Nuclear industry news




02.12.2012

In Istanbul a meeting between the Russian Minister of Energy, Aleksandr Novak, and the Turkish Minister of Energy and Natural Resources, Taner Yıldız, was held recently

 

During the meeting the ministries’ heads discussed the construction of the first nuclear power plant in Turkey based on Russian technologies. The project is being implemented under the Agreement on Co-Operation between the Russian government and the Turkish government which was signed on May 12th, 2010. It envisages construction of a power plant as part of the four energy units of the Nuclear Power Plant-2006 project with VVER-1200 reactors with a total capacity of 4800 MW on the south coast of Turkey in the province of Mersin.

 

After the official meeting the Russian Minister of Energy, Aleksandr Novak, stated that the dialogue between the parties was quite constructive meaning that additional tax breaks are possible for the AKKUYU nuclear power plant, the project should be completed by the deadline and it should not exceed the planned cost of 20 billion dollars. Aleksandr Novak declared that ‘if the request from the Russian side on tax breaks will go through then this will allow us to cut the project’s cost’. According to him ‘there are two main financing sources—the federal budget of the Russian government and bank loans. Project financing will come from these two main areas’.

           

During the joint press conference with ministers Taner Yıldız and Aleksandr Novak a question was asked about the possibility of Russia building a second Turkish power plant. Novak answered that question in the following manner: ‘development of the nuclear power industry in Turkey is a strategic priority between Russia and Turkey. Implementation of the AKKUYU nuclear power plant project is on schedule. Currently designing and licensing works are being performed. Co-operation between the two countries is not solely limited to construction and commissioning of the AKKUYU nuclear power plant. Russia conducts training programs which supplement our coordinated efforts in this area and this demonstrates that co-operation between our two countries will be long-term. Rosatom plans to take part in building other Turkish nuclear power plants and this issue was touched upon during our negotiations today’.

           

The Turkish Minister of Energy and Natural Resources, Taner Yıldız, commented upon construction of a second nuclear power plant by stating that “currently negotiations with four governments (Canada, China, South Korea and Japan) on building a second power plant are being conducted. In light of the situation developing we could also invite Russian companies to take part in this negotiation process”.

 

 

FYI:

On May 12th, 2012 an Agreement on Co-Operation between the Russian government and the Turkish government was signed. It envisages construction of a power plant as part of the four energy units of the Nuclear Power Plant-2006 project with VVER-1200 reactors with a total capacity of 4800 MW on the south coast of Turkey in the province of Mersin. The AKKUYU nuclear power plant is the first build-own-operate project of its kind. The designing company, AKKUYU nuclear power plant, is obligated to design, construct, service, commission and de-commission the plant. The Russians are the owners of the foreign nuclear power plant. Foreign investors may acquire a stake in the share capital of the company not exceeding 49%. The Turkish side, in its turn, guarantees to buy a certain amount of energy produced at the plant at a fixed price within 15 years of when the energy units are commissioned.

 

 

AKKUYU Nuclear Power Plant Press Relations Service