Energy Newsletter TURKEY

AfsinElbistan: Korea, Turkey to sign MOU on US$2b power plant

2012-02-05T04:45:00.000-08:00

ISTANBUL (Yonhap News) -- South Korean firms will sign a preliminary agreement to build a thermal power plant in southern Turkey on the sidelines of President Lee Myung-bak's trip to the Eurasian nation, officials said Sunday. A consortium of SK E&C and the state-run Korea South-East Power Co. will sign a memorandum of understanding Monday with Turkey's state-run Electricity Generation A.S. on the $2 billion first-phase project to build a coal-fueled power plant in the Afsin-Elbistan region, some 600 km south of Ankara, officials said. The energy ministers of the two countries will attend the signing ceremony, they said. The project calls for refurbishing existing four power-generating units with a combined capacity of 1,355 megawatts and building two more units with a total capacity of 700 megawatts, officials said. The second-phase project, worth $9 billion, calls for developing three coal mines and building three power plant units each capable of generating 1,400 megawatts. Depending on the outcome of the first-phase project, Korea could also win the second-phase project. Turkey has seen its electricity demand soaring in tandem with its fast economic growth. The country has been one of the world's fastest-growing economies despite global economic downturns. Turkey, which has rich coal resources, gets more than 73 percent of its power from thermal power plants. Officials said Turkey hopes to award the project to Korea without any bidding process in recognition of Korea's advanced power plant construction technologies. The Korean consortium is expected to conduct a feasibility study and submit a final proposal between February and September 2012 before the two sides conclude an inter-government agreement and a main contract, officials said.

Lee calls for support for Korean firms trying to expand investment, presence in Turkey

ISTANBUL (Yonhap News) -- South Korea and Turkey agreed Sunday to work together to conclude their free trade negotiations at an early date, possibly in the first half of the year, and resume stalled negotiations on the Eurasian nation's atomic power plant construction project, officials said. The agreement was reached in talks between South Korean President Lee Myung-bak and Turkish Prime Minister Recep Tayyip Erdogan in the ancient city of Istanbul. The two countries have held three rounds of negotiations on a free trade deal since April 2010. After the three rounds of talks, the two countries are in agreement on the goods sector, but differences still remain in the services and investment sectors, officials said. The sticking points are not large, however, and could be resolved smoothly, they said. "If the FTA is concluded, it will help South Korean products expand not only into Turkey, but also other European markets because Turkey already has a tariff alliance with the European Union," a presidential official said on condition of anonymity. Such a trade pact could allow South Korean firms to export goods to other parts of Europe via Turkey at low prices as Turkey and the EU are linked by an agreement to remove or lower tariffs between them. The two leaders also agreed to resume stalled negotiations on a $20 billion project to build four nuclear reactors on Turkey's Black Sea coast, officials said. The agreement follows up on a summit meeting between Lee and Erdogan in November on the sidelines of the G20 summit in Cannes, France. In that meeting, Erdogan asked for South Korea's participation in the nuclear power plant project. In 2010, South Korea and Turkey held intense negotiations on the project, but the talks were later suspended after the sides failed to resolve key differences. Japan was then expected to win the project but Turkey's talks with Japan were reportedly halted after last year's nuclear accident in Japan. South Korea is a global atomic energy leader that relies on nuclear plants for about 40 percent of its electricity needs. The country has also been trying to export nuclear power plants since Korean firms won a massive contract in late 2009 to build four atomic power plants in the United Arab Emirates. Turkey has seen its electricity demand soaring in tandem with its fast economic growth. The country has been one of the world's fastest-growing economies despite global economic downturns. The Turkish economy grew 9 percent in 2010 and 8.2 percent in the third quarter of last year. Lee and Erdogan also agreed to provide active government support for a culture expo that Istanbul and the ancient South Korean city of Gyeongju plan to jointly hold in the Turkish city in 2013, the statement said. Lee praised Erdogan's leadership efforts to bring peace and stability in the Middle East, and the prime minister expressed unwavering support for Seoul's policies aimed at making peace with North Korea, the office said. Lee also welcomed Erdogan's decision to attend March's Nuclear Security Summit in Seoul. Later Sunday, Lee was to leave for Ankara for a summit with President Abdullah Gul. Key topics of their summit meeting, set for Monday, include trade expansion, infrastructure construction and other issues of cooperation. The trip to Turkey is part of a four-nation tour that will take him to three major oil producing nations -- Saudi Arabia, Qatar and the United Arab Emirates. The countries account for about half of South Korea's crude imports. The swing through the Middle East comes as South Korea prepares to cut back on its crude imports from Iran in line with a U.S.-led campaign to dry up the country's oil export revenues as punishment and pressure over its nuclear weapons programs.

Coal Country Policy 2012

2012-02-03T23:41:00.000-08:00

Dear Energy Professional, Dear Colleagues,

In this article, we tried to evaluate hard coal / lignite and imported coal firing new thermal power plants in our local market; we explained the operational problems, we advised the new coal firing technologies for their best use and efficient application with available local as well as international financing in the new local thermal power plant investments.

Foreword

Whereby in global energy supply markets, coal has 25% share, second only after petroleum, coal is the first in the row with >40% share in electricity generation. In our local market, coal is the first with >40 percent share in primary energy generation, but fourth in the row with >20 percent share in electricity generation as of year 2011. It is foreseen that coal will have more share in future global markets thanks to new “Clean Coal Technologies”. As a matter of fact, coal is the most important indigenous fossil fuel therefore it should be widely utilized countrywide for cheap and more electricity generation with best applicable use of advanced technologies.

Reserves and Mining

Turkey

has both hard coal and lignite deposits. The hard coal is mostly located in the western part of the country, in the Zonguldak Basin, which has more than 700 million metric tons of workable/ proven reserves, about >80% of which can be coked. Lignite deposits are widespread and plentiful; reserves are estimated at >12 billion metric tons, 7^th largest in the world, most of which is economically mineable, though only about 7 percent has a heat content of more than 3,000 kilocalories per kilogram (LHV). About >40 percent of the Turkey's lignite is in the Elbistan Basin which starts from Konya Karapinar covers Adana Tufanbeyli, Elbistan and Sivas Kangal basin.

Production and Consumption

The Turkish Hard Coal Institute operates five basic underground mines in Turkey, and is the only hard coal production entity in the country. The two most important lignite fields in Turkey -- the Afsin-Elbistan and Sivas-Kangal coal fields -- are owned by EÜAŞ and operated by private companies under leasing contract. Even though there is significant production of lignite and some production of hard coal in Turkey, not enough coal is mined to meet demand.

As a result, Turkey imports more than 16 million tons of hard coal each year, mostly from Australia, the United States, Columbia, South Africa, and Russia. Imported hard coal is used mainly for electric power steelmaking, and cement production. About 75% of the Turkey's lignite is used as a fuel source for electric power production

Coal Technology and Coal Markets

Hence there are relatively little investment in the global liberalized markets, or investment priority is given to natural gas fired combined cycle power plants due to their relatively cheaper installed cost and fast construction periods, foreign dependency is increased in countries where they depend on imported fuel. Demand for more natural gas also triggered the demand for more coal.

