from 24th to 26th of April 2013.
We hope to see you at our booth located at B106.


2012


STF/BWE represented exclusively by our company will exhibit at  Power-Gen Europe fair and conference which is taking place in Cologne, Germany from 12th to 14th of June.

Mr. Carsten Bo Petersen, Lead Project Engineer at BWE will present the paper: A Modern Straw Fired Boiler Plant. Plant: BEKW Emlichheim/Germany. The presentation will take place on TRACK 4: Coal Fired Power Plants, Biomass Combustion and Waste to Energy, Session 3: Biomass Combustion Experiences 09:00 - 10:30 hrs. on June 13th, 2012.

We hope to see you at our booth located at 7F141.


Hamon represented exclusively by our company  will exhibit at at Power-Gen Europe fair and conference which is taking place in Cologne, Germany from 12th to 14th of June.

We hope to see you at our booths located at 6A141.


Rainpower Small Hydro AS has been awarded new contracts for the Cakmak I, Cakmak II and Sogutlu HEPP projects by ATASER ELEKTRİK ÜRETİM VE İNŞAAT A.Ş. and SU-EN ELEKTRİK ÜRETİM A.Ş. These contracts comprise the complete electromechanical supply for 4 vertical Pelton units of approximately 10 MW, and the supply of 3 horizontal Francis units for a total output of approximately 9 MW. These Turkish power plants will start operating in the beginning of 2013.

Rainpower is a strong technologically driven corporate group supplying water turbines and generators with all associated parts for the production of clean electricity. The product range includes total solutions for new power plants and equipment for the upgrading of existing power plants. Rainpower provides the whole value chain from the development of technical solutions to putting the plant into operation.

ViTO Ticari Mümessillik ve Yatırım A.Ş. is the exclusive representative of Rainpower in Turkey since 2008. Company with its partners offers turn-key solutions to Turkish hydro and thermal power plants and maintenance services for turbines, generators, auxiliary equipments and control systems. ViTO A.Ş.’s headquarter is in Istanbul and it has an office in Ankara.


The shale gas boom has led to a big drop in US carbon emissions, as generators switch from coal to cheap gas.

According to the International Energy Agency, US energy-related emissions of carbon dioxide, the main greenhouse gas, have fallen 450m tonnes over the past five years – the largest drop among all countries surveyed.

Fatih Birol, IEA chief economist, attributed the fall to improvements in fuel efficiency in the transport sector and a “major shift” from coal to gas in the power sector. “This is a success story based on a combination of policy and technology – policy driving greater efficiency and technology making shale gas production viable,” Mr Birol told the Financial Times.

Shale gas has transformed the US energy landscape, with surging production pushing gas prices down to 10-year lows and heralding an industrial renaissance. But it is also the subject of a heated environmental debate, with critics alleging that the production process can pollute groundwater.

Gas is fast becoming the new fuel of choice for the US power sector: in the past 12 months, coal generation has slumped by 19 per cent while gas generation has increased by 38 per cent, according to US Department of Energy figures. A gas-fired plant produces half the CO2 emissions of a coal-fired one.

Overall, however, the IEA said 31.6 gigatonnes of CO2 were released into the atmosphere last year, mainly through the burning of fossil fuels – one gigatonne more than in 2010 and much higher than the average annual increase of 0.6 GT between 2006 and 2010. “The impact of this increase is going to be catastrophic,” said John Sauven, executive director of Greenpeace. “We’ve really got to act now, with a real sense of urgency – which up till now has been completely lacking.”

The increase will make it harder to keep global temperatures from rising more than 2 degrees Celsius above pre-industrial levels – which scientists believe is the threshold for potentially “dangerous climate change”.

Find out how natural gas is extracted from shale rock using a process called ‘fracking’ or fracturing

The agency has calculated that in order to contain rising temperatures and avoid the most damaging effects of global warming, annual energy-related emissions should be no more than 32.6GT by 2017. “We are now only 1GT away from that, with five years still to go,” Mr Birol warned. “The door to a 2 degree trajectory is about to close, and to close forever.”

China’s production of carbon dioxide increased by more than 700m tonnes last year – a 9.3 per cent rise – while India overtook Russia to become the world’s fourth-largest producer of CO2, after China, the US and the EU. India’s emissions rose by more than 130m tonnes, or 8.7 per cent.

Most industrialised countries saw their carbon output fall last year. Japan, which took all its nuclear reactors offline in the wake of the 2011 Fukushima disaster, was a notable exception.

While China pumps out more CO2 than any other country, its per capita emissions are still only two-thirds of advanced countries. Mr Birol said China was making “major efforts” on energy efficiency, which had improved by 15 per cent over the past five years. Without these, he said, global carbon emissions would have been 1.5 gigatonnes higher.
by Guy Chazan

Source : Financial Times/23.05.2012


Vizara HEPP has been commissioned following the completion of acceptancce procedures by Ministry of Energy and Natural Sources on April 19th, 2012. Vizara HEPP is the first energy investment of Yılmaz Ulusoy Holding and all electromechanical scope of the hydro power plant is supplied by Rainpower on a turn-key basis.  

Rainpower is awarded the contract for Vizara HEPP which consists of with two units and with a total capacity of 8.85 MW in August 2010.


A turnkey contract has been signed with Norwegian Rainpower ASA regarding electromechanical works (turbines, generators and electrical equipment) for Ege Hydro Energy Company's "3 New HEPP Projects (Çakmak I-II HEPP and Söğütlü HEPP)."

According to our information, Rainpower will supply 4 Pelton and 3 Francis turbines and generators, main inlet valves, electrical control systems and spare parts for the 3 facilities with a total capacity of 46,78 MW, which are expected to come online in 2013.

Norwegian Rainpower ASA is represented in Turkey by ViTO Enerji ve Yatırım A.Ş. Among the representatives of the firm in the energy sector are Ansaldo Energia, STF and Hamon.-(GB/AG)


Research-Cottrell Dry Cooling (RCDC), a member of the Hamon Group, has been awarded by Arabian Bemco Contracting Co. Ltd (Bemco) a very large order for the supply of 10 lines of ACC (air-cooled condensers) for the PP10 Power project in Saudi Arabia.

This PP 10 power plant, operated by Saudi Electricity Company, is part of the strategic plan of the Kingdom of Saudi Arabia to increase its power capacity by 40 GW over the next 10 years. The plant, with a total capacity of about 3500 MW, consists of 10 power units using light crude oil. Bemco is a leader in the Power sector, with over 22,000 MW of power plant capacity projects as EPC contractor.

Riyadh, located in a desert region, has to import all its water from desalination plants located on the Eastern Coast more than 400 km away. The use of the advanced RCDC air-cooled condenser technology avoids the consumption of cooling water which was a key requirement of Saudi Electricity Company.

RCDC’s scope of supply includes the engineering, the manufacturing of the ACC bundles and the procurement of the complete systems including pumps, vacuum units and piping. The site erection will be done under the supervision of RCDC in 2013 and the start-up is foreseen in 2014.

This new project, booked end of 2011, will increase the sales of the Cooling Systems BU by about 15% in 2012 and 2013 versus 2011. This mega order confirms the excellent ranking of RCDC as a world-class supplier in the Dry Cooling market. It is also one of the biggest orders of the year 2011 in this market.

ViTO is the exclusive representative of Hamon in Turkey. Company with its partners offers turn-key solutions to Turkish hydro and thermal power plants and maintenance services for turbines, generators, auxiliary equipments and control systems. ViTO also represents Ansaldo Energia,  STF in thermal sector and Rainpower in hydro energy sector. The company is headquartered in Istanbul and has an office in Ankara.


Turkey's electricity consumption rose 8.6 percent, to 21.4 billion kilowatt-hours, last month compared with January 2011, the government's power transmission company said. 

21.4 BILLION KWH UP FROM 19.5 BILLION KWH
Power generation was 21.4 billion kwh, up from 19.5 billion kwh, the company said on its website today. Turkey consumed 229.3 billion kwh of power in 2011, 9 percent more than in the previous year; it produced 228.4 billion kwh, up 8.1 percent, the company said.

Source : Bloomberg

2011


Electricity consumption being 20.9 billion kWh in July, the total consumption in the first 7 months realized at a level of 131 billion kWh

According to provisional operation results of Turkish Electricity Transmission Co. (TEİAŞ), electricity consumption in July 2011 realized as 20.9 billion kWh, increasing by 8.1 percent in comparison with the same month last year.

According to research made by TEBA, while electricity consumption displayed an increase of around 3 billion kWh in July, compared to the previous month of the year, 407 million kWh of the total energy amount of 21.4 billion kWh supplied for consumption, is supplied for exports.

Electricity consumption in the first 7 months of 2011 displaying an increase of 9.4 percent compared to the same period of the previous year, realized at a level of 131 billion kWh. Electricity consumption was 119.8 billion kWh in the same period of 2010. The export amount also displayed an increase of 49 percent in the given period, and realized at a level of 1 billion 791 million kWh.

As will be recalled, while electricity consumption in June realized as 17.9 billion kWh, the consumption in the first 6 months increased by 9.7 percent, realizing at a level of 110 billion kWh (TEBANEWS#1519/ July 11, 2011).

Electricity generation increased by 6.7 percent

On the other hand, electricity generation in Turkey in July displayed an increase of 6.7 percent compared to the same month last year, and realized at a level of 20.8 billion kWh. Imports made by Turkey in July displayed an increase of 478 percent, realizing at a level of 529 million kWh. It is accordingly determined that the energy amount supplied for consumption came up to 21.4 billion kWh, increasing by 8.9 percent.

Electricity generation in the first 7 months of the year is determined to be 130.4 billion kWh, increasing by 8.2 percent, compared to the same period of the previous year. Imports made from other countries in this period increased by 367 percent, and realized at a level of 2.4 billion kWh.

Free production companies realized an increase of 57 percent in power generation

The generation amounts of free production companies continued to increase in July 2011, coming to a level of 6 billion kWh, increasing by 57 percent. The generation amounts of free production companies in the first 7-month period of the year are determined to be 33 billion kWh, increasing by 52 percent compared to last year.

While an electricity generation of 7.2 billion kWh is made by Electricity Generation Corporation (EÜAŞ) in July 2011 with decline of 5.3 percent, a power generation of 1.8 billion kWh is made by subordinated partnerships, with an increase of 8.9 percent. It is determined that a production of 21.8 billion kWh is made in thermal power plants owned by EÜAŞ in the first 7 months of the year, with an increase of 8 percent, while the generation made by hydroelectric power plants realized as 22 billion kWh, decreasing by 17 percent.

Build-Operate-Transfer (BOT) power plants made a generation of 1 billion kWh in July, with a decline of 13.4 percent, realizing a power generation of 7.6 billion kWh in the first 7 months, with an increase of 16.5 percent. Build-Operate (BO) power plants made a generation of 1 billion kWh with a decrease of 13.4 percent, realizing an electricity generation of 25.6 kWh in the first 7 months with a decline of 1.3 percent. While Transfer of Operational Rights (TOR) power plants made a power generation of 358 million kWh in July, with a decline of 12.5 percent, the electricity generation in the first 7 months realized as 2.6 billion kWh, increasing by 3.2 percent. The production level of auto-producers is determined to be 1 billion kWh in July, increasing by 2.4 percent, realizing an electricity generation of 6.9 billion kWh in the first 7 months of the year, increasing by 16.5 percent.

Source : Teba News


The number of Power Plant projects that are being put into service upon being realized by the private sector within the scope of Electricity Market Law No. 4628, continue to increase also in 2011.

Power plants realized by the private sector that are commissioned in the first 5 months of 2011 reached an installed power of 1,270 MW. While Hydroelectric Power Plants of total 970 MW constitute 31 of 48 power plants in question, 7 of these are reported to be Wind Power Plants (WPP) of 163 MW, 7 natural gas power plants of 119 MW, 2 landfill gas power plants of 8.6 MW, and 1 LNG power plant of 8 MW.

The provisional acceptance of the said power plants have been made by the Ministry of Energy and Natural Resources, reportedly. The total installed power of plants commissioned in 2010 were 4809 MW, while 135 power plants were put into service.

On the other hand, the total installed power of power plants owned by the private sector that are commissioned since 2003 reached 27,300 MW. 266 power plants out of 1110 plants that have been put into service are natural gas power plants of 8,142 MW, and 231 of these are HEPP’s with an installed power of 485 MW.

It is also reported that 12 import coal power plants of 2449 MW, 94 WPP’s of 1577 MW, 38 fuel-oil power plants of 1066 MW, 10 natural gas power plants of 722 MW, and 12 natural gas – fuel oil power plants of 406 MW have been commissioned since 2003.

Source : Teba News


Notice to Proceed (NTP) set to be given for project. Facility expected to come on line in first half of 2014

Developments have been recorded concerning Yeni Elektrik Üretim A.Ş.'s (an affiliate of Unit Group) "Gebze Natural Gas Combined Cycle Power Plant Project" planned to be realized in Kocaeli - Gebze.

According to our information, Notice to Proceed (NTP) will be given for this 830 MW project by Unit Group to Italian Ansaldo Energia in July.

As known, credit talks for this project, EPC work for which was undertaken by Ansaldo Energia, had been compeleted previously. The facility is anticipated to come on line in the first half of 2014.

Forty per cent of the shares in Gebze Natural Gas Combined Cycle Power Plant had been acquired by Italian Ansaldo Energia S.p.A. in the previous months. The said acquisition had also been approved by the Competition Authority.

Meanwhile, deal has been reached with Ekon - Prokon Group to act as the sub-contractor for the construction and assembly works of the project. The related contract is expected to be signed in the coming days.

Italy's Ansaldo Energia (Turkey Representative: ViTO Ticari Mümessillik ve Yatırım A.Ş.) is developing the project on turnkey basis including construction. The gas turbines, steam turbines and generators are made in Ansaldo Energia's factory in Geneve under its own license. Ansaldo Energia will supply two waste heat boilers from Italian STF which, along with its Danish affiliate BWE, are among Europe's leading boiler and condenser manufacturers.

ViTO Ticari Mümessillik ve Yatırım A.Ş. is also known as the Turkey respresentative for Norwegian Rainpower (previously known as GE Hydro Norway).

Ref: Yatırımlar 1035/June 27, 2011-(GB/AG)


Credit of USD 700 million for financing Project obtained from 4 Turkish banks is available to be used. Construction works of Gebze Natural Gas Thermal Power Plant are expected to be accelerated in the forthcoming period.

ITALIAN Ansaldo led by Unit Investment has completed financing process of 865 MW Gebze Combine Cycle Power Plant to be installed 60 km out of İstanbul.

Following the financial preliminary protocol signed with local banks in March 2011, term loan debt of USD 700 million has been obtained from 4 local banks for construction and non-cash facility of USD 80 million for auxiliary needs of the project. The credit agreement for USD 175 million obtained from each Yapı Kredi, İş Bank, Vakıfbank and Garanti Bank has been signed on June 10, 2011. The debt matures over 14 years together with 3 year grace period.

Relevant sources report that the credit was released on July 12, 2011 and USD 132 million loan will be taken as the beginning. The same sources report that the construction period of the project is 30 months and construction works are awaited to be accelerated after financing is obtained.

As it might be recalled, in the most recent news story on the subject we had reported that Unit Group had reached agreement with four local banks for financing the project and with EPC contractor Ansaldo Group (TEBA Web Site: May 24, 2011).

Project to cost USD 1 billion.

The USD 1 billion project is expected to go online by the end of 2013 in a particularly congested area of the national grid and provide power to the neighboring industrial establishments as well as the metropolitan city İstanbul. Having envisaged to finance USD 700 million part of the cost with the credit obtained, Unit and Ansaldo plan to cover USD 300 million part from their own sources. Accordingly, Unit having developed the project with 60% shares is expected to use USD180 million, and Ansaldo, having 40% shares to use USD 120 million own sources. To be constructed by Ansaldo acting as EPC contractor, Power Plant is targeted to achieve 57.9% efficiency. The power plant has designed so as to have high efficiency and technically to operate under liberal market conditions.

One of the most important characteristics of the project is that it is the first and sole natural gas project financed on a limiter recourse basis in real sense in the liberalizing and developing energy market of Turkey.

Consultants of the Project

Companies rendering consultancy services for the project are Clifford Chance LLP, Hergüner Bilgen Özeke Hukuk Bürosu, Gifford, Tractebel Engineering and Marsh, for the banks are White and Case, Çakmak, Deloitte, Anadolu Doğalgaz Danışmanlık, JLT and Fichtner. Financing model is reportedly to be designed by Ernst Young and Fichter will render engineering services to the banks along the construction process and Tractebel will render engineering services to the owner of the power plant.


(27 June 2011) Deal to be sealed with Ekon – Prokon Group, winner of Construction and Assembly Works Tender.

Developments have been recorded concerning Yeni Elektrik Üretim A.Ş.'s (an affiliate of Unit Group) "Gebze Natural Gas Combined Cycle Power Plant Project" planned to be realized in Kocaeli - Gebze.

According to our information, talks with Ekon Prokon Group, which have been ongoing for a while, have been completed. Contract is due to be signed shortly.

Italy's Ansaldo Energia (Turkey Representative: ViTO Ticari Mümessillik ve Yatırım A.Ş.) is developing the project on turnkey basis including construction. The gas turbines, steam turbines and generators are made in Ansaldo Energia's factory in Geneve under its own license.

Ansaldo Energia will supply two waste heat boilers from Italian STF which, along with its Danish affiliate BWE, are among Europe's leading boiler and condenser manufacturers.

Ref: Yatırımlar 1021/March 21, 2011-(GB/AG)


For several years Rainpower has been engaged in the development of its own Pelton turbine. The new turbine, Rainpower Blizzard, is now ready for the market. The new concept won the competition for the large Cheves contract in Peru at the end of last year.

Model testing carried out this week in the presence of the client SN Power demonstrates that the turbine exceeds the stringent demands of the contract. The Blizzard turbine has already been sold to the Quitaracsa project in Peru and to Tussa Energi’s four new power stations in the Ørsta district.

“The development of new turbines with ever-increasing levels of efficiency will make all the difference to the optimal use of water as an energy source,” said Rainpower CEO Svein Ole Strømmen. “Our newly developed Blizzard turbine has won international tenders because of its innovative technology. If we are to succeed in the international market, we must maintain technological progress founded on our long experience and wide expertise. We have great faith in the market opportunities for the Blizzard turbine,” Strømmen added.

Rainpower is one of the world’s foremost providers of Pelton technology and began development of its own Pelton turbine in 2008. Through research, analysis and practical experiment each component of the turbine was developed and tested. Based on this work a scale model was built, customized for the Cheves project. This model has been tested and optimized in the laboratory during the period 2010 to 2011. Chief development engineer Jan Otto Haugen declares with great pride that he has never measured such high energy efficiencies on a Pelton with this head in his 35-year career! The development division in Rainpower continues the work on the Blizzard turbine to adapt the technology for future Pelton projects.

“Rainpower’s new Blizzard turbine delivers considerably more than the contract promised and demanded. We are extremely pleased,” said Per Braaten from SN Power, who was present during the testing in Trondheim

 Rainpower is a strong technologically driven corporate group supplying water turbines and generators with all associated parts for the production of clean electricity. The product range includes total solutions for new power plants and equipment for the upgrading of existing power plants. Rainpower provides the whole value chain from the development of technical solutions to putting the plant into operation. The group has around 300 employees at Kjeller, Sørumsand, Trondheim, Oslo, Västerås, Kristinehamn, Istanbul, Lima and Hangzhou in China. The headquarters are in Kjeller.

ViTO Ticari Mümessillik ve Yatırım A.Ş. is the exclusive representative of Rainpower in Turkey since 2008. Company with its partners offers turn-key solutions to Turkish hydro and thermal power plants and maintenance services for turbines, generators, auxiliary equipments and control systems. ViTO A.Ş.’s headquarter is in Istanbul and it has an office in Ankara.


Electricity consumption in March 2011 realized at a level of 19.2 billion kWh, increasing by 12.9 percent compared to the same month of the previous year.

According to provisional operation results of Turkish Electricity Transmission Co. (TEİAŞ), electricity consumption in March 2011 realized at a level of 19.2 billion kWh, increasing by 12.9 percent compared to the same month of the previous year.

According to research made by TEBA, an electricity export of 195.6 million kWh has been made in March 2011 out of the total energy amount supplied for consumption, the total energy amount supplied being 19.4 billion kWh.

As will be recalled, while the electricity consumption in February was 17.7 billion kWh, electricity generation was realized at a level of 17.5 billion kWh, increasing by 11.2 percent (TEBANEWS#1502/ March 14, 2011).

Total electricity generation in Turkey in March has been 19.1 billion kWh

On the other hand, while it is determined that the total electricity amount generated in Turkey in March has been 19.1 billion kWh, it is observed that an import of 318.4 million kWh has been made.

While Electricity Generation Company (EÜAŞ) generated an electricity amount of total 5.8 billion kWh in March, 3 billion kWh of this amount has been generated thermally and 2.8 billion kWh by hydroelectric means. Electricity generation of EÜAŞ subsidiaries is determined to be 1.6 billion kWh.

While the generation in Build-Operate (BO) Power Plants in March has been 4.1 kWh, the amount generated in Build-Operate-Transfer (BOT) Power Plants has been 1.2 billion kWh, and a power generation of 379 million kWh has been made in Transfer of Operational Right/s (TOR) Power Plants. Electricity generation by auto-producers is determined as 1 billion kWh.

Free production companies realized an electricity generation increase of 67 percent compared to the same month of the previous year

Free production companies on the other hand, realized an electricity generation of 4.7 billion kWh, increasing by 500 million kWh compared to the previous month. It is accordingly determined that the free production companies increased their electricity generation by 67 percent compared to the same month of the previous year. The production amount of these companies in March 2010 was 2.8 billion kWh.

Source : Teba News


Developments have been recorded concerning Yeni Elektrik Üretim A.Ş.'s (an affiliate of Unit Group) "Gebze Natural Gas Combined Cycle Power Plant Project" planned to be realized in Kocaeli - Gebze.

According to our information, approval was obtained in the past days from the Electricity Market Regulatory Board (EPDK) regarding the transfer of 40% of shares in Yeni Elektrik Üretim A.Ş.- which will develop the said project- to Italy's Ansaldo Energia S.p.A.

Officials stated that EPDK would make licence amendment after the share transfer. As known, turnkey engineering, supply and construction (EPC) contract was signed in the past days with Italy's Ansaldo Group (Turkey Representative: ViTO Ticari Mümessillik) for this 900 MW power plant. Construction works will begin immediately after the licence amendment. The facility is slated to become operational until September, 2013.

Ref: Yatırımlar 1009/December 27, 2010-(GB/AG)


EMRA approves the transfer of 40 percent shares to Ansaldo Energia S.p.A. of Italy, of Yeni Elektrik Üretim A.Ş. which will construct Gebze Power Plant of the Unit Group. The company will apply to EMRA for license amendment upon completing share transfer procedures.

APPROVAL is obtained from Energy Market Regulatory Authority (EMRA) regarding the transfer of 40 percent shares to Ansaldo Energia S.p.A. of Italy, of Yeni Elektrik Üretim A.Ş. which will construct Gebze Natural Gas Combined Cycle Thermal Power Plant of the Unit Group operating Marmara Ereğlisi Natural Gas Combined Cycle Thermal Power Plant which is one of the first thermal power plants in Turkey with the Build-Operate-Transfer (BOT) model

Sources close to the matter noting that sales procedures will be started immediately regarding the transfer of shares upon having taken recently such an important step in Gebze Natural Gas Combined Cycle Thermal Power Plant Project, state that construction works for Gebze Project are expected to be accelerated from this point on, accordingly.

In our last news bulletin on the matter, we reported that Unit Group signed with Ansaldo Energia S.p.A. from Italy an EPC contract (engineering, procurement of equipment and construction) for Gebze Natural Gas Combined Cycle Thermal Power Plant Project, and for giving a 40 percent shareholder status to the firm in the project and operation company. We also reported that application was made to EMRA regarding the license amendment, and that transfer procedures would becompleted and license amendment would be made upon positive opinion of EMRA having taken up Unit Group’s share transfer application for evaluation (TEBANEWS#1492/January 3, 2011).

Share transfer procedures will be finalized.
Sources close to the matter noting that the expected approval has recently been given by Energy Market Regulatory Authority for the transfer of shares, report that the company will take action from this point on to finalize the share transfer procedures. It is reported that the procedure will be finalized upon publishing of Executive Board decision in Trade Registry Gazette regarding the share transfer of Yeni Elektrik Üretim A.Ş. ,and that license amendment will be made by EMRA, consequently.

Same sources stating that the license will be amended by entering on the license, the amendment in shares of the company of which the name is entered in the production license given by EMRA for Gebze Natural Gas Power Plant, report that the share transfer procedures regarding the energy project will be finalized accordingly.

Unit Group signed an EPC Contract with Ansaldo Energia
Unit Group, in relation with the financing of the new Natural Gas Combined Cycle Thermal Power Plant Project which will be constructed in Istanbul-Gebze, signed an agreement with Ansaldo Energia S.p.A., under the Finmeccanica Group which is one of the prominent international investing companies of Italy, that will undertake the EPC contract (engineering, procurement of equipment and construction) at the same time, to sell 40 percent shares of Yeni Elektrik Üretim A.Ş., the new owner of Gebze Power Plant.According to the agreement made with Ansaldo, the Italian company would construct Gebze Power Plant as a turnkey project with condition that 40 percent shares are taken over by the company. It is accordingly stated that Unit Group having secured an important finance source with the loans to be provided from Italian banks also for the investment of Gebze Natural Gas Thermal Power Plant at a value of around $1 billion, hence will complete the construction of the project with speed.Positive opinion was also recently given by Turkish Competition Authority regarding the transfer of 40 percent shares of Yeni Elektrik Üretim A.Ş. of Unit Group to Ansaldo.


Finance agreements will be signed latest in March for Gebze Power Plant, and bids will be demanded from national companies for the construction and assembly works upon putting the contract into effect. EMRA is expected these days to give approval for share transfer made to Ansaldo from Italy

It has been learnt that bidding stage will be reached for the construction and assembly works of the power plant, following the signing of finance agreements latest in March for Gebze Natural Gas Combined Cycle Thermal Power Plant Project to be built by Unit Group with an installed power of 850 MW.

On the other hand, it is reported that Energy Market Regulatory Authority (EMRA) will scrutinize the application these days regarding the transfer of equities of Ansaldo Energia S.p.A. under the Finmeccanica Group that joined Gebze Project as a 40 percent shareholder. EMRA is expected to start license amendment procedures by giving approval to the equity transfer upon finding the application appropriate to regulations.

In our last news bulletin on the matter, we reported that Unit Group signed an agreement with Ansaldo Energia S.p.A. from Italy for the EPC contract (engineering, procurement of equipment and construction) of the project and for giving a 40 percent shareholder status to the firm in the project and the operation company. In the same bulletin, we also reported that the partnership agreement approved also by Turkish Competition Authority, would be put into effect these days and that and financing the project will be finalized within March 2011 with 4 Turkish Banks (TEBANEWS#1492/ January 3, 2011).

Bids will be demanded from national companies for the construction and assembly works of the power plant, upon putting the EPC contract into effect

It is stated that the EPC contract signed with Ansaldo Energia for Gebze Power Plant will be put into effect upon signing of finance agreements. It is hence reported that upon putting into effect the agreement regarding the procurement of turbine and generators and electrical equipment, and the engineering services which will be the most important contract of the project with Italian Ansaldo, construction and assembly works of the project will come on the agenda. For the construction and assembly works of the project, Unit Group is expected to demand bids from national companies which have the capability for the said works.

As we reported in our previous bulletin, Unit Group is expected to ask bids from a list of companies, these being primarily Turkish contractor companies that were in consortia from which turnkey bids were previously accepted for Gebze Natural Gas Combined Cycle Thermal Power Plant Project.

EMRA will make the license amendment upon finalization of share transfer procedures

Unit Group is reported to come to the stage of license amendment procedures after receiving the expected confirmation for the share transfer procedures from EMRA. Upon publishing of the share transfer in Trade Registry Gazette, it is stated that the procedures will be completed and that EMRA will make the license amendment following this, accordingly.


Contract is signed with the consortium, in which French Areva is also participating, under the leadership of Norwegian Rainpower winning 120 MW HEPP’s electromechanical and electric equipment procurement tender

IT IS LEARNT that international tender concerning procurement of electromechanical and electrical equipment for 120 MW Aslancik Dam and HEPP to be constructed on Giresun’s Harsit Creek by Doğuş-Doğan-Anadolu (DDA) Company Group, evaluation studies of which have been going on for a while and for which offers were requested from 4 international companies by early 2010 were finalized recently.

It is informed that expected turnkey tender contract is signed between Aslancık Elektrik Üretim A.Ş. formed by DDA Company Group and the consortium led by Norwegian Rainpower (Representative: ViTO) in which French Areva is also participating winning the international tender on December 23, 2010.

Rainpower Company, headquarters of which are located in Kjeller outside Oslo, is a well-known company that manufactures and supplies water turbines, generators and all associated equipment for electricity production and has been continuing its operations in Turkish Energy Sector for a long time.

Abovementioned job is undertaken for 2.5 years in accordance with the contract

According to the information obtained by TEBA, it is noted in the signed contract that Rainpower company will supply the electromechanical equipment and French Areva will supply the electrical systems. Norwegian Rainpower Company will manufacture 2 ea Francis type turbine and generator along with the spare parts.

According to the contract it is projected that the electromechanical equipment and electrical systems will be turnkey delivered and HEPP will be commissioned within 2.5 years as of the job launch date.

As may be recalled in our recent news story we reported you that DDA Company Group would receive revised offers from the 4 companies given below on April 30, 2009 concerning electromechanical equipment of DDA Company’s Aslancık Dam and HEPP Project (TEBANEWS#1459/May 3, 2010).

- Andritz Hydro (Austria)

- Voith-Siemens (Germany)

- Rainpower (Norway)

- DEC (China)-ABB (Multi National)

Characteristics of the Project

Investment amount was approximately $200 million in accordance with the feasibility report prepared for Aslancık Elektrik Üretim A.Ş.’s project, which received generation license on March 20, 2008 from Energy Market Regulatory Authority (EMRA) for Aslancık Dam and HEPP Project. Accordingly approximately 35-40% of the investment amount was comprised of the procurement of electromechanical and electrical equipment. Annual 418 million kWh electricity energy will be provided by the facility of 120 MW to be constructed on Harşit Creek, Giresun.


Norwegian Rainpower AS, exclusively represented by ViTO Ticari Mümessillik ve Yatırım A.Ş., signed a turn-key agreement for the supply of electromechanical equipment with Aslancık Elektrik Üretim A.Ş. (owned by Anadolu Group, Doğan and Doğuş Holdings) for the supply of turbines, generators and electrical equipment of Aslancık Dam and Hydroelectric Power Plant project.

Rainpower and its consortium members will provide two units of Francis turbines, generators and electrical systems for 120 MW HEPP to be installed in Giresun city.  Aslancık Elektrik Üretim A.Ş. obtained a license for Aslancık HEPP from Energy Market Regulatory Authority (EMRA) on 20 March 2008.

Rainpower supplies water turbines, generators and all associated equipment for the production of clean electricity. The product range includes total solutions for both new power plants and the upgrading of existing power plants. The headquarters are in Kjeller outside Oslo in Norway

ViTO Ticari Mümessillik ve Yatırım A.Ş. is the exclusive representative of Rainpower in Turkey. Company with its partners offers turn-key solutions to Turkish hydro and thermal power plants and maintenance services for turbines, generators, auxiliary equipments and control systems. ViTO A.Ş.’s headquarter is in Istanbul and it has an office in Ankara.

In 2010, ViTO A.Ş. has also received contract awards for Rainpower for Vizara HEPP project of Yılmaz Ulusoy Holding and Horu HEPP project of Maraş Enerji. ViTO is also representing Ansaldo Energia which has been recently awarded for Unit’s Gebze Natural Gas Combined Cycle project (850 MW). Another consortium represented by ViTO A.Ş. (Tecnicas Reunidas/Ansaldo Energia) has been in the shortlist of two companies in Akenerji’s Hatay-Erzin Combined Cycle Power Plant projects.


Deal sealed with Norwegian Rain Power for Electromechanical Equipment Tender

Developments have been recorded concerning "Aslancık Elektrik Üretim ve Ticaret Ltd. Şti.'s "Aslancık Dam and Hydroelectric Power Plant Project."

According to our information, contract was signed with the Norwegian firm Rain Power (Turkey Representative: ViTO Ticari Mümessillik) on the date of December 22, 2010.

As known, the firms/joint ventures to have submitted revised bids for this tender were as follows:

  1. Rain Power (Norway)
    2. Andritz Hydro (Austria)
    3. DEC (China) 
    4. Voith Hydro (Germany)

Ref: Yatırımlar 991/August 9, 2010-(GB/AG)


Unit Group signed agreement with Ansaldo Energia S.p.A. from Italy for EPC contract (engineering, procurement of equipment and construction) and 40 percent partnership to the project and operation company regarding the project. The partnership agreement also approved by Turkish Competition Authority will be put into effect these days and financing the project will be finalized within March 2011 with 4 Turkish Banks, reportedly

IT HAS BEEN learnt that new developments are experienced in Gebze Natural Gas Combined Cycle Thermal Power Plant which will be built by Yeni Elektrik Üretim A.Ş. owned by Unit Group which operates Marmara Ereğlisi Natural Gas Combined Cycle Thermal Power Plant which is one of the first Build-Operate-Transfer (BOT) Model Thermal Power Plants in Turkey, and that coming to the construction stage is aimed for the project starting from March 2011, with the new prepared work schedule.

It is determined that a new stage has been reached in financing efforts for the new Natural Gas Combined Cycle Thermal Power Plant to be built in Gebze, Istanbul with license obtained from Energy Market Regulatory Authority (EMRA) by the Unit Group. It is accordingly reported that Yeni Elektrik Üretim A.Ş. founded to be responsible for the construction and the operation of the project, signed recently a turnkey EPC contract with share transfer condition, with Ansaldo Energia S.p.A. from Italy under the Finmeccanica Group which is one of the prominent international investors of Italy.

As will be recalled, in our last news bulletin on the matter, we reported that Unit Group would accept revised bids from 5 companies on May 14, 2010 for the turnkey construction of Gebze Natural Gas Combined Cycle Thermal Power Plant. We also reported in the bulletin that Unit Group was negotiating with a Bank Consortium to finance the project and that the finance agreement was aimed to be signed in September 2010 (TEBA Web Site: May 3, 2010).

Sources close to the matter feature the finalization of financing efforts for a new energy investment of around $1 billion, as a successful development, in the year 2010 when the international crisis is being felt most intensively in foreign markets.

EPC contract is signed with Ansaldo Energia, 40 percent share transfer agreement is being put into effect

It is reported that Unit Group signed the EPC contract (engineering, procurement of equipment and construction) for Gebze Natural Gas Power Plant with Ansaldo Energia S.p.A. from Italy renowned as one of the prominent natural gas turbine manufacturers in the world and as an Energy Sector investor, upon negotiations conducted in November. According to the preliminary agreement made by Unit Group with the Italian company, decision has been taken on buying 40 percent shares of Yeni Elektrik Üretim A.Ş. founded to construct and operate Gebze Natural Gas Power Plant, by Ansaldo with the EPC contract, reportedly.

As a matter of fact, it is stated that procedures are started a while ago regarding the transfer of 40 percent shares of Yeni Elektrik Üretim A.Ş. to Ansaldo, and that the expected approval is given by Turkish Competition Authority, regarding the matter. The opinion of Turkish Competition Authority on the said transfer procedure, reads as follows:

“Permit has been granted for the transfer procedure of 40 percent shares of Yeni Elektrik Üretim A.Ş. owned by Unit Investment N.V., by Ansaldo Energia S.p.A., on grounds that this will not give way to a result of having a dominant position as defined in Article 7 of Law #4054 and Notice #1997/1, or enhancing the present dominant status and hence considerably curtailing competition”.

Application is made to EMRA for license amendment of the project

On the other hand, it is reported that application is made to EMRA recently regarding the share transfer procedure of the company which will execute Gebze Natural Gas Power Plant Project. The transfer procedure will be finalized upon positive opinion of EMRA that has taken up the share transfer application of Unit Group for scrutiny, and the license amendment will accordingly be made, expectedly.

Gebze Natural Gas Power Plant will be constructed at a power of 850 MW

Meanwhile, it is reported that the installed power of Gebze Natural Gas Power Plant will be amended as 850 MW, with the license amendment application made to EMRA. As will be known, the power of the plant was registered as 900 MW in the previously obtained license for Gebze Natural Gas Power Plant.

According to the EPC contract made with Ansaldo Energia of Italy, Gebze Natural Gas Power Plant will be designed with 2 Gas Turbines, 2 Exhaust Heat Boilers, and 1 Steam Turbine and the total installed power will be 850 MW. The natural gas turbines of the power plant will be manufactured by Ansaldo of Italy by own means. According to the agreement signed, the construction period of the power plant will be 30 months upon starting the construction in March 2011 when finance agreement is signed. Under these circumstances, Gebze Natural Gas Power Plant is aimed to be put into service in September 2013, if no delays occur.

Italian Ansaldo Group will accept sub-contractor bids from Turkish companies for the construction

Italian Ansaldo Group assigned as the main contractor of Gebze Natural Gas Power Plant is expected to accept sub-contractor bids from Turkish companies for the construction and assembly works of the power plant. Related sources claiming that there are experienced companies in Turkey in Natural Gas Power Plant construction and assembly works, state that Italian Ansaldo may contact these companies in the near future and ask for bids.

As will be known, Unit Group accepted bids from following consortia in the previous tender for the EPC contract for Natural Gas Combined Cycle Power Plant Project to be built in Gebze:

- Alstom (France)-Tekfen

- Siemens (Germany)-Enka

- Gama Güç Sistemleri-General Electric (USA)

- Mitsubishi Heavy Industries (Japan)-ATEC

- Itochu Corp. (Japan)-GSE (South Korea)

Turkish companies listed in the groups above are expected to be candidates to bid as sub-contractors for Gebze Natural Gas Power Plant.

2010


Turnkey Engineering, Supply and Construction (EPC) Contract signed with Ansaldo Group (Italy) for 900 MW power plant.

Developments have been recorded concerning Yeni Elektrik Üretim A.Ş.'s (an affiliate of Unit Group) "Gebze Natural Gas Combined Cycle Power Plant Project" planned to be realized in Kocaeli - Gebze.

According to our information, turnkey engineering, supply and construction (EPC) contract was signed in the past days with Italy's Ansaldo Group (Turkey Representative: ViTO Ticari Mümessillik) for this 900 MW power plant.

Officials stated that talks with a consortium comprised of domestic banks are ongoing for the financing of the project. Officicals went on to explain that construction works are expected to begin next March. The facility is slated to become operational until September, 2013.

Ref: Yatırımlar 990/August 9, 2010-(GB/AG)


TEDAŞ Electricity Distribution Company’s privatization tender bids for Istanbul Asian coast, the Mediterranean and Taurus Electricity Distribution Companies were completed.  

 The final map of privatized electricity distribution companies with respective companies winning the rights to operate is shown on below:




ViTO A.Ş. Chairman Mr Vedat İrdelp, Executive Board Members Mr Zeki Köseoğlu and Mr Fikret Baran and Rainpower CEO Svein Ole Stroemmen visited Yilmaz Ulusoy Holding. The meeting was related to the already signed Vizara HEPP Project.


Rainpower has successfully developed in-house turbine technology. Now we are working towards our own generator technology. In order to ensure that we remain at the leading edge of technology, we have established a technology centre in Västerås in Sweden. Five highly qualified members of the team have already been appointed to work with our expert staff in Norway on the development of new generator technology.
‘Rainpower’s mission is to become a complete supplier of generators, able to compete with established suppliers on technology, quality and price in those markets where we have a presence,’ comments CEO Svein Ole Strøemmen. ‘With our proprietary technology we want to increase our chances of winning in the growing market for pumped-storage power stations in Europe. We have high expectations for our new venture,’ concludes Strøemmen.

As of this summer, Rainpower appointed Kjetil Toverud, formerly head of Voith Hydro’s hydropower venture in Norway, to lead the development of generator technology. To secure our cutting-edge capability in this area into the future, Rainpower has set up a technology centre for generators in Västerås. Five key people have been appointed to the department and successive appointments will be made. These people have the technical expertise, construction experience and practical know-how for Rainpower to develop world-class generators at the forefront of technology.

In the Scandinavian market today there is a demand for several local operators within the service and upgrading of generators. Rainpower has therefore set up a generator service team linked to the company’s existing service operations in Norway, and we have entered our first contracts in generator service and upgrading. An area of 500 square metres has been earmarked for generator service in our workshop in Sørumsand. The department in Västerås will also include a service team who will work actively in the Swedish market.

Rainpower is a strong technologically driven company with a highly qualified workforce of around 300 people in Kjeller, Sørumsand, Trondheim, Oslo, Västerås in Sweden and Hangzhou in China. The company, founded on the hydropower expertise of Kvaerner and General Electric, supplies water turbines and all accessories for the production of clean electricity. The product range includes total solutions for both new power plants and the upgrading of existing power plants. Rainpower provides for the whole value chain, from the development of technical solutions to putting the plant into operation. The headquarters are in Kjeller.

ViTO Ticari Mumessillik ve Yatırım A.Ş. was founded in the year 2000 by a group of entrepreneurs and investors who have successfully completed numerous energy projects for Turkish public and private sector companies since 1990. ViTO is the exclusive representative of Rainpower in Turkey since 2008. The company works with the Turkish hydro and thermal power plants and supplies and gives maintenance to the turbines, generators, instrumentation and control systems and offers turn-key solutions.


Electricity figures started to increase significantly during the recent months upon increase in industrial production and growth rates displayed one of the highest increase rates in August 2010 and increased 15.1% when compared to the same month of the last year.

Electricity consumption which was 17 billion 704 million kWh in August 2009 increased to 20 billion 386 million kWh in August 2010. Turkey’s electricity consumption for the first 8 months increased 8.1% when compared to the same period of the last year and realized as 139 billion 832 million kWh. In 2009, Turkey’s electricity consumption for the first 8 months was realized as 129 billion 339 million kWh.

Moreover in August 2010 foreign purchase of Turkey, buying electricity from Iran, Georgia and Azerbaijan is recorded as 78 million kWh. Moreover Turkey sold electricity of total 247 million kWh to Iraq and Syria in August.

As may be recalled electricity consumption in 2010 July was that recorded as 19.3 billion kWh with an increase of 9.2%. Electricity generation was realized as 19 billion 992 million kWh with an increase of 10% and free consumption companies displayed 36% increase in the generation.

Distribution of Turkey’s electricity generation

Furthermore in August 2010 electricity of 20 billion 555 million kWh is generated in Turkey by 15.4% when compared to the same month of the last year. Electricity generation during the first 8 months of 2010 is determined as 140 billion 670 million kWh with an increase of 8.4% when compared to the same term of the last year.

When EÜAŞ generation figures are examined, it is observed that electricity generation of 8 billion 273 million kWh was realized in August and accordingly increase of approximately 20% was realized when compared to the same month of the previous year. It is determined that EÜAŞ and its subsidiaries recorded electricity generation of 1 billion 769 million kWh and realized an increase of 1.5% when compared to the same month of the last year.

Moreover it is observed that Transfer of Operating Rights (TOR) Power Plants generated electricity of 415 million kWh with an increase of 37.9%, auto producers generated electricity of 993 million kWh with increase of 1.5%, Build Operate (BO) Power Plants generated electricity of 3 billion 840 million kWh with no increase, and Build-Operate-Transfer (BOT) Power Plants generated electricity of 1 billion 264 million kWh with 9.3% and free consumption companies generated electricity of 3 billion 999 million kWh with an increase of 38.2%.

Source : Teba News


According to our information, contract was signed with the Nowegian Rainpower to supply turnkey equipment of this project. The power plant is expected to become operational in the third quarter of 2011.ViTO Ticari Mümessillik ve Yatırım A.Ş., the only representative of Rainpower ASA in Türkiye, has offices in İstanbul and Ankara. The firm, apart from providing turnkey HEPP nad thermal power plant solutions, also offers maintenance services for turbines, generators and auxiliary equipment.-(GB/AG)


Rainpower ASA (exclusively represented in Turkey by ViTO Ticari Mümessillik ve Yatırım A.Ş.) has won the bid for the turn-key supply of the electro-mechanical equipment for Vizara HEPP (8.5 MW), owned by Yilmaz Ulusoy Holding. The signing ceremony was held at Yilmaz Ulusoy Holding’s head office in Istanbul on August 4th, 2010. The plant is expected to enter operation in Q3 of 2011.

Yilmaz Ulusoy Holding is a prominent diversified company in Turkey, which is in the process of establishing an extensive energy portfolio in Turkey. Rainpower and ViTO are extremely pleased to have won the contract for Yilmaz Ulusoy Holding’s first hydro power plant and hopes to work together with the company on its upcoming hydro power projects.

Furthermore, Rainpower and ViTO are very pleased with the current development in the Turkish hydro market, as Vizara is the second hydro project they have been awarded with in Turkey this year. With a number of further offers having been submitted Rainpower and ViTO hope to continue this positive trend by winning further bids and more market share in the booming Turkish hydro power market.

Rainpower is a strong technology-driven group with around 300 highly qualified employees at Kjeller headquarters, Sørumsand workshop, Trondheim laboratory and production facilities in Hangzhou, China. The company, which is built upon the hydropower expertise of Kværner and General Electric, supplies water turbines with all related equipment for the production of clean electricity. The product range includes total solutions for new power stations as well as equipment for upgrading existing power stations. Rainpower’s products cover the entire value chain from the development of technological solutions to the commissioning of power stations. The main office is located at Kjeller.

ViTO Ticari Mumessillik ve Yatırım A.Ş. was founded in the year 2000 by a group of entrepreneurs and investors who have successfully completed numerous energy projects for Turkish public and private sector companies since 1990. ViTO is the exclusive representative of Rainpower in Turkey since 2008. In addition to supplying turbines, generators and instrumentation and control systems, the company offers turn-key solutions and maintenance services to Turkish hydro and thermal power plants. The company is headquartered in Istanbul and has a further office in Ankara.


Norwegian Rainpower company, represented by ViTO Ticari Mümessillik ve Yatırm A.Ş. company in Turkey, signed a turnkey procurement agreement with Maraş Enerji Yatırmları San. ve Tic. A.Ş. company for electromechanical equipment.

According to the agreement signed, Rainpower company will provide 2 units of Francis turbines, generator, subsidiary equipment, control system and spare parts for the 8.5 MW Horu HEPP to be installed in Osmaniye for which Maraş Enerji Yatırımları company obtained a license from Energy Market Regulatory Authority (EMRA) on 28 May 2009.

In the statement made by ViTO Ticari Mümessillik company, it was pointed out that Maraş Enerji Yatırımları company had also undertaken 9.6 MW Fırnıs HEPP project, and that this company was an important customer of ViTO Ticari Mümessillik and Rainpower companies. It was further mentioned in the statement that the Horu HEPP project was the 5th project in Turkey for which Rainpower will provide electromechanical equipment, and that Rainpower provided electromechanical equipment for 4 HEPP project belonging to Spanish Essentium Group in 2009.

As might be recalled, we reported you that a construction contract valued at nearly NK 170 million had been signed by Rainpower for the procurement of equipment for 4 HEPPs, owned by Gruppo Essentium company, to be completed in 2011 (TEBA: 1437/30 November 2009). In addition, Spanish Essentium Group’s Essentium Enerji Yatırımları company had obtained € 42 million loan from Turkish Industrial Development Bank (TSKB) for total 42 MW Four HEPP project located in Giresun, Ardahan, Kayseri and Düzce (TEBA:1438/8 December 2009).


The interview of Mr Vedat Irdelp, Chairman of ViTO A.Ş., was published on 31.7.2010 by Skyturk channel, ''Business and Life'' TV programme.


Contract has been signed with Norwegian Rainpower regarding Maraş Enerji's “Turnkey supply of electromechanical equipments of Horu Hydroelectric Power Plant Project (8.5 MW).”

According to our information, the contract comprises 2x Francis tribunes, generators, auxiliary equipments, control system and spare parts. The facility is expected to come on line next year.

Horu HEPP will be the fifth HEPP in Türkiye to which Rainpower will supply electromechanical equipments. Last year, the firm had also provided electromechanical equipments for 4 HEPPs owned by Spanish Essentium Group.

Rainpower produces turbines with all related equipments for hydroelectric production purposes. Its product range includes equipment total solutions for new facilities as well as those directed at development of the existing ones.

The sole representative of Rainpower in Türkiye, namely ViTO Ticari Mümessillik ve Yatırım A.Ş., offers turnkey hydroelectric and thermal power plants solutions while at the same time provides maintenance services for turbines, generators and auxiliary equipments.-(GB/AG)


Norwegian Rainpower (exclusively represented in Turkey by ViTO Ticari Mümessillik ve Yatırım A.Ş.), today signed the contract with Maras Enerji for the supply of electro-mechanical equipment of Horu HEPP (8.5 MW). The scope of supply includes two (2) Francis turbines, generators, control systems and auxiliary equipment. The plant is expected to be in operation after one year.

Maras Enerji, which also owns the already operating Fırnıs HEPP (9.6 MW), is an important and valued Client for Rainpower and ViTO in the important fast growing Turkish hydro market. The award of Horu marks the fifth plant Rainpower will be equipping with its electro-mechanical equipment. Last year Rainpower also received the award to supply four (4) small hydro power plants belonging to Spanish Gruppo Essentium.

Rainpower is a strong technology-driven group with around 300 highly qualified employees at Kjeller, Sørumsand, Trondheim, Oslo and Hangzhou in China. The company, which is built upon the hydropower expertise of Kværner and General Electric, supplies water turbines with all related equipment for the production of clean electricity. The product range includes total solutions for new power stations as well as equipment for upgrading existing power stations. Rainpower’s products cover the entire value chain from the development of technological solutions to the commissioning of power stations. The main office is located at Kjeller.

ViTO Ticari Mumessillik ve Yatırım A.Ş. was founded in the year 2000 by a group of entrepreneurs and investors who have successfully completed numerous energy projects for Turkish public and private sector companies since 1990. ViTO is the exclusive representative of Rainpower in Turkey since 2008. The company works with the Turkish hydro and thermal power plants and supplies and gives maintenance to the turbines, generators, instrumentation and control systems and offers turn-key solutions.


Mr. Tuncay Yildirim and Mr. Selahttin Keles from Yilsan A.S., a diversified Turkish company investing in hydro power plants in Turkey, visited Rainpower ASA’s factory in Sorumsund and state-of-the-art water laboratory in Trondheim, Norway  from July 8th-10th, 2010.

Yilsan already owns and operates the 8.9 MW Caldere Hydo Power-plant (HPP) with an annual generation of 40 GWh. Furthermore, the company has shortlisted Rainpower for the supply of Daran HPP (75 MW). The executives were very pleased with the tours and presentations given by Rainpower’s engineers and employees. Especially the water laboratory, where the model tests are conducted, left a very positive impression.

The visit once more underlined Rainpower’s dedication and technical qualifications to manufacture and supply to its Clients high quality and reliable electro-mechanical equipment for hydro power plants.

The visit of Rainpower’s facilities was concluded with a visit to Bratsberg Hydro Power-plant located on the Nidelven River in Trondheim , owned by Statkraft and commissioned in 1977. The power plant was built underground and has an installed capacity of 124 MW generating 650 GWh annually. The Francis turbines of Bratsberg plant were manufactured by Kvaerner, which after being owned by GE for some years developed into Rainpower ASA.








Rainpower ASA has signed a contract with the Swiss hydropower company Officine Idroelettriche della Maggia SA, OFIMA, for the delivery of equipment to the Robiei power plant. The scope of supply includes both pump turbines and a Francis turbine with auxiliary equipment. The value of Rainpower’s contract is NOK 140 million.

Rainpower’s delivery will imply a complete replacement of the plant’s electromechanical equipment, mainly consisting of four reversible pump turbines with a head of 284 to 395 metres and maximum performance of 41 MW and one Francis turbine with a head of 270 to 390 metres and maximum performance of 27 MW. The deliveries are complete with inlet and outlet valves and oil pressure units.

Due to the extreme variation in head range, the contract also includes model tests of two different pump turbine runners in Rainpower’s laboratories in Trondheim. The total project will be carried out in a consortium between Rainpower and Alstom Switzerland. Alstom will supply the generators/motors and the inlet valves for the pump turbines.

The average annual production of the Robiei power plant is 106 GWh. The original equipment was commissioned in 1970, and the components of the power station had to be transported to Robiei by a cable car with a maximum carrying capacity of 19.4 tons. This limitation had an impact on the design of the electric machines.  Rotors, stators and transformers will have to be assembled on site.

Rainpower is currently also delivering a complete upgrade of the Bavona power plant for the same customer. This delivery consists of two twin horizontal Pelton turbines, which are among the largest of their kind in the world. The power station will be commissioned in September 2010, and the value of this contract is NOK 90 million.

Rainpower is a strong technology-driven group with around 300 highly qualified employees at Kjeller, Sørumsand, Trondheim, Oslo and Hangzhou in China. The company, which is built upon the hydropower expertise of Kværner and General Electric, supplies water turbines with all related equipment for the production of clean electricity. The product range includes total solutions for new power stations as well as equipment for upgrading existing power stations. Rainpower’s products cover the entire value chain from the development of technological solutions to the commissioning of power stations. The main office is located at Kjeller.

ViTO Ticari Mumessillik ve Yatirim A.Ş. is the exclusive representative of Rainpower ASA in Turkey. The company works with the Turkish hydro and thermal power plants and supplies and gives maintenance to the turbines, generators, instrumentation and control systems and offers turn-key solutions. Besides Rainpower, ViTO A.S. also represents and serves Italian Ansaldo Energia in Turkey for the thermal power plants projects.




Rainpower and ViTO participated participated to the 16th International Energy and Environment Fair and Conference ICCI 2010 at WOW Convention Center, Istanbul from May 12th-14th, 2010 at stand B14. We thank you again to all our business partners and clients who visited us during the fair.

Source : www.icci.com.tr


HAVING decreased in 2009 as the reflection of the global crisis in industrial production, electricity consumption figures continued the tendency to increase in 2010 which has been caught in the last months of 2009.

According to the information TEBA obtained from the monthly Operational Report of Turkish Electricity Transmission Corporation (TEİAŞ), electricity consumption which had amounted to 14 billion 832 million kWh in April 2009 increased to 16 billion 265 million kWh by 9.7% in April 2010.

In April, the program for electricity generation-consumption was realized by 87%. The program figures had foreseen an electricity consumption of 18 billion 690 million kWh and an electricity export of 107 million kWh for April 2010. It is stated that the whole export amount was made to Iraq. Electricity consumption reached 16 billion 313 million kWh in April 2010 together with the exported amount.

On the other hand, the electricity consumption in January-April 2010 period was realized as 66 billion 398 million kWh. It is seen that the electricity consumption in the 4-month term increased by 6.1% in 2010 compared to the same period of 2009 when the consumption had been realized as 62 billion 597 million kWh. 
As might be recalled, we earlier noted that electricity consumption in March 2010 had increased by 6.7% and realized as 17 billion 27 million kWh, and that during the first three months of 2010, 5% increase in electricity consumption had occurred and electricity consumption had been recorded as 50 billion 141 million kWh (TEBANEWS#1456/April 12, 2010).

According to the TEİAŞ Report, electricity generation in April 2010 increased by 9.7% and realized as 16 billion 314 million kWh. It had been realized as 14 billion 873 million kWh in the same period of 2009.

Electricity generation by private companies increased by 61.9%

When generation figures in 2009 and 2010 are examined, it is observed that in the TEİAŞ Report that the electricity generation by private companies increased significantly.

It is understood that Turkish Electricity Generation Corporation (EUAS), realizing a generation of 5 billion 492 million kWh in April 2009, recorded a generation of 6 billion 767 million kWh in April 2010 with an increase of 23.2%. Of that electricity generation, 2 billion 238 million kWh was realized in thermal power plants and 4 billion 528 million in HEPPs though a decrease of 24.6% is observed in electricity generation in thermal power plants. EÜAŞ’s subsidiaries recorded a generation of 938.9 million kWh with a decrease of 32.1% compared to the same month of the previous year.

Moreover, in April, Transfer of Operating Right (TOR) Plants recorded a generation of 293 million kWh with a decrease of 10.2%, auto-producers recorded an electricity generation of 958.6 million kWh with a decrease of 18.2%, Build-Operate (BO) Plants recorded a generation of 3 billion 289 million kWh electricity with a decrease of 5.2%, Build-Operate-Transfer (BOT) plants recorded an electricity generation of 959 million kWh with an increase of 13.5% whereas free generation companies recorded a generation of 3 billion 108 million kWh with an increase of 61.9%.

When the primary resources are examined, it is seen that 7 billion 45 million 464 thousand kWh electricity was generated in natural-gas plants, 2 billion 144 million 832 thousand kWh was generated in lignite coal-fired thermal plants, 507 million 315 thousand kWh was generated in import-coal fired plants, 420 million 877 thousand kWh was generated in fuel-oil plants, 246 million 363 thousand kWh was generated in coal-fired plants, 41 million 211 thousand kWh was generated in (asphaltite) and 27 million 37 thousand kWh was generated in LPG plants.

Source : Teba News


IT HAS BEEN learnt that bids of 5 firms have been received on March 15, 2010 in the tender launched for the turnkey construction of 900 MW Natural Gas Thermal Power Plant Project to be installed in Erzin, Hatay by Ak Enerji A.Ş. attached to Akkök Holding Group, one of the leading Private Sector companies operated in Turkey in the Energy Sector.

Ak Enerji is expected to evaluate the bids received in the shortest possible time and finalize the tender process through negotiations to be made with the firms found acceptable for the turnkey construction of Erzin Natural Gas Power Plant.
As it might be recalled, we earlier reported that Ak Enerji would receive bids on March 15, 2010 from 5 firms for the turnkey construction tender of Hatay-Erzin Natural Gas Power Plant (TEBANEWS#1452/March 15, 2010).

Firms

The firms submitted bids for Erzin Natural Gas Power Plant are;

  • Alstom (France)-Tekfen İnşaat
  • Siemens (Germany)-Enka İnşaat
  • GE-Gama Güç Sistemleri A.Ş.
  • Mitsubishi Corp. (Japan)-ATEC
  • Tecnicas Reunidas (Spain)-Ansaldo Energia (Italy)

As it may be seen in the list, major European companies made offers for Hatay Project, and among the local groups, Turk-USA joint venture is of note, furthermore, Sabancı Group is observed to submit bid together with Japan Mitsubishi Corp. which already engaged in construction works in Bandırma Natural Gas Thermal Power Plant.

Among the groups submitted bids, Gama Güç Sistemleri A.Ş. which completed many turnkey contracts in abroad, came out as a determined group with the offer made for Erzin Project. Furthermore, Tekfen İnşaat and Enka İnşaat firms supported by French Alstom and German Siemens, powerful names in the European Union experienced in the power plant constructions, try to have chance in the tender with the price offer they made.

As is known, the operation license for Hatay-Erzin Natural Gas Thermal Power Plant Project was first obtained by Burnaz Elektrik A.Ş (TEBA Web Site: February 17, 2010). However, later on, the license right of Erzin Natural Gas Power Plant Project has been bought be Ak Enerji A.Ş., the construction has been brought to construction stage by Ak Enerji Group.

Source : Teba News

2009


In connection with the visit of U.S. Secretary of Energy, Dr Chu to Norway, Norway´s  Minister of Petroleum and Energy, Terje Riis-Johansen, invited a group of business leaders in the energy sector to a lunch meeting with Dr. Chu.

Present from the energy industry were Helge Lund, Statoil, Svein Richard Brantzæg, Norsk Hydro, Auke Lont, Statnett, and Bård Mikkelsen from Statkraft. Rainpower was represented by Svein Ole Strømmen. Dr. Chu is very interested in the climate issue,  and is very knowledgeable about renewable energy generation.He looks for short term as well as long term solutions for sustainable energy production. He especially made a note of the Norwegian hydropower competence, and wanted to learn more about how Norway builds its electricity supply. Norway´s Minister of Petroleum and Energy, Terje Riis Johansen, invited Steven Chu to the Ulla Førre power station; that is one of Norway's largest and most advanced hydro power stations, with equipment from Kværner, Rainpower´s precursor. Dr. Chu got to see how Norway uses water power in a very sophisticated system whichg has been built, delivered and operated by Norwegian leading expertise.

Dr. Steven Chu was the winner of the Nobel Prize in Physics in 1997.

USA see opportunities for increased utilization of its own water resource for electricity generation. Pump storage is of interest. The Ulla-Førre power station, which is one of Norway's largest, includes the Saurdal pump storage station. Saurdal pumps water up to the Blåsjø reservoir, and this acts as a giant battery for storing hydro energy when power production elsewhere in the country is high and the price of electricity is low. When prices raise, the Kvilldal power station generates electricity by using the strored water. Terje Riis-Johansen concluded that the visit was important both for Norway and the env

 


IT HAS BEEN learned that Norwegian Rainpower ASA company, which focuses on renewable energy and which is interested in hydro energy activities in Turkey, has been awarded a contract, valued at NOK 170 million, for the construction of 4 small hydroelectric power plants (HEPPs).

Mr. Svein Ole Strømmen, the CEO of Rainpower said that succeeding in this way shows that Norwegian technology and project management competence is highly sought-after internationally and he added, “Norwegian technology cluster has developed solutions that are highly competitive internationally. We find it very motivating working with exporting sustainable Norwegian technology, thereby contribution to reduce the Global climate challenge abatement. We are particularly happy to contribute to clean energy generation in the growing Turkish economy”.

Mr. Diderik Schnitler, the Chairman of the Board of the Rainpower Group, stated, “Rainpower’s Board of Directors is very pleased with the pro-active and business like manner in which GIEK and Eksportfinance has performed, and this collaboration has been a key factor in securing this contract. The Norwegian incentive regime has contributed significantly to the export of Norwegian technology.”


The subject HEPPs are expected to be commissioned in 2011

Rainpower has worked closely together with GIEK (the Norwegian governmental agency responsible for furnishing guarantees and insurance of export credits) and Esportfinance (the Norwegian export credit institution for Export Financing) in securing this contract. It is noted that this new contract will contribute to a great extent to the Keban HEPP Rehabilitation Project, undertaken by Rainpower.

As might be recalled, we informed you earlier that in the rehabilitation project for the turbines and generations of Keban Dam and HEPP, site delivery had been made on May 11, 2009 and meetings had been held with Temsan and the sub contractor Norwegian Rainpower and EÜAŞ (TEBANEWS#1408/May 11, 2009).

It is further communicated that work on the 4 HEPPs would be started forthwith and be completed in 2011. For the subject HEPPs, the following will be procured: Francis, Kaplan and Pelton turbines, and associated generators, inlet pipes, main inlet valves, draft tubes, bypass systems and oil pressure systems.

ViTO Ticari Mümessillik ve Yatırım A.Ş. company is the exclusive representative of Rainpower ASA in Turkey. The company works with the Turkish hydro and thermal power plants and supplies and gives maintenance to the turbines, generators, instrumentation and control systems and offers turn-key solutions. ViTO company also represents and serves Italian Ansaldo Energia in Turkey for the thermal power plant projects.

Source : Teba News


In April 2009 Rainpower ASA received a contract from the Turkish authorities on the upgrade of eight turbines of a hydroelectric power station on the Euphrates River. The technology is being tested these days at the hydropower laboratory at Rainpower in Trondheim. Test results show that the refurbished units delivers much better than promised, so much better that 130 000 Turkish people can get free electricity for 25 years through extra delivery.

The contract for the upgrading of Keban hydroelectric power station was awarded through TEMSAN - Turkish Electro-Mechanics Co. Industry. Rainpower will supply equipment for the upgrading of the main turbines. The contract covered engineering and model testing and delivery of six runner wheels with a capacity of 183 MW. Rainpower will follow the construction process and completion. The first runner wheel is to be delivered in July 2011 and the last in November 2014.

Rainpower is well underway with the engineering work on the project and has carried out model tests in Trondheim as planned. Test results show that the utilization rate for the hydroelectric power station is 1.5 percent higher than what is promised in the contract. The total increase in energy production will be 235 GWh per year. This represents an additional amount of electricity production equivalent to average annual production of 130 000 Turkish people, that will last for at least 25 years. The increased energy production equivalent to 36% of annual production in the Alta power plant and thus illustrates in an excellent manner the enormous potential that lies in the modernization and upgrading of hydroelectric plants in Norway.

“We are very pleased with the work our engineers have performed on this project and with the test results we see here," says president & Ceo Svein Ole Strømmen in a comment. “With the two major contracts we have for the supply of hydroelectric power stations in Turkey, we will contribute significantly to the realization of Turkey's vast hydroelectric potential”. Turkey is one of the world's largest markets for hydropower, but we also look forward to promoting this technology in other parts of the world.

Rainpower is a strong technology-driven group with around 300 highly qualified employees at Kjeller, Sørumsand, Trondheim, Oslo and Hangzhou in China. The company, which is based on former Kværner's and General Electric's hydropower employees, supplies water turbines with all related equipment for the production of clean electricity. The product range includes total solutions both for new power stations and equipment for upgrading existing power stations. The products from Rainpower cover the entire value chain from development of technological solutions to the commissioning of the power stations. The main office is located at Kjeller.

ViTO Ticari Mumessillik ve Yatirim A.Ş. is the exclusive representative of Rainpower ASA in Turkey. The company works with the Turkish hydro and thermal power plants and supplies and gives maintenance to the turbines, generators, instrumentation and control systems and offers turn-key solutions. Besides Rainpower, ViTO A.S. also represents and serves Italian Ansaldo Energia in Turkey for the thermal power plants projects.


Rainpower ASA has been awarded a contract to build four small hydro power plants in Turkey. The contract, worth more than NOK 170 million, is commissioned by the Spanish company Gruppo Essentium, a privately owned holding company with a portfolio focused on renewable energy. A key focus area is hydropower generation assets in Turkey.

“Succeeding in this way shows that Norwegian technology and project management competence is highly sought-after internationally,” says Mr. Svein Ole Strømmen, the CEO of Rainpower. “Rainpower’s Norwegian technology cluster has developed solutions that are highly competitive internationally. We find it very motivating working with exporting sustainable Norwegian technology, thereby contributing to reduce the Global climate challenge abatement. We are particularly happy to contribute to clean energy generation in the growing Turkish economy,” says Strømmen.

This newly signed important contract adds to the success of Keban, a contract awarded to Rainpower earlier in 2009 in Turkey. The two large international contracts awarded to Rainpower this year signals Rainpower’s ambition of participating in realizing Turkey’s large hydro power potential. Turkey is one of the largest hydro power markets in the world. Both contracts where won through an international tendering process.

Rainpower has worked closely together with GIEK (the Norwegian governmental agency responsible for furnishing guarantees and insurance of export credits) and Eksportfinans (the Norwegian export credit institution for Export Financing) in securing this contract.

“Rainpower’s Board of Directors is very pleased with the pro-active and business like manner in which GIEK and Eksportfinans have perfomed, and this collaboration has been a key factor in securing this contract. The Norwegian incentive regime has contributed significantly to the export of Norwegian technology,” says Mr. Diderik Schnitler, the Chairman of the Board of the Rainpower Group.

The contract signed today includes the delivery of four hydro power plants and the project will commence immediately and last well into 2011. The scope of supply for each of the four new hydro power plants is similar, but dimensions and technical solutions will vary for each the hydro power plants. The deliveries includes Francis, Kaplan and Pelton turbines and associated generators, inlet pipes, main inlet valves, draft tubes, bypass systems and oil pressure systems.

Rainpower is a hydro technology group with approximately 300 hydro professionals located at Kjeller, Sørumsand, Trondheim, Oslo and Hangzhou in China. Rainpower draws on its experience gained through its former owners Kvaerner's and General Electric, supplies Hydro turbines with all related equipment for the generation of clean energy. The product range includes solutions both for new power plants and equipment for upgrading and refurbishment of existing power plants. Deliveries from Rainpower cover the entire value chain, from development of innovative technological solutions to the commissioning of the hydro power plant. The head quarter is located at Kjeller outside Oslo.

ViTO Ticari Mumessillik ve Yatirim A.Ş. is the exclusive representative of Rainpower ASA in Turkey. The company works with the Turkish hydro and thermal power plants and supplies and gives maintenance to the turbines, generators, instrumentation and control systems and offers turn-key solutions. Besides Rainpower, ViTO A.S. also represents and serves Italian Ansaldo Energia in Turkey for the thermal power plants projects.


To view the article on Hürriyet's website please click here

(15 November 2009) - Yeliz Öz

Svein Stroemmen, CEO of Rainpower, a Norwegian Hydroelectric Turbine Manufacturer from Norway, said “In order to strengthen and support Norwegian companies, the Norwegian Government has granted export credits. We are happy to use these credits for feasible projects in Turkey.” He reported that they are going to replace the existing 6 turbine runners of Keban Dam and have Temsan manufacture 2 further new runners in Diyarbakir.

“We built an industry in Norway. We also wish to achieve it in Turkey.” said Svein Stroemmen. CEO of Rainpower, which is undertaking the manufacturing of 6 turbine runners, each with a capacity of 183 megawatt, within the scope of the KEBAN HEPP Rehabilitation project worth 55 million Euros and carried out by Temsan. Svein Ole Stroemmen stated that the private sector in Turkey has more than one thousand hydroelectric power plant licenses.

Each region has a license

Stroemmen, who emphasized that many private sector investments projects were postponed as a result of the economical crisis, said, “As Rainpower we have the advantage of financing the right projects with our equipment. Norway has very serious national income. In order to strengthen Norwegian companies, the Government has granted export credits. The Government wants to use a part of these credits in the hydroelectric sector. In almost every region of Turkey, private sector companies own licenses. We want to give credits to Turkish private sector firms.”

Manufacturing in Diyarbakir

Stroemmen, who denoted that they are undertaking the manufacturing of 6 turbine runners, each with a capacity of 183 megawatt, within the scope of the KEBAN HEPP Rehabilitation worth 55 million Euros and carried out by Temsan, said, “Keban Power Plant is composed of eight units. Rainpower will manufacture 6 turbine runners within the scope of rehabilitation of Power Plant.”

Technological transfer has begun

By emphasizing that Keban HEPP will dispose of a serious increase in power and efficiency of the turbines after 35 years, Svein Ole Stroemmen said, “Upon completion of the project in 2016, alone the efficiency increase of the same plant will result in an additional electric capacity to supply 100 thousand people in Turkey. Together with our technological transfer agreement, we are also making a data transfer. A Norwegian company having an experience of 150 years in this sector is providing this technology transfer to a company in Turkey. A runner of such great power output will be manufactured for the first time in Turkey through this know-how.”

Hydroelectric power will reach its largest usage in the whole world

Svein Ole Strommen, who noted that the importance of renewable energy will increase as a result of global warming, specified that developing countries such as Turkey will require more energy. While this basically displays the need for more renewable energy, Stroemmen said, “For us the renewable energy source with the largest usage in the world is hydro power. Turkey will be able to strategically export electricity to neighboring countries in some time.

Rainpower will construct a factory in Turkey by expanding local manufacturing

CEO of Rainpower, Svein Ole Stroemmen, who explained that they have plans to raise the resources of local manufacturing said the following: “We want to export expand local manufacturing and export to neighboring countries. Turkey is strategically important for Rainpower with its neighbors and resources of local manufacturing. Currently there are firms in Turkey, which produce some hydro mechanical equipment. There are excellent firms in Turkey. We sometimes outsource the manufacturing of equipment, we require, to these companies. We are thinking to construct a manufacturing factory in 2-3 years.”


Today Ansaldo Energia S.p.A. delivered the new inner-casing for one of the V94.2 gas turbines installed at Ambarli Combined Cycle Power Plant, which is owned and operated by EÜAŞ, National Electricity Generation Company. After successfully bidding for the tender, EÜAŞ invited Ansaldo to sign the contract for the supply of a new inner-casing on May 9th, 2008.

Ambarli CCGT power plant is the first of its kind installed in Turkey and was commissioned on August 20th, 1988. The power station has an installed capacity 1350.9 MW, generated by 6 V94.2 gas turbines and 3 steam turbines. 

Ansaldo Energia S.p.A is a 100% Italian Finmeccanica owned company and leading supplier of components and services for power generation plants. The company has over 150 years of experience in the energy sector and an installed capacity of over 170,000 MW worldwide. Ansaldo supplies turnkey steam fossil fired, gas turbine and combined cycle, hydroelectric, geothermal and nuclear power plants or its components in separate lots.

ViTO Ticari Mumessillik ve Yatirim A.Ş. represents and serves major energy companies with its strong team in Turkey. The company works with the Turkish hydro and thermal power plants and supplies and gives maintenance to the turbines, generators, instrumentation and control systems and offers turn-key solutions. ViTO A.S. currently represents Ansaldo Energia for the thermal power plants and Rainpower for the hydro power plants solutions.


State-owned TEMSAN has been awarded the Rehabilitation Project of the Keban HEPP, which is owned and operated by EÜAŞ, National Electricity Generation Company. The Keban HEPP is located on the Euphrates River and is the third largest hydro plant in Turkey with an installed capacity of 1,330 MW, generating 6,600 GWh per year. The Project is expected to be completed within seven years.

For this project Norwegian Rainpower will be supplying TEMSAN with the most important and complex equipment, namely the runners and guide vanes for the turbines. Furthermore, Rainpower will transfer the technology for the manufacturing of complete turbine runners by Temsan engineers in Temsan’s workshop in Diyarbakir in Turkey

Rainpower was established in November 2007 following the sale of GE’s Norwegian hydro business to the Nordheim Larsen Industrier (NLI) group of Norway. Rainpower’s history dates back to the foundation of Kvaerner Group in 1853, Kvaerner Group was bought by General Electric Hydro in 1999. Rainpower has been involved in the design and supply of approximately 65 GW of the turbines installed worldwide, which roughly 8% share of the total installed global hydro power capacity. Rainpower’s products and services mainly include the supply of Francis, Pelton and Reversible Pump Turbines and related equipments as well as rehabilitation and upgrading of the hydro electric power plants. With its extensive background from over 100 years of activity in the hydro business, Rainpower is the provider of cost effective and creative solutions and complete packages to meet the requirements of the individual plant from small hydro to larger developments by using its own high-quality technology.

ViTO Ticari Mumessillik ve Yatirim A.Ş. represents and serves major energy companies with its strong team in Turkey. The company works with the Turkish hydro and thermal power plants and supplies and gives maintenance to the turbines, generators, instrumentation and control systems and offers turn-key solutions. ViTO A.S. currently represents Ansaldo Energia for the thermal power plants and Rainpower for the hydro power plants solutions.

2008


Specifications of the tender to be launched for the electricity purchase are ready, however, Energy Minister Güler’s approval is awaited for the quantity. In the tender, evaluation will be made on the basis of the one-year electricity price (current year) taken by TEDAŞ from MFSM.

It has been learnt that the specifications of the international tender to be launched by Turkish Electricity Trading and Contracting Corporation (TETAŞ) in line with the Law no.5784 for the purchase of electricity from the Private Sector were under scrutiny of the senior officials of the Ministry of Energy and Natural Resources (MENR) and the awaited tender announcement would be made in the Public Procurement Authority (PPA) Bulletin.

According to the information obtained by TEBA, the amount of the electricity to be purchased which is subject of the tender to be launched is debated and the purchase amount is considered as two alternatives, for one year or for four year period. Stating the purchase amount is not included in the Law, the sources close to the subject note that as the markets are not balanced yet it is not clear whether the prices will be valid for long periods of time and under the circumstances, the amount to be subject of the tender to be launched is of great importance.

As is known, TETAŞ officials set four-year electricity purchase amount as total 168 billion kWh in line with the directive given. Electricity purchase amount will be, in accordance with TETAŞ estimations, 28 billion kWh in 2009, 40 billion kWh in 2010, about 50 billion kWh in 2011 and 2012 each. However, no decision has been reached yet for launching a tender each year or launching a tender as to cover a 4-year period.

Energy Minister Güler’s approval is awaited for defining the amount of purchase

The sources close to the subject note that the approval of the Minister of Energy and Natural Resources Hilmi Güler is awaited for defining the amount to be subject of the tender to be launched for electricity purchase. The purchase amount which is subject to scrutiny at the top level in MENR, is targeted to be obtained smoothly in conformity with the specifications.

Threshold value to be set on the basis of the one-year average price of electricity taken from MFSM

Meanwhile, the amount of the purchases to be made by TETAŞ will be set on the basis of the threshold values to be defined in the specifications. Accordingly, in the tender, the average base price of the electricity bought by TEDAŞ’s Market Financial Settlement Mechanism (MFSM) in recent one year will be taken as the threshold value.

The offers made in the tender will be evaluated on the basis of the threshold value. The offers made below of the threshold value will be considered as the amount of purchase to be made; however, the offers over the threshold value will be eliminated. Thus, the orders will be made until the purchase quota is filled starting from the lowest price below of the threshold value.

The prequalification condition set for the firms to participate in the tender is to be registered to MFSM and to have generation, auto-producer license. In the electricity purchase offers to be made from the natural gas fired facilities, the natural gas escalation will be involved. A part of the price offered in the tender will be considered as the natural gas price. The natural gas price prevails on January 1, 2009 will be taken as the base for a reasonable natural gas price to appear.

Source : Teba News


STEAM Conference Chairman Taner Yıldız said, “There are very comprehensive nationalization practices in the World. The energy sector changes rapidly.”

Sabancı Holding Company Energy Group Chairman Selahattin Hakman said, "We continue to make new investments since we rely on the established market. The public sector, which continues its dominant position, must leave the sector and assume the legislative and regulatory role.”

OMV Gas and Energy Turkey General Director Oktay Şen said, "Attraction of investments in Turkey shall be underlined. Common arrangements for supply security, environment and efficiency must be made.”

There are important problems needed to be solved in the energy sector of Turkey. Since a mature view has not been formed about how the sector will be liberalized, the debates of public and private sectors have continued increasingly since the beginning. The determination of the efficiency of the regulatory and supervisory position of the public sector also matters at this stage.

The 10th International Energy Arena, where the problems in the electricity and natural gas sectors of Turkey are discussed and the energy sector liberalization policies are dwelt upon, are followed up with great attention for its important messages

The 10th International Energy Arena organized by the Center for Strategic Technical Economic Researches (STEAM) was held at Ankara Swiss Hotel in the period between November 13, 2008 and November 14, 2008 with the theme of “Turkish Electricity and Natural Gas Markets in the 7th Year of EMRA.”

STEAM Conference Chairman Yıldız said, “The energy sector changes rapidly”

Making the opening speech in the first day of the meeting, STEAM Conference Chairman Taner Yıldız stated that the growth rate decelerating upon the experienced global crisis affected the developing countries; however, it had not made permanent impacts on Turkey. He pointed out that the energy sector also changed rapidly nowadays when there were very comprehensive nationalization practices in the World and when a new term had started upon selection of USA’s new President Barack Obama and that it was not possible to guess the headings of the next Arena.

Speaking at the opening of the Arena, Energy Market Regulatory Authority (EMRA) Chairman Hasan Köktaş noted that the global crisis could turn into an opportunity for the energy sector of our country and stressed that the equipment prices needed for the energy investments, that such equipment would be possible to be procured in a short period of time and that the decrease of the petroleum prices would lower the costs of the new thermal power plants.

Sabancı Holding Chairman Energy Group Chairman Hakman said, “For energy, investments shall continue despite difficulties”

In its presentation, Sabancı Holding Energy Group Chairman Selahattin Hakman communicated that the issues related to supply security and the environment in the energy sector had been considered as secondary issues due to the experienced global financial crisis; however, they still remained to be solved. Pointing out that the problems of supply security and environment would create an important case in addition to the monetary difficulties and the cost increases, he indicated that the development of the renewable energy resources and the price decreases in the fossil fuels could delay the energy investments.

Declaring that Sabancı Holding Company continued to make new investments for it relied on the established market, Sabancı Energy Group Chairman Hakman voiced the necessity of the public sector, which maintains its dominant position, to leave the sector and to assume the legislative and regulatory role. He said, “We hope the liberal market be well-established, more investments be ensured, a market to enable supply of higher-quality and cheaper electricity through its competitive nature be developed.”

OMV Gas & Energy Turkey General Director Şen said, “Attraction of the investments in Turkey must be underlined”

Making the general presentation of the Arena, OMV Gas and Energy Turkey General Manager Oktay Şen stated that the uncertainties in the World increased more and more and drew attention to the importance of reliance on the energy sector. Reminding that the finance agencies throughout the World shrank more and more and more and opted to merge, he stated that the agencies from which loans can be obtained were thus decreasing. Noting that the crediting agencies were opting new measures and evaluation in this respect, he declared that the attraction of the investments in Turkey should be underlined and that the capital flowing to the USA should be attracted to Turkey. He also stated that common legislation for supply security, environment and efficiency should be made.

Deloitte Turkey Representive Çetinkaya said, “Strong steps are taken in respect of balancing mechanism in Turkey”

Sibel Çetinkaya, the Turkey partners of Deloitte that is one of the important international consultancy companies, has, in her presentation, furnished information about the development processes of the electricity sector in Europe and the harmonization process of the Turkish electricity market. Making such an assessment that the development process continued in the Turkish electricity market, she stated that the steps under the Strategy Document, which had been published in 2004 for the Turkish electricity market to be an operating one harmonized with the Acquis Communautaire, were taken slowly though on time. She noted that the steps were taken sooner in the European countries; however, strong steps were taken in respect of the balancing mechanism in Turkey. She said, “The transition period in Turkey is constituted by the electricity market, the balancing mechanism and the bilateral agreements. The attraction of the price increases to the investors can be regarded positively, but they should be reflected onto the bilateral agreements.”


Privatization works on “Rehabilitate, Add New Units, Operate” Model of EÜAŞ’s “Tunçbilek, Soma, Yeniköy and Seyitömer Thermal Power Plants” have been started through excluding them from the privatization portfolio consistent with the target of conducting individual privatizations on the basis of Government’s Action Plan of some of the Power Plants need rehabilitation or for adding a new unit. MENR informed PA on the preliminary works conducted and affirmed that a detailed report would be forwarded soon.

It has been learnt that an important step was taken towards the privatization of the Power Plants operated by Turkish Electricity Generation Corporation (EÜAŞ) General Directorate, attached to the Ministry of Energy and Natural Resources (MENR), functions as the biggest electricity generation company of the Public and the privatization works on “Rehabilitate, Add New Units, Operate” Model of some of the lignite fired power plants were accelerated in line with the Action Plan envisaged in Government’s 2009 program.

According to the information obtained by TEBA, in the preliminary report prepared by EÜAŞ General Directorate, it is noted that lignite fired “Tunçbilek, Soma,Yeniköy and Seyitömer Thermal Power Plants” which need to be rehabilitated of the equipment such as electro-filters, boilers, turbines and pipes, which are possible to be added new additional units through the new reserves explored in the coal fields, are suitable for the privatization for the new investment requirements involved. For this reason, these power plants have been excluded from the decided Privatization portfolio earlier and targeted to be privatized individually soon together with the required rehabilitation and new unit investments.

MENR informed PA on preliminary works on “Rehabilitate, Add New Unit, Operates” model

MENR which reviewed the preliminary works prepared by EÜAŞ for 4 indigenous fuel fired power plants, extended information to the Privatization Administration (PA) on the works conducted within the context of the Law Amending the Electricity Market Law no.4628 passed in the Parliament and in line with the Action Plan envisaged by the Government in 2009 program and stated that more detailed report would be forwarded soon.

MENR officials, reportedly, will forward their detailed comments to PA soon towards the tender specifications to be prepared for the privatization of 4 indigenous fuel fired Power Plants individually on “Rehabilitate, Add New Units, Operate” Model through excluding them from the Privatization portfolio.

In the Distribution Privatizations, the block sale and transfer of operation contract is targeted to be applied as it is

According to TEBA’s inquiry, the way to be pursued in the privatization of 4 indigenous fuel fired power plants on “Rehabilitate, Add New Units, Operate” Model will be similar to that of followed in the distribution Privatizations.

As is known, in the Distribution Privatizations, it is envisaged to restructure the facility together with its all assets through a new company to be formed and to sell the company’s 100% shares through block sale method in conformity with the Privatization Law no. 4046. Meanwhile, a Transfer of Operational Right contract of 30-year term will be signed between the Public Institution and the Private Sector company which will assume 100% shares through block sale method; thus, the operational right will be transferred to the company which won the Privatization auction. Under the circumstances, in line with the Privatization Law no. 4046 of PA, the company to be formed anew to assume all of the assets of the Power Plant, will be able to conduct a privatization auction through block sale method of 100% shares. EÜAŞ General Directorate will sign the Transfer of Operational Right contract with the company that will be awarded with the Privatization auction for 30 years.

Important items to be included in the Transfer of Operational Right contract are to be making the rehabilitation investments timely to reach proper operation efficiency of the Power Plant and completion of the new additional unit investments on time. Thus, the sanctions included in the Transfer of Operational Right contract will be prepared by EÜAŞ General Directorate.

Characteristics of the Thermal Power Plants and investments to be made

According to the preliminary information obtained by TEBA, in Yeniköy, Soma, Seyitömer and Tunçbilek Thermal Power Plants, electro-filter, turbine and boiler equipment rehabilitations and bottleneck easing investments towards piping systems and instrumentation systems are involved.

In the meantime, new additional unit investments to be made towards the subject Power Plants are,

- Total installed capacity of Tunçbilek-Kütahya Thermal Power plant is 430 MW as 2x32+65+2x150 MW. The general generation capacity of the power plant is 35%. In Lignite fired Tunçbilek Thermal Power Plant with annual generation capacity of 2 billion 700 million kWh, coal reserves existed for a new additional capacity of 300 MW to be installed.

- The annual generation capacity of Soma-B Thermal Power Plant which was constructed in Soma, Manisa in total installed capacity of 660 MW as 4x65 MW is 4 billion 290 million kWh. Efficiency of the power plant in general is 35%. A new coal reserve exists in Soma-B Thermal Power Plant suitable for installing two new units of 165x2=330 MW.

- The annual generation capacity of Yeniköy Thermal Power Plant, constructed in Milas, Muğla on the capacity of 2x210 MW=420 MW is 2 billion 730 kWh. The generation capacity of the power plant is generally 39%. According to the research of EÜAŞ, a new coal reserve of 73 million ton was explored in Milas suitable for installing a new unit of 210 MW to Yeniköy Power Plant.

- The annual generation capacity of Seyitömer Thermal Power Plant built in Seyitömer, Kütahya with the installed capacity of total 600 MW as 4x150 MW is 3 billion 900 million kWh. General generation capacity of the power plant is 38%. A coal reserve was explored in Seyitömer Thermal Power Plant suitable for installing a new additional unit of 150 MW.

Provisions included in Government’s Action Plan and Law passed anew

In 2009 Electricity Sector Action Plan of the Government, the following are considered for the generation privatization: “Some of the power plants are considered to be privatized individually on the basis of the Rehabilitation requirement and additional unit installation suitability. Status of the portfolio groups and the generation privatization method will be defined”.

Meanwhile, by the Law amending the Electricity Market Law, the establishments, partnerships and assets attached to EÜAŞ are envisaged to be privatized within the context of the provisions of the Law no.4046. However, the revenues to be obtained through electricity generation privatizations will be transferred to MENR to be used in the energy infrastructure investments under the law passed anew.

Source : Teba News


View of the Public Procurement Authority was received with respect to the tender planned to cover the years from 2008 to 2012. – TETAŞ has accelerated its preparations towards the tender to be launched without being subject to PPL.

The awaited view was obtained from the Public Procurement Authority (PPA) for the tender to be launched by Turkish Electricity Trading and Contracting Corporation (TETAŞ) in order to sign the electricity purchase agreements with the private sector by 2012 according to the Law no. 5784.

According to TEBA information, there is no obstacle arising from the public procurement legislation for TETAŞ to sign electricity purchase agreements with the private sector until 2012, as per the view received from PPA. PPA stated that the tender to be launched by TETAŞ would not be subject to the Public Procurement Law (PPL) and that TETAŞ could receive the bids under its own legislation.

As may be remembered, we reported you, in our recent news story, that TETAŞ did not have to realize its tender under PPL, however it had been still decided to take a view from PPA (TEBANEWS#1379/October 10, 2008).

Bargaining method will be applied for the purchase tender of four years

Stating that TETAŞ planned to launch a tender through the bargaining method according to its own legislation, the sources close to the subject pointed out that the specifications works would be accelerated following receipt of the PPA’s view. Reminding that the approval of the General Directorate had been obtained for the preparation of the tender specifications, the same sources noted that the specifications works were targeted to be completed as soon as possible.

While the tender announcement is allegedly expected to be made no later than in November, TETAŞ plans to purchase 28 billion kWh and 40 billion kWh electricity in 2009 and 2010, respectively.

Source : Teba News


In the scope of the steps to be taken in the Energy Sector, the Strategy Document which will cover reforms to be made in the privatization practices, is included as one of the conditions to obtain a credit line of $500 million from the World Bank.

Ministry of Energy and Natural Resources (MENR) targeted that Electricity Energy Sector Reforms and Electricity Strategy Document defining the steps to be taken to ensure supply security will be approved by Higher Planning Authority (YPK) and will be published by October 15 latest.

According to the information obtained by TEBA such target is defined due to the fact that Undersecretariat of Treasury notified MENR that Strategy Document should be announced as soon as possible. As known, for the Strategy Document, which is still a draft now, to be prepared, views from relevant institutions will be obtained and thereafter, discussions will follow, after which YPK will study and approve it so that it can be published.

Sources close to the subject note that in order to obtain a program credit, the World Bank has to review the reform package ensuring electricity supply security. Primary purpose of the restructuring and liberalization in the electricity sector is stated in the Strategy Document regarded as the reform package creating an investment environment to conduct adequate investments providing supply security and reflecting the acquisitions to the consumer to be obtained through the increase in generation in the sector.

Inter-agency meetings are underway

Sources close to the subject note that important meetings hosted by MENR in order to finalize the document in the forthcoming days are underway. Representatives of the following agencies participate in the meetings coordinated by MENR; Ministry of Finance, Privatization Administration (PA),Energy Market Regulatory Authority (EMRA), Undersecretariat of State Planning Organization (SPO), Undesecretariat of Treasury and Energy SEEs.

Source : Teba News


PA Chairman Kilci: “Global crisis occurred might affect the finance of privatization procedures to some extent due to providing finance sources. “Tender of National Lottery (Milli Piyango) privatization will be announced on October 15. The fact that Lehman Brothers' Turkey stage is not clear; EÜAŞ’s consultancy tender has been suspended for now. Upon MENR’s notifying PA on the plants to be privatized, PA will announce the tender. We are expecting that the privatization procedures of the distribution system will be completed in 2009.”

PRIVATIZATION Administration (PA) Chairman Metin Kilci made important statements on the privatization applications made by PA. Chairman Metin Kilci noted that the most effective impact of the global crisis in Turkey would be the reduction in the credit markets and added that due to costs and difficulty in providing financing, financing of the privatization procedures will be affected to some extent.

Kilci said that in terms of the privatization of National Lottery Administration, the decision of Higher Privatization Board (HPB) was completed and the Regulation on Granting a Gambling License would be published in the Official Gazette in the upcoming week. Chairman Kilci noted that the studies in the Competition Authority were also at the final stage and most probably the privatization tender of National Lottery would be announced until 15 October through the transfer of license rights for 10 years.

“EÜAŞ’s consultancy tender is suspended”

Moreover, Kilci stated that the negotiations with Lehman Brothers-McKinsey-Coşar Avukatlık Consortium to win the consultancy tender for the privatization of Electricity Generation Inc. (EÜAŞ) plants are underway. The fact that Lehman Brothers' Turkey stage is not clear; EÜAŞ’s consultancy tender has been suspended for now. Kilci said that they would decide whether to cancel the tender or continue with the consortium only after the situation came clear.

Kilci reported that the projection of launching electricity generation privatization from thermal plants continued and added that together with the recent amendment conducted in the law, it was projected to determine the thermal plants to be privatized by Ministry of Energy and Natural Resources (MENR) and would be notified to PA, accordingly PA would only conduct tender procedures.

“Distribution privatization will be completed in 2009”

Kilci said that the reason why foreign investors did not get interested in the electricity distribution privatization tenders was the unclear issues concerning regulations and price arrangements and added that they were constantly keeping in touch with the investors and needed to make a new evaluation. Kilci stated that they were expecting distribution privatization procedures would be completed in 2009 and added that the tender studies were going on for the privatization of new distribution companies.

“Bridge and motorway privatizations could be launched in 2008”

Kilci commented on bridge and motorway privatizations and reported that they were expecting related regulation to be legislated by October. If the law is legislated in October before the budget studies started, Kilci said that bridge and motorway privatizations could be launched in 2008.

Privatization Administration Chairman Kilci communicated that they had launched privatization process in Sugar Factories and added, ''We are planning to put out 2 more groups to tender as B and C groups within next month'.

Kilci, reporting that they were also conducting studies about the new privatization tenders to be announced in 2009 and said in this basket including privatization of SEE’s under the Treasury, they were working on a constantly updated project to determine which SEE is more convenient to be privatized.

Source : Teba News


Seven (7) companies were learnt to have purchased the specifications and participated in obligatory site visit in order to submit bids for international turnkey tender.

The number (4) of companies, purchased the specifications regarding the international tender launched by Electricity Generation Corporation (EÜAŞ) General Directorate for rehabilitation of the turbines and generators of Keban Dam and Hydroelectric Power Plant (HEPP) that is located over River Euphrates and is the 3rd largest HEPP, was learnt to have increased to 7 companies.

According to TEBA information, 7 companies had purchased the specifications prior to the obligatory site visit organized in the period between June 23, 2008 and June 24, 2008 towards the tender for rehabilitation of the power plant, and they participated in the site visit. Stating that all companies interested in the tender have participated in the site visit, the sources close to the subject reported that the other companies that have not participated in the site visit could not submit any bids for the tender.

Seven (7) companies have purchased the specifications

Names of the companies that were learnt to have purchased the specifications in order to participate in the tender are presented in the following:

-Dampa Enerji (Representative of Chinese Sinohydro Corporation company)

-Voith Siemens

-ABB Elektrik A.Ş.

-Va Tech Hydro Andritz

-Alyork Enerji ve Metal (Representative of Shanghai Investigation Design and Research Institute)

-ViTO Ticari Mümessillik (Representative of Norwegian Rainpower ASA company)

-Temsan A.Ş.

Source : Teba News


In accordance with the program prepared by TEİAŞ and approved MENR, when the electricity consumption amount which reached 189.3 Billion kWh in 2007 by 8.4% increase compared to the previous year is considered, the consumption amount is expected to reach 204 Billion kWh in 2008.

Under the circumstances, the electricity generation amount which reached 191.2 Billion kWh in 2007 can only be targeted to be 205.4 Billion kWh in 2008 when all of the increases required to be realized in all generation units are considered. Thus, the reserve energy will almost be reduced to none in 2008.

In accordance with 2008 Electricity Generation-Consumption Program of Turkey which was prepared on the basis of the demand and supply projections of the Electricity Transmission Corporation of Turkey (TEİAŞ) within the context of the electricity acceptances and future plan strategy defined by the Energy Affairs General Directorate, and approved by the Ministry of Energy and Natural Resources (MENR), the energy requirement can only be met by using all of the increases to be attained by the generation units so as to consume almost all of the reserve energy.

According to the information obtained by TEBA, the electricity consumption in 2008 is expected to reach 204 Billion kWh when the electricity consumption which reached 189.3 Billion kWh in 2007 by 8.4% increase and the development rate of 5% envisaged in 2008 program of the SPO and the acceptances realized, are considered.

In accordance with the final estimation of TEİAŞ and Energy Affairs General Directorate on the basis of the data dated December 2007, the electricity energy consumption in Turkey in 2007 will increase by 8.4% compared to the previous year as assumed in the high scenario.

Consumption in 2008 is targeted to be about 204 billion kWh by 7.8 increase

Meanwhile, the electricity consumption in Turkey realized in accordance with the high scenario in 2007 is targeted to be 204 billion kWh by about 7.8% increase in 2008 in the low scenario by taking the fact into account that the development rate will decrease to some extent.

Generation is targeted to be only 205.4 billion kWh in 2008

In return for electricity consumption expected to be 204 Billion kWh throughout Turkey in 2008, the total Electricity Generation is expected to be 205.4 billion kWh by taking the required increases to be attained in all units into account.

Thus, the reserve energy amount that should be minimum 5% in 2008 in respect with the difference between the generation and consumption amounts will decrease to 1.4 Billion kWh as 0.7% and this will constitute a serious risk for the electricity supply security.

Risks involved in acceptances

According to the TEBA’s inquiry, when the acceptances included in 2008 Electricity Generation-Consumption Program is considered, the electricity supply seems to be under a grave risk in 2008 throughout Turkey. It is understood that the Private Sector generation companies which will start generation in the liberal market by obtaining licenses from EMRA should provide a generation increase of approximately 14 billion kWh, for this reason, all of the new power plants that will start generation in 2008 should be commissioned within the year. In the same sense, the generation increase of 2 billion kWh to be attained by operating at 100% capacity of Build-Operate (BO) and Build-Operate-Transfer (BOT) model power plants under contract in the Private Sector seems extremely difficult to be reached when the maintenance and revision works are considered

Source : Teba News