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ANALYSIS -Turkey set for first nuke power plant
ANALYSIS -Turkey set for first nuke power plant
ANKARA, Dec 3 (Reuters) - Energy-hungry Turkey appears eager
to finalise a tender by the end of this month to build its
controversial first nuclear power plant, ending a three-decade-long
saga fraught by protests and cancellations.
``We have decided to intensify our efforts to conclude work on the
nuclear power plant tender,'' Prime Minister Bulent Ecevit told
reporters on Thursday night after a six-hour meeting of government
coalition leaders.
``The government has made a decision to go ahead with the
nuclear power plant,'' he said.
Turkey, which cancelled two previous tenders in the past three
decades, collected bids for the plant, to be located near the
Mediterranean coastal village of Akkuyu, from three international
consortia in 1997.
The companies agreed to extend their bids to December 31, 1999,
following a request by the government, which failed to finalise the
tender assessment by October 15, 1999, the original deadline put
forward by the consortia.
Energy Minister Cumhur Ersumer has said if the government failed
to award the tender again, ``this will give the world the message
that Turkey will never be able to build any nuclear power plant in
the future.''
Turkish state electricity producer TEAS, which will be operator,
said technical assessment of the project was completed and it was
now up to the government to move.
ANTI-NUCLEAR CAMPAIGN
The project has been severely criticised by local residents,
environmentalists, the influential chamber of electrical engineers
and some politicians.
The Chernobyl nuclear plant disaster in Ukraine in 1986
encouraged such groups to anti-nuclear campaign.
A strong earthquake that killed about 18,000 people in
northwestern Turkey in August also raised questions about the
location of the plant, which some experts said lay near a seismic
fault line.
Ethem Torunoglu, head of the Chamber of Environmental
Engineers, said Turkey was criss-crossed by active fault lines and
there were legal barriers to building the plant.
``A fault line is passing some 25 km (16-mile) to the east of the
plant site. Also, the project does not have a key document, called
the environmental assessment report, for it to go ahead,'' he told
Reuters
But a housing ministry map suggested the site was in one of the
safest locations in terms of exposure to earthquakes.
Thursday's meeting was prompted by a series of gas and power
cuts in Istanbul, Ankara and Bursa this week after gas pressure in
the pipeline from Russia dropped.
Melda Keskin, head of Greenpeace's Mediterranean Energy
Campaign, told a news conference the timing of the power cuts
was significant. ``They are trying to scare people off by using
darkness and cold weather in order to conclude the nuclear
tender,'' she said.
Turkey, which will consume 117.3 billion kiloWatt-hours (kWh) of
power this year against 115.3 billion kWh generated, imports
electricity from Iran, Georgia and Bulgaria to make up for the
shortage.
BIG NAMES AMONG BIDDERS
The project is expected to cost up to $5 billion and is planned for
completion in 2007. The bidding consortium is led by U.S. White
Westinghouse (NYSE:WAB - news), Canada's AECL and French-
German NPI (Nuclear Power International).
The best bidder in terms of per unit costs energy generation is NPI,
which includes Siemens Framatome, Alstom Campenon Bernard,
Hochtief , Turkey's Garanti Koza, Simko, STFA and Tekfen.
Its first bid is for a 1,482-MegaWatt (MW) plant that will generate
power for 2.56 cents per kWh and cost $2.393 billion. The second
alternative is a 2,964-MW, $4.48 billion plant that will produce
power at 2.28 cents per kWh.
Canada's AECL has Anglo-Norwegian Kvaerner John Brown ,
Hitachi , Turkey's Guris, Gama and Bayindir as partners. The
consortium proposed a 1,339 MW, $2.572 billion plant and pledged
a unit cost of 3.3 cents/kWh.
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