More coal utilization required better new coal technologies to apply. We have now new obvious evolution in clean coal technologies. When we look at available technology and new trends in market demand, the most important sector is the energy for new technology developments. New tendency is that the state-of-art technology is developed and enforced not only in the advanced countries but also in the developing countries who are consuming more and more energy.

European as well as North American Companies are now too expensive to export energy technologies. Soon in time these countries will not be able to sell their products in the global markets. Even in their home markets, they will be in need to protect themselves with high import taxes and labor codes to avoid influx of cheap foreign labor. In the latest years, China, India, Korea, all Eastern countries have very competitive prices in the global energy markets.

They already cover their own home markets with their own fabrications supported by advanced technology and fabrication licenses. Although they are too cheap, however they have serious difficulties in fabrication of the fastest, the latest, and the best efficient designs in compliance with environmental friendly solutions in the latest world acceptance. However we shall soon visualize that they will accomplish all these prime targets with the price advantage which they already reached at the first place.

We need to reposition our local energy market by keeping in mind these new technological as well as commercial developments. We have engineering and intellectual as well as market potential for local fabrication. We must design our own thermal power plants to fire our own indigenous local fuel, and fabricate in our plants, make the construction, site installation and operation by ourselves.

As a member of local mechanical engineering chamber (MMO), we sincerely believe in our local engineering design and fabrication capability. We know that all engineering studies cover the same curriculum, same programs in thermodynamics, heat transfer, gas turbine, power plant design courses, with same terminology as enthalpy, entropy and exergy.

We have world class teachers/ academicians whose reputations are reinforced with their world class technical papers. We are sure that our young engineers are all brilliant with capability in making necessary power plant designs as long as we support them with necessary software and hardware and scientific funds to continue their works. We need to allocate more funds to support MSc/ PhD/PostDoc works and that course of action has to accepted as long term country policy.

Only by employing such national policy to support local technology, we can reach to the necessary advanced level of design/ fabrication and construction our own thermal power plants. Similarly we should be doing the same for designing/ locally fabricating our own wind turbines as well as hydro turbines to respond ever increasing local energy demand.

In the past, we put more priority in buying foreign investors since they had the finance capability to cover the overall power plant investment projects although their products were not the best of its kind, not the most efficient, nor designed to the latest technology to utilize our local available coal. Their plants were not suitable to use our local fuel, lignite or hard coal, and hence they aged fast, very fast, faster than the acceptable market norms.

Those reputable western companies are not existed any more, either they are in bankruptcy, or unable to compete with the available market players beyond their national borders.

In the latest years, eastern companies have too cheap prices in thermal power plant tenders. If you prequalify an FarEast company in your pre tender procedures, Western companies certainly hesitate to participate into the tender since it will be waste of time to compete with those cheap players.

So you can not attract Western technologies although you certainly wish to have them to quote. Price is not prime importance for the new players. They even do not know the prevailing market figures, and hence they quote unexpected ultra low prices. Their labor cost for design and fabrication is too low. They have serious market policies to invade the global energy markets.

It is long ignored that the best design to use your local fuel can be accomplished by your own local engineering capability, by your own local Engineering/ Procurement/ Construction (EPC) companies. Foreign contractor makes the design, construction, site installation and wait for the guaranteed period for 2-3 years, complete their responsibility and leave the site. The operator stays alone by himself in the long run.

It is too difficult to make necessary long term rehabilitation and programmed repair works without local design/ fabrication support of the original equipment supplier. Therefore local design and fabrication are indispensable for long term operation.

Upcoming Energy Crisis

We all know that we are in the middle of global energy crisis; we have lack of sufficient energy supply. Our resources are limited in generating necessary energy. Facing such a great energy demand, our resources will not be sufficient to generate the necessary energy supply.

With new renewable technologies, such as wind/ solar, we can not respond and fulfill the growing prevailing demand fast. They can only enter into the local energy market with some more time elapses. Fast/ easy/ cheap solutions are not available, nor practical, nor feasible.

We need to have long term energy strategies. Local engineering/ local design/ local fabrication must have their shares in our local national priorities.

We must design our own thermal power plants based on our own design teams to best fit to our local available fuels, indigenous lignite or hard coal. We must fabricate by ourselves in our own fabrication shops. We must make the site installation by ourselves, and operate. Our local engineers are capable of handling such overall plant designs.

However we need to create such investment climate in the local market. Local market forces should have firm possession instinct in handling all these activities to carry out by themselves, in harmony with local investors, financial institutions, academicians, engineers, engineering unions, engineering and contracting services. We should not leave the initiative to foreigners.

We should not leave the contracting services to cheap foreign labor just because they are too cheap. Our energy markets and our energy potential should be protected against foreign domination and their invasion. We are pleased to see that political authority recently takes necessary measures to fulfill these expectations.

How to cover Project Financing

Financial wise, we have serious reasons to support such decisions. We have serious expectation in the local market that we shall have an electricity market based on real cost. Since crude oil prices are reflected in the local petroleum byproducts immediately, and the consumers accepted to have such burden on their cost calculation, similarly the same will be applied in all phases of price structure in electricity generation.

When we evaluate the electricity supply/ demand projections for the next 10-15 years time, there is no new potential primary energy resource to reduce the ever increasing prices, and hence the short-term electricity prices is expected to float in the range of US$0.16 - US$0.20 per kWh in our local electricity market.

Financial costs, rehabilitation, renewals of the new privatizations in the thermal power plants can not reduce the electricity prices in the short and medium terms.

We are entering into a difficult age for local coal operations in available local coal basins. We shall need more investments and applications of more modern technologies/ machinery in the coal mines. These expenses will be added to the cost structure of final electricity prices.

At this time, more than 50% of electricity generation in the local market is dependent on imported natural gas. Due to delay in investments of hydro and coal based power plants, we have base load in those imported natural gas firing thermal power plants. Unfortunately, that will increase the demand for more combined cycle power plant investments.

Prevailing World Coal Prices

Thanks to the latest developments in technology, PC (Pulverised Coal Firing) and CFB (Circulating Fluid Bed) design coal fired thermal power plants have reached to 46 percent efficiency or even exceeded, with application of supercritical pressure and temperatures.

Imported coal at the prevailing US$ 4.50 per MMBtu spot prices are now comparable with US$ 12+ per MMBtu natural gas prices in combined cycle power plant electricity generation with 60 percent efficiencies.

However the imported coal is indexed to oil prices and there is no reason to expect any drastic change in price ranges in the medium and long terms for any more advantage on coal prices.

In any case one should keep in mind that the raw coal price of our local Afsin Elbistan coal is less than US$ 2.0 (two) per MMBtu as of year 2010, although firing in the thermal power plant is not so easy for our major coal, and plant efficiency is not so high. Specially tailored academic and commercial methods are to be explored and enforced.

New Technologies for Firing Difficult Coal

IGCC, CFB, Oxy-fuel firing, Underground gasification methods are also applicable for low calorific value local coals. CFB is proven technology upto 165 MWe per unit outputs for our low LHV lignites.

IGCC (Integrated Gasification Combined Cycle) coal firing can also be employed with careful academic investigations. There is a great potential in its application.

Today energy security is the major parameter to qualify a country as independent. Energy security can only be achieved by an intelligent combination and management of natural and socio-economic local resources and implementation of the latest technology.

It is difficult to think that a country can protect his borders if his energy investment policy is fully import oriented. Turkey has many energy resources but they are not easy to exploit. The hydro power in Turkey needs careful and intelligent policies taking into account its impact on the environment, the agriculture and densely inhabited regions. Therefore IGCC/ CFB/ OxyFuel plants can be considered as multi-fuel or fuel flexible.

On the other hand, our local coal mines have varying specifications even in the same basin. Therefore we need to apply expensive selective mining methods rather than our cheap traditional mining for better and efficient firing of the available coal in the thermal power plants. That is an expensive investment that we have only in a few local private applications.

The traditional method is supplying mined coal as received with all undesired unburnable sand, ash, moisture etc. All new imported coal fired power plant investors are major players in other sectors which are in need of cheap electricity. They will consume almost 60-70 percent of generated electricity in their own plants. Remaining potential will be sold in the national market and that is not a problem since there is always need for more energy in our shrinking environment.

Generally local investments are realized by “Corporate finance” methods. Between the period of 1993-2005, we have realized energy power plant investments exceeding overall 4000 MW installed capacity. Those natural gas firing cogeneration plants repay themselves fast and create more money for further investments in new plants.

However we do not have the investment environment for “Non-recourse” project finance to secure “Off Taker” contracts with local/ international financial institutions. Therefore it is too difficult to find necessary project financing for mega projects such as Afsin Elbistan. We have lost time in the past and continue to loose more and unable to recover fast in due time.

Conclusions and Recommendations

Today in administrations’ energy policies, the first priority is in securing cheapest, good quality, reliable/ uninterrupted electricity generation in the local market. So effective and rational applications of local fuel resources are in vital importance. Therefore the energy planning is also the planning of future of the country in order to avoid any foreseen economic crises.

There is no comfort, no luxury in making mistakes in energy policies. Any mistake is paid back drastically/ severely. Securing energy supply is the first priority. It is our sincere and humble feeling that new investments based on imported coal is too risky.

Their construction on the Black Sea coast is more risky, due to increased prices in the world markets and limited coal routes through ever congested Turkish Channels. Russian coal is not/ has never been cheap. Local coal resources should have the first priority in exploitation for the thermal power plants. Private and even public capabilities are to be encouraged both.

We need to encourage the local engineering capabilities, and openly discourage foreign labor. Foreign labor is loss of national income. There is no value added income generation in the local market by foreign labor. We must reduce our dependency on imported energy, whether they are either coal, natural gas, oil, equipment, project finance, or cheap labor.

We must be very careful in evaluation of Environmental Impact Assesment (EIA) reports/ certification as well as in regulatory licensing. Plants should never be placed on forest nor on agricultural land. Any new and exaggerated capacity increases, any fuel changes from local coal to imported coal are to be evaluated carefully. Available unloading seaports are to be carefully selected. Deep sea discharge of bottom ash should be avoided.

Last but not least, we need to allocate more funds to support MSc/ PhD/PostDoc works and that course of action has to accepted as long term country policy. We must form more research institutes to make more research on exploration, application and best use of local coal.

Last wording.

Best price is not the best choice for long term smooth and cheap electricity generation.

Haluk Direskeneli, Ankara based Energy Analyst,

Mitt Romney for President

2012-01-08T18:46:00.000-08:00

Dear Colleagues

Please do watch out Republican Candidate Mitt Romney. He is Mormon, he consumes no alcohol, no smoking, no pot, even no coffee. He is married with his university sweetheart for 40 years, with 5 boys, educated as lawyer, later investment banker with MBA, lives decent life style. He worked as co-founder and CEO of Bain & Company, the Company is in Turkey for last 10 years on financial services, consultancy in privatization. He stayed in France as Mormon missionary in his youth for 30 months, so he is fluent in French, 30 months in France in 1960s was compensation not to get drafted for Military service in Vietnam war. He has no burden of Armenians, nor Greeks, Cypriot American voters. He is against to Kyoto, but supports renewables and nuclear. He has no objection to war in Iraq or Afganistan, supports war when necessary. He objects to abortion, also against to gay-rights, He had >40% preference in last debates, better than other Republican contenders. However still 40-42% against Obama, but can/ will close gap within next 10 months. This is serious, not a joke, he seems to be very good match with our Turkish ruling power elite. He needs no education on Turkish importance in EastMed and Middle East. This is for our early condition assessment, not for support nor promotion. This is my humble personal evaluation as an outsider. Your comments are welcome, best regards.

Haluk Direskeneli, Ankara based Energy Analyst

COMMENT: Romney is an uber-rich robber baron who, at Bain Capitol, plundered and dismantled dozens of company, putting thousands of people out of work and racking up big profits. His work experience consists of tearing things down. Much better to elect somebody who does positive things.

KONYA KARAPINAR Coal fields

2011-12-14T02:02:00.001-08:00

Dear Energy Professional, Dear Colleagues,

Turkish Mineral Research & Exploration Institute (MTA) publicly announced in 2007 that new important lignite coal field is discovered in Karapinar County of Konya Province, Mid Anatolia. Coal is very similar to Afsin Elbistan reserves.

Available coal in Konya Karapinar has technically challenging in content with low calorific heating value (LHV) at about average 1,374 (within a range of 1,300- 1,500) kcal per kg, and elementary analysis approximately with 46-49% moisture, 19-22% ash, and 2-3.5% in sulphur content.

Large domestic coal reserves are also waiting for exploitation in nearby vast Afsin Elbistan basin, also in Adana Tufanbeyli and Konya ILGIN. We can have sustainable, environmentally friendly electricity generation with clean coal technologies and also gain positive social impact on our economy. These are not so easy with today's market logic. A Master Plan for the regional development must be prepared for the region. Master Plan should cover a region of Konya Karapınar, Elbistan, Adana Tufanbeyli, even Sivas Kangal lignite coal mines.

Karapınar lignite coal mine is discovered in the past few years. We were advised by local media sources that there are a number of seriously interested investors already mobilized to exploit the new coal resources. Coal mine is in a remote area, scarce population and limited agricultural activity nearby.

For investment options, we can evaluate leasing, public investment, tendering, public-private partnership (PPP), Build-Operate (BO) and Build-Operate-Transfer (BOT) models. PPP seems an appropriate provided that we integrate into a major Master Plan. We have 1.6 billion metric tons of lignite coal proven reserves in the field with vast economic value, to be exploited mostly with open pit mining technologies at 6.54 m3/ton overburden ration to enable to build total 6000 MWe thermal power plant in the end, within proven 30 years of mine depletion period.

Ball-park, we estimate US$ 1.7-2 cost per cubic meter of coal, covering a total of US$ 6.50-7.0 for coal stripping/overburden plus other expenses that can be done at about total of US$ 9.00 per ton coal (EUAS) or approximately 1.65 US$ per MMBTU, leading to final electricity generation cost of approx. gross 7.0 U.S.cent per kWh.

Ball-park maximum total US$ 2 billion investment (for each 1400 MWe TPP unit) may be paying off in approximately less than 8-10 years (with overall 33% plant efficiency, at 6500 hours of total operation per year). That is electricity generation from your own resources. No need for imports. There is no negative impact on Current Account Deficient (CAD).

Public-Private Partnership (PPP) model could be developed, since public can handle certain major problems, such as water supply, river bed changes, relocation of local people, project guarantees.

High moisture content in available coal makes Circulating Fluidized Bed (CFB) technology very difficult to implement. New clean coal technologies can be applied. Hence Carbon Capture and Storage (CCS), Integrated Gasification Combined Cycle (IGCC), oxy-firing, underground gasification technologies should be investigated.

Treasury had previously received government- to- government guaranteed loans. Today such loans are no longer applicable. Today's most popular financing is “Non-recourse” financing application. In this model, a project company is formed separate from investors; it is established by calculating the life of the project and the costs of credit given to the project company. So that project cost does not affect the sponsors' own budgets.

There are many local engineering companies who can use the latest available clean coal technologies. There are also reputable local universities who are using academic version of thermal power plants software within an increment of the commercial application with one important precondition that they should mention the name of the software in their academic articles. We have many new M.Sc. and Ph.D. dissertations which used the academic thermal power plant design softwares.

Karapınar lignite has to be enriched by moisture capture prior to pulverize firing. That could be via drying or by Electro Static Precipitator (ESP) applications, or any other means.

CFB is possible but we also need enrichment up to 2000 kcal/kg LHV, or 3000 BTU/lb HHV. Available references elsewhere are not compatible with the coal.

Similarly IGCC needs further academic investigations prior to any commercial applications. Oxy-fuel is theoretically possible but we do not have any reliable practical research.

Please do note that those foreign off-the-shelf foreign designs are obsolete, they do not work. East Asian supplies are worse. Cheap East Asian workforce is not available anymore due to changes in the local legislation to promote more local employment.

Locals are to concentrate themselves into their own design of steam generators specially created for their own local lignite. Do not rely on foreign financing which will advise their obsolete lignite firing technologies. They did not work in the past; hence they will not work in future.

In Karapınar, Clean Coal Technologies can create great opportunity for all interested local parties to enable them to learn from past mistakes, to investigate possible/ applicable technologies plus implementation of applicable “non-recourse” financing schemes, to investigate and assess available intellectual capability of the local human resources.

Local Coal is our future for our energy security; therefore we need to allocate more academic and commercial funds in order to have more research on design and development of local fuel resources that will enable to fire available local coal best in our own design thermal power plants.

Happy and Prosperous New Year to you all!

Haluk Direskeneli, Ankara based Energy Analyst

Energy and Infrastructure Forecast for 2012

2011-12-11T07:49:00.000-08:00

Dear Energy Professional, Dear Colleagues,

In this article, I aim to make forecast in our local energy markets in the New Year 2012. Economy and business future is shaped by expectations. Market expectations are important in the economic forecasts as well as investments. There are many economic forecasts made by the nationwide daily newspaper columnists, however as we all see there are almost none made in energy markets. Within my capacity, I tried to outline a draft forecast albeit maybe somewhat irrational/ unfair for the New Year. Here are expectations for the New Year 2012;

1. In early days of 2012, Iran will again cut-off Natural Gas flow due to excessive needs of her own domestic market for at least 1-month. Russians will increase supply capacity in the Blue Stream for a substantial premium as usual.

2. Since “Each and every incentive/ every good intention are abused with extreme care”, political power is expected to be reluctant to issue new energy incentives.

3. Russians will experience serious shortage of commercial financing in construction of nuclear power plant in Akkuyu. Because the project is not commercial any more, but it is now purely political. Political risks of a nuclear power plant project cannot be properly estimated; hence non-commercial project has no commercial meaning in our opinion.

4. Sinop Nuclear power plant project has been passed first to Japan from South Koreans. Now French EdF and GdF are in negotiations with the responsible bodies. We suspect if French companies can secure approx. 20 billion US Dollar project financing during Euro Zone credit crunch days. Moreover we have long term hostility with French authorities, not to be erased overnight.

5. We expect new investment initiatives on new found Konya Karapınar coal mine fields in order to build new thermal power plants under locally developed clean coal technologies.

6. Konya ILGIN local coal firing 3x150 MWe new thermal power plant construction is in progress.

7. We hope to start new investment for new natural gas fired 450 MWe Combined Cycle power plant at the seaside location of former Mersin Cukurova Elektrik oil fired thermal plant.

8. Thermal power plant investment in Amasra is in EIA scheme. It may be activated in Amasra with US TDA Fund on coal-bed methane utilization with high US contractual and OEM participation.

9. Local Regulation of foreign personnel employment is changed before the general elections, so cheap foreign employment is not possible.

10. Situation in Gerze seems getting out of control, the local community makes oppositions in basketball matches in Istanbul, sets reactions in front of the central building. Beer sales still have 80% market share under heavy pressure from large/ expensive advertising, because competitor could not increased production capacity. Smart investor should stop further push and direct available investment funds to some other sectors.

11. Zonguldak Bağlık İnağzı hard coal underground (-400m) mine fields leasing scheme is finalized. Company will look for a nearby seaside empty land to build new 1200 MWe thermal power plant soon.

12. Thracian Malkara new local lignite firing thermal power plant investment will be initiated in phases to reach 3x150 Mwe capacity

13. Çankırı Orta 3x150 MWe thermal power plant construction is started. Two other investors are making preparations in the region.

14. Current account deficit (CAD) is in sever situation due to increased spending on imported coal and imported natural gas purchases, at intolerable levels. Increased use of domestic coal / energy sources became inevitable.

15. Thermal power plants are in privatization, but investment appetite is low because of the ongoing global economic crisis. Process will continue in second half of next year.

16. Turkey is still at very low annual per capita electricity / production / consumption of 3000 kWh, EU current average is 10K; North American average is 12K. Local market needs more generation.

17. Foreign investors have lost their appetite; domestic investors do not have money.

18. Local design, local production, local engineering do not exist yet...

19. Western natural gas pipeline Russia's Gazprom contract terminates at the end of this year. We all are afraid of the upcoming situation. Because there is great uncertainty. Eskisehir compressor station is in maintenance, EgeGaz supply is limited. Import Licensing of private companies is not in order. Iran, Iraq, Azerbaijan, Turkmen gas are not available in the short term.

20. Ministry of Environment is in restructuring. EIA obligations are lifted. The secondary legislation is still pending.

21. HEPP and thermal projects receive severe reactions of local people, and reactions will continue on all legal platforms.

22. In recent popular movies, investors are more or less incorrectly/ but implicitly represented as negative profiles, it is alarmingly too deceptive. How that profile will be corrected in public image??

23. Due to ongoing high environmental pollution, no sufficient filters, no desulphurization, no rehab, so Unit Afsin Elbistan-A, should be shut down, dismantled and sold as scrap. One cannot see any initiative...

24. Elbistan Çöllolar landslide disaster was forgotten after the event, we all want to know the remedies, corrective actions.

25. Afsin Elbistan C-E tendering is in document preparation in central procurement department of the authority with foreign consultant, anyhow too much time/ effort/ money is consumed if not wasted.

26. Rehabilitation of public thermal power plants are almost completed, however we do not have the outcome reports if all satisfied, met with expected requirements.

27. Thracian HVDC Submarine transmission problem of the second combined cycle power plant in Bandirma is pending. If it is not possible, it is better to change the site. Why wait??

28. Adana Tufanbeyli local coal fuel 3x150 MWe CFB thermal power plant contract is given to South Korean company. We all hope best results in project construction and in operation.

29. Samsun Terme new investment for construction of 880 MWe CCPP has been stopped by the court the decision. What will be the case in future, everyone is trying to figure out .

30. Kırıkkale 800 MWe Eser, and 400 MWe Gama CCPP are in progress.

31. Imported coal firing 625 MWe AYAS Sugözü project is in progress.

32. We expect reorganization as well as restructuring in Ministry of Energy and Natural Resources in order to reduce staff, to reassess duties and responsibilities...

33. East Med Cyprus offshore drilling work did not reveal expected results. Offshore Contractor Company is not comfortable with the early results. South Cyprus media and government still push positive expectations, trying to keep the case in agenda, but the situation seems hopeless, the investor does not want to gamble any more, return is not earlier than 10 years in time...

34. No hostility foreseen between Greece, Israel and Turkey, however pushing for fair share of nearby natural resources is the rule of the game in international politics.

35. Black Sea drilling is a never-ending story, everyone is talking about very large reserves, but there is nothing in reality.

36. Investment appetite in Wind capacity is almost saturated,

37. Investment in Solar energy is still very little, without making local fabrication of the solar equipment; one cannot go further with expensive electricity generation.

38. EMRA licensing is on with reduced speed, copy / paste applications for license overrun archives. Rejection is less than 2%.

39. Electric cars / buses are in agenda, but we all ask who will be paying high cost of new transformers due to additional heavy pulse load.

40. How do we run away the climate change obligations of Durban? We had low profile participation from the public sector, with almost no proper presentation to explain our cause.

41. Nabucco pipeline project is pending. On the other hand, Azeri gas via TransAnatolian Pipeline project is in fast-track agenda.

42. US Presidential elections are in the coming year. We wonder if it would be better when the Republican candidate wins...

43. Oil prices per barrel may rise next year due to ongoing financial risks.

44. Slowdown in demand for electricity in the first quarter is expected.

45. Submarine HVDC cable, gas and water supply pipelines from Turkey to Cyprus are on the agenda,

46. Russia political climate will be too hot in the first half of year 2012, but country will recover quickly,

47. Military power in Egypt does not want to leave; in any case new civil administration will come to power.

48. Changes of power in Syria are expected by summer.

49. Turkish natural gas demand will begin to fall, probably by the second half of the year.

50. Accelerated increase in local diesel prices, is expected,

51. Privatization strategy will be reconsidered in order to increase the ongoing high income based tendering process.

52. Turkish oil law will be changed, again,

53. EMRA needs to be reorganized and restructured, and Agency may be divided into two, maybe three.

54. Euro is expected to depreciate, while US Dollar will appreciate.

55. Euro Zone crisis will continue in 2012. So reduce your expenditures, reduce your spending, reduce your borrowing, stay cash, stay liquid.

We were able to predict this much. Everyone in business environment says that 2012 will be a difficult year. We shall be too pleased to receive your comments/ contributions in the New Year. Happy and Prosperous New Year to you all!

Haluk Direskeneli, Ankara based Energy Analyst

Conflict Resolution in EastMed

2011-12-07T09:29:00.001-08:00

Dear Colleagues

For Turkey, there is no South Cyprus state. Turkey does not recognize South Cyprus, hence there is no EEZ which belongs to South Cyprus. Moreover there is nothing to negotiate since Turkey has no counter party to negotiate.

South Cyprus is a hopeless country with no ability to negotiate, they are historically non-negotiable negotiators, sort of another spoilt child of EU and international community. Anyhow Turkey does not care.
South Cyprus is an unreliable counter party with desperate bankrupt economy, with a huge burden on European Union. US and EU should not ignore the situation and hence they should not bury their heads into sand.
South Cyprus lost half of her electricity generating capacity in July 2011 in Vassilikos disaster due to neglect and public ignorance.

Noble Energy(NYSE:NBL) had finalized the first offshore drilling and the outcome is NOT what they have expected. That is why NBL recently transferred some of their shares to an Israeli company, it is a sort of transferring political risk.

NBL is a medium size, pure commercial company, which tries to maximize her profit. They carry too much political and technical risk in this venture.

NBL had created EIA report for the venture with no political risk foreseen/ estimated. Please do note that commercial environment can not carry that much unforeseen political risk.

NBL has already spent 200+m USDollar for the first offshore drilling gamble and the outcome is not so good, as opposite expected earlier.
Who will be paying the expenses for a new offshore drilling investment? Who will be persuaded?

NBL has already reached to her upper limit of risk taking capability, and appeared to be exhausted in this political game.

All announcements of South Cyprus media sources are to be considered as "wishful thinking", since there is no proven investigation yet. They are all in predicted nature.

Please do note that there is no risk of hot clash, or any war for sure. It is only a dispute settlement between two sides namely North and South for fair share of nearby natural resources.
Turkish deliberate aggression is normal and unavoidable, it is the natural course of the international relations, it is a fair game in dispute resolution.

Israel, Greece and Turkey have no luxury of being enemies. They need each other in EastMed. The existing conflict between Israel and Turkey is unnecessary/ an artificial event created by the ruling Israeli government. It will be solved with apology when the existing Israeli government is replaced with the opposition, if the Israeli public wishes so in the next general elections

Mutual respect to fair share of nearby natural resources is the key for conflict resolution in EastMed.

Mainland Turkey is pushing Northern Cyprus to have better economy, with new austerity measures, not to spend more than they can generate.

Please do note that Turkey is a regional power in EastMed with 75m population, vibrant / growing economy, there is no solution without prior consent of Turkey for sure.

Your comments are always welcome. Best regards

--
Haluk Direskeneli, Ankara based Energy Analyst,

Turkey, Russia diverge over gas prices

2011-10-07T12:50:00.000-07:00

Turkey, Russia diverge over gas prices

While gas disputes between the EU and Russia are often political, Turkey's dispute with Russia is over securing better pricing. By Alakbar Raufoglu for SES Türkiye -- 07/10/11

Turkey, like the EU, has been dependent on Russia's natural gas supplies for decades. But late in the summer, Ankara joined a chorus of European companies demanding that Gazprom, Russia's state-run gas monopoly, cut its natural gas prices, increasing pressure on the lucrative pricing model that underpins Russia's gas exports.
As the Russian side did not budge, the Turkish Energy Ministry decided last week not to renew the 25-year contract between the nation's Petroleum Pipeline Corporation (BOTAS) and Gazprom for the annual delivery of 6bcm of gas to Turkey along the TransBalkan pipeline.
Ankara was seeking a 20% gas cost rebate on Balkan purchases.

"This [decision] doesn't mean our natural gas purchases from Russia will stop or we will face any shortage in that sphere," Ahmet Erdal Feralan, ruling Justice and Development Party (AKP) member of the Parliamentary Energy Committee, told SES Türkiye. "Our private sector firms have already started negotiating with Gazprom to buy the rest of the gas," he said.
Mete Goknel, the former director of BOTAS, says the government would like a "just and fair" deal, although he admits there were some "tactical mistakes" during the negotiations with Gazprom. "We could have announced this [cancelation] a bit earlier and very confidently," he told SES Türkiye.
For Tugce Varol, an Istanbul-based Russian energy policies analyst, all of this is "kind of an AKP game".
"It is not termination but finalization of a long-term agreement [with Russia]," says Haluk Direskeneli, an Ankara-based energy analyst, questioning whether the Turkish gas market is ready to compensate for the natural gas shortage.
"We may face gas pressure drops, a shortage of gas supply in Edirne, Canakkale and Istanbul gas distributions," he said, emphasizing Russian gas is important for Turkish domestic energy generation and is a long-term commitment for both countries. "However supply security, too much dependency and the current account deficit are the difficulties of Turkey."
Varol warns that if Turkish firms don’t manage to get the required gas in the middle of the winter, it could damage the AKP’s reputation, because neither Azerbaijan nor Iran has capacity to fill this gap. "In fact, Ankara and Moscow are playing their last hand before the beginning of construction of the South Stream," she adds.
Alexander Jackson, a Caspian analyst at the London-based Menas Associates, says that although energy disputes involving Russia are often political, in this case, Turkey is playing hardball when it comes to gas prices, a tactic it has also tried with Azerbaijan and Iran.
"Turkey is less willing than previously to let Russia dictate gas prices," he says, adding any future pricing disagreements will be the subject of much fiercer negotiations.
"Time is working in favour of the consumer side. The link of gas to the oil price is out-dated," says Friedemann Mueller, chairman of the research group Global Issues at the German Institute of International and Security Affairs. Russia will keep its position as the main supplier of Turkey and the EU, but it will have to accept more competitive market rules.
"This is the game that will go on for more years and Turkey is well advised to keep cool in negotiations, but also to do more for a pipeline infrastructure that offers alternatives to Russia, not in order to exclude it as a supplier, but to have a choice among competitors," he told SES Türkiye.

http://turkey.setimes.com/

Natural gas long term agreement with Russia

2011-10-04T22:29:00.000-07:00

Natural gas agreement with GazProm of Russia for 6-bcm gas supply will be finalized as of 31st Dec 2011, let us be clear on that decision.

The Long-term Agreement is NOT terminated, NOT cancelled but it will be finalized, not renewed as of 31^st December 2011

It is not termination but finalization of long-term agreement

West pipeline gas capacity will be allocated to private gas distribution companies to buy gas direct from Russia.

There is no difficulty on Russian side, since they can keep their gas supply underground for long term, until they create a new opportunity to sell at good price in international markets.

Turkish West Natural gas pipeline will continue Russian gas supply until 31st December 2011 plus some more time for take- or- pay settlement

Question is whether Turkish gas market is ready to fulfill the Natural Gas shortage, which may will be occur after West pipeline gas supply agreement finalization (not cancellation) with Russia.

West pipeline will be allocated to private gas distribution companies to buy gas direct from Russia, no termination but finalization agreement

It is expected/ presumed that there is an ongoing negotiation for Private gas supply agreements between private companies and GazProm, but these are not made public yet.

Anyhow these agreements will be kept confidential at all times, and Russians will try to keep the current international natural gas market price levels.

In Turkish West Natural Gas pipeline gas distribution, the supply risk is in in-city gas distribution companies of Edirne, Çanakkale and Istanbul

We may face with gas pressure drops, shortage of gas supply in Edirne, Çanakkale and Istanbul gas distributions

Privatization scheme/tender for Natural gas firing 1120Mwe Hamitabat combined cycle power plant is cancelled. Plant has gas supply risk.

Russian natural gas supply is important for Turkish domestic energy generation and it is a long term commitment for both countries.

However supply security, too much foreign dependency and current account deficiency are the difficulties of Turkey, it is obvious that there should be countermeasures to reduce these risks.

Solution is in more intelligent investments on renewable energies solar/ wind/ small hydro, and local coal/ lignite firing clean coal technologies. Your comments are always welcome.

A Tale of Prinkipo

2011-10-03T20:28:00.001-07:00

YEAR 2011. The draft scenario/ screenplay described below is completely fiction/ set up, has nothing to do with reality nor with any real person.
This is a draft screenplay, prepared to present to a famous Italian film director (Ferzan Özpetek?), to enable him to shoot the film in Prinkipo. Senario has passages on Turkish food, Turkish kitchen, Turkish wine, Turkish gays, there are also Italian architectural elements in Prinkipo island at the turn of 20th Century and the problem of energy supply security, as well as protection of nearby environment.
This scenario is completely fiction, it explains local energy / environmental concerns and intended to draw attention to the energy/ environmental problems in a small island near Istanbul.

Film starts depicting, Architect Ayse (40+ years of age Turkish-American woman) living in New York, with her Italian-American husband, Al (Aldo) Fretelli, in ferry from Bostancı (Anatolian side of Istanbul) to Buyukada (Prinkipo island in ancient times for Buyukada, Prince islands), expedition begins with images of the city line services aboard ship. The camera approaches to luggage tags. JFK-Istanbul THY Turkish airline luggage tags appear. They landed a few hours ago. Couple have 2 little cute girls at 5-7 years old with them. Ferry arrives to Buyukada seaport/ docks, Ayse meets her mother and father. They pull wheeled luggage at a crowded square, enter the crowded queue of horse carts. Ayşe her mother and her small daughter in one cab, Al his father-in-law and eldest daughter of Aldo on the other cab to ride. Horse Carts leave from the travel range, they pass by Hotel Splendid Palas and Anatolia Club, along the way watching magnificent old stone houses (mansions) built mostly designed by Italian architects at the turn of 20^thcentury. Father-in-law owns the stone house by an Italian architecture at the end of the road. House helper rushes to open the gate and carry the luggage. Together, they pass to a large balcony overlooking the sea, the cold white wine is serves, women in the kitchen rush for dinner. Guys wear kitchen aprons, help to slice bread, make salad, cut melon, and watermelon, nothing more. They sing together Puccini opera arias, which is in the environment from a CD player.

Ayşe’s American husband, the groom (Italian American AL / Aldo Fretelli), is an important International Hedge Fund manager in New York. He is well educated, well trained, very rich and very intellectual. Ayşe has Post-Doc degree in Architecture and old house renovations from the University of Firenze in Italy, so Ayse speaks Italian as well as English and Turkish. Conversations continue in mixture of Italian, English, Turkish languages.

Ayşe's father, a medical doctor, with the money he earned from his clinic, had invested in healthcare / hospital industry. Early evening time his son, Ayşe’s brother Ali and his young wife come. Ladies exaggerates the work in kitchen. Ali makes salad, in the meantime he explains the local investment climate to his brother-in- law. They have new investment in IT sector but they need to find a new investment sector. Local IT sector is very competitive, energy sector may create new opportunities to earn more money.

Properly cooled local white wines are served, while Aldo has 2 each Italian Barberesko wines with himself, bought in Airport duty-free brought as present for his hosts. After white wines, they open up the Italian red wines first, each takes half-cup, then taste. After they open up local red quality wines, of Okuzgozu, Boğazkere, KalecikKarası grapes. Other invited guests of Prinkipo island appear at the gate, academics, gay couples, rich Turkish/ Jewish businessmen/ businesswomen with their spouses, speaking in French/ English/ Italian/ Turkish in the highly educated intellectual environment. Sisyphus of Prinkipo and his wife enters the environment, they bring a cup of fresh bean dish.

The family house/ mansion is almost 100-year old stone structure with high ceilings also the work of an Italian architect. Trotsky mansion known also as Arab Izzet Pasha -Designed by Architect Nicholas Dimadis, construction completed in year 1885, is located adjacent. Guests talk about Trotsky, his stay in Prinkipo island between 1929-1933. They talk about those years. Then they discuss about how to renovate Trotsky mansion without disturbing the original structure.

Environment consistently plays Puccini operas via CD player. A young girl enters, the room, closes CD player and plays Beethoven's 3rd piano concerto by memory. In the end of piano music, they all applaud the young pianist.

American husband / wife Ayse and AL, sleep long/late hours on the morning the next day. The window is open, the smell of the sea and nearby pine tree forest is in their sleeping room, the children rush in the room with pleasure. Breakfast is in a large spacious balcony. Helpers do act as if they are family members / relatives in comfort. There is an old but fit gardener / caretaker in the garden.

They leave the family mansion around noon time. They visit new exhibition in Çınar (Maple) square, “Islands- Buildings- Architects” on magnificent architectural stone buildings of the past, most of them are designed/ and/or built by Italian/ Greek/ Jewish Architects at the turn of 20^th century. They examine the pictures/ photos/ documents/ designed in the exhibition. Buildings are beautiful but old, dilapidated so they all need renovation. It is not possible to sell those houses to foreigners with no reciprocity agreements, so new application is long term leasing say for 49 years. They admire the Mizzi Palace which was designed by Italian architect Raimondo T. D’Aronco, who was also Royal Architect of Ottoman Sultan Abdulhamit-II. They feel that there is a growing commercial / business capacity in the island for restoration/ renovation works of the old mansions/ houses.

At noon time, they go to Prinkipo SanPasifiko Italian Roman Catholic church (by Italian architect Domenico Giorgio Stampa, built in 1862) for weekly Tuesday ritual.

Italian priest, Father Don Fellice meets the couple. He prays for them, then they all listen to Organ Church music. The organist of the San Pacifico church, Turkish / Italian young Renato plays "Je t'aime, moi non plus" passages within the the player, Don Felice has half angry, half-scolding manner with her eyes.

Fener Greek Patriarchate has received the ownership of the the former Greek Orphanage -by Levantine French architect Alexander Vallauri. Ayşe received the work for its restoration (New York City architect, Nicholas Koutsomitis).

New York Times, newspaper released an article on this subject in the summer months. They climb the KadıYoran(Tired Judge?) slope in the late afternoon as the sun sets, through the path/road of Lovers, and TÜRKYILMAZ street route. They go to the old Greek orphanage, watch the old building outside, dilapidated wooden building, biggest wooden structure in Europe, second biggest in the world. The Patriarchate has received the ownership, but could not raise funds for renovation which has an estimated budget of 50 million U.S. Dollars.

The following day early in the morning, they plan 8-km cycling/ bike tour around the island, they arrive to Lunapark square at the middle of the island, witness an unfortunate accident of an inexperienced local not wearing bicycle helmet with a horse cart.

A young local girl is injured and transferred by ambulance to Buyukada Public hospital. Ambulance passes through path where Sisyphus (your writer) is collecting litter -plastic pets / glass / metal box.

At the square, they lock their bikes to a side pole. They climb the Slope of Misery (or Torture) leading to Aya Yorgi (Hagia Yorgi) Monastery - designed by Greek Architect Kapetanakis, construction completed in year 1906.
While climbing the Torture slope to AyaYorgi Monastery, they do not look back, they do not speak, they only prey to what they believe. Ayse explains, "Future is shaped by expectations, you ask/ pray/ request the best for yourself, for your loved ones, you get the best in time.” AL confirms "Very true, but as in the economy, in this regard there is also a Nobel Prize in Economics in year 1995, for this principle given to Robert E. Lukas," he says.

They light candles for realization wish of their prays in the monastery. The priest reads the prayer, they pray. Don Felice of SanPasifiko is now the master in AyaYorgi / the same actor, with orthodox priest costume. On the hill, they watch Sea of Marmara and high flying migratory birds coming from Europe going to Africa, with some resting time on Old Greek Orphanage roofs.

They come back to LunaPark (merry-go-round) square, they take their bikes. They ride towards FethiOkyar House (architect Sedat Hakki Eldem, construction 1938), they pass by ViranBağ, they arrive to South Park former old garbage dump, then they give a break in the recreational public park area, at south end of Prinkipo island.

Aldo is an important Hedge Fund manager in New York, he says "This place is empty, owned by the state land, or the Treasury". Asks his wife, 'What is the estimated area of this park?, Ayşe responds," Probably 100 acres ". (In fact, 10 acres). AL responds, "Here is a nice set up to build a nuclear power plant with 1000 MWe electricity output, adds “let’s see how we can do it.”

Ayse says "Don't be silly," she adds, "You need to have at least 400 acres for 1000 MWe Nuclear power plants, could you get construction permission, in city of Istanbul?"

AL answers, "That would be great, it's a hard rock bottom, we fill the rest of the sea a little, we place heavy load on solid rock island floor, we put light weights on the filling construction, we generate 1000 MW of electricity, and transfer to main land through 3km coastal HVDC cables, it is easy at about 300+ US Dollar per meter cost at current market plus some auxiliaries, to transmission transformer on the other end of the channel. We supply power to all Istanbul to almost 15 million people, we have supply security, You have ever raising energy prices due to very expensive Russian natural gas. We do not have environmental pollution, we can manage waste disposal and security with high technology, no problem, lots of money.”

Adds, “We need to learn more about Turkish energy / investment incentive legislation, then we need to meet with the Minister of Energy and Chairman of the Energy Markets Regulatory Board. We need to find an experienced local partner company in energy investments. Your family is good in health / hospital/ IT sector, but Energy is a new investment sector for them. Let me explain the situation here to my British partners, Lord Humphrey (head of the British financial group) and Sir Barnard responsible for energy investments, (from ”Yes Minister” BBC TV serials”.

“We need to find local investor partners for sharing risks with us, and help/teach us. Your father mentioned a local friend who got involved in similar thermal power plants, where environmentalists have objected, by talking to him we may learn more about business and investment climate. He has experience, he knows how this type of investment is made, how to get license, how to get land expropriation if/where necessary"

Hamidiye Mosque (construction completed 1895, architect unknown, Raimondo T. D'Aronco?)

Imam Mesut Bakhtiyar Effendi (same actor playing the priest role), usually on the mosque yard, playing football with the local kids. He responds to the angry people "Children's voices are not bothered by the Great God!" says. He tells about the importance on the environmental sensitivity in Friday prayers. Most of the Muslim male roles/characters go to Friday prayers. Writer / restaurateur, begins local environmental organization to oppose Nuclear power plant investment on the island. Author / restaurateur, is the lover of Ayşe's youth, which is told in Episode-1.

The end of the movie:

We all know that NPP is a long term investment. Financing, tendering, construction, operation are all very difficult. Waste disposal and security problems are not yet solved. On the other hand, the island's south coast is very deep, the landfill is not possible, parking space is very small for nuclear power plant construction. Nuclear / thermal power plant can’t be installed, however a small a solar power plant with a capacity of up to 10-MWe can be installed. Wind power plants can’t be installed, because on the air corridor above the island of Prinkipo, perhaps thousands of migratory birds fly every year from Europe to Africa, which continued for millions of years on the natural route. Wind turbines, propellers, if mounted on the island hills, perish thousands of birds while passing, and wind turbines can’t work, they immediately deteriorate. Solar panels can be placed in front of the empty construction site on AyaNikola beach. Solar power plant can be established here to generate electricity for the people of the island for their domestic electricity needs.

No response yet from “Ferzan Ozpetek”. Wonder if it helps to change “Italian ALDO” character to "Jewish Aaron" with Sefarat heritage, whose family emigrates to New York from Prinkipo at the turn of the 20^th century. His old relatives still live in Prinkipo island. So I tell about more details of Jewish Prinkipo culture. They go to “Hesed Le’Avraam” Synagogue in Prinkipo- (built in 1904 designed by Gabriel Tedeschi, contractor Behar Parali) for Saturday praying, where they meet with local Rabbi, the same actor who played priest and imam earlier. I wonder, if Director "Woody Allen" gets interested with our draft scenario? Could he shoot a similar movie to "Midnight in Paris" in Prinkipo?? For example, say "A Tale of Prinkipo". This may also help to reduce unnecessary tension between Israel and Turkey.

I do not know how to continue this screenplay. I'll write back once ... But how will? (help..)

Sisyphus of Prinkipo island

Job description of Deputies

2011-09-27T23:33:00.000-07:00

Dear Colleagues

We are advised by various media sources that new Deputy Ministers are assigned to Ministries recently. We sincerely wonder the success criteria of deputy minister in a ministry, since they are not MPs. It will be a good challenge to draft job description of a Deputy Minister, especially in Ministry of Energy & Natural Resources.

If I were the Deputy Minister in Ministry of Energy & Natural Resources, I would volunteer to visit power plants all year long non-stop.

If I were the Deputy Minister in Ministry of Energy & Natural Resources, I would volunteer to participate all energy conferences/ seminars.

If I were the Minister in Ministry of Energy & Natural Resources, I would let the Deputy to draft all speeches for ceremonies, but deliver the speeches by myself at all times,

If I were the Minister in charge in Ministry of Energy, I would ask my Deputy to be responsible of specific investment projects.

If I were the Minister in Ministry of Energy & Natural Resources, I would encourage my Deputy to participate to all academic gatherings.

If I would be the Minister in charge, I would prefer to assign my deputy to visit the establishments/ companies/ power plants/ research centers of my organization out of Ankara non-stop.

Deputy Prime Minister(PM) post is normal in everywhere since PM cannot fulfill all responsibilities at the same time, however Deputy Minister post is seldom in world application.

There will be most likely non- stop dispute between the Minister in charge and the Deputy Minister supported by the top decision maker, since Deputy will be reporting to top decision maker not to the Minister.

Moreover Minister in charge never wishes to share his/her responsibilities with his/her Deputy.

All in all, Deputy ministers are the last need for the Minister in charge, we wonder how long they will stay in the Ministries.

Your comments are welcome, with best regards

-- Haluk Direskeneli, Ankara based Energy Analyst,

Letter from Sisyphus of Prinkipo island

2011-09-26T02:00:00.000-07:00

Dear Colleagues,

It is now Autumn season in Prinkipo island, autumn leaves are everywhere, moving to mainland city by summertime locals are getting increased, houses are getting dark at night. We have almost complete silence at night in Prinkipo island, dogs seagulls crows are also silent, only warm sea breeze. It is now rain season, we shall have many days of heavy rain which will clean roads, horseshit will be disposed soon, we shall have clean fresh smell of flowers and green grass soon.

Construction/ rehab/ renovation ban is lifted. We hear daytime repair / renovation noises everywhere in Prinkipo island, roofs are renewed, old mansions are renovated, complete silence at night,

Yesterday was the Semiannual Holy Climbing day for AyaYorgi peak in Prinkipo island Buyukada Istanbul, more than mainland and overseas visitors were in the island on the Torture slope to AyaYorgi Monastery

We are advised that New legislation is argued for Long-term leasing of old mansions in Prinkipo by rich Arab families, application will renew the island and enable old houses renovated during low season.

On the other hand, local Real Estate constructors are advising impose long-term (49 yrs) real estate rental system for countries with no reciprocity practice (Saudi/ Russia/ Gulf countries) in real estate as in Prinkipo island Buyukada.

Local Real-estate Constructors are also advising full-sale real estate to countries with no reciprocity in legislation, Full Sale of old mansions in Prinkipo to rich Arab families may renew the island.

Policy may enable old houses renovated during low season however it will change demographics drastically with no return for sure, newcomers do not know meaning of secularism in democracy/ and reciprocity principle in their international affairs. Certainly newcomers both Saudis/ Arabs/Russians will profit from city gentrification in the long run.. Too controversial?, I feel not, what do you think?? Best regards

Sisyphus of Prinkipo

Turkey seeks partner as Japan nuke talks linger

2011-08-18T01:20:00.000-07:00

According to Finnish official, TVO, which runs a nuclear power plant in Finland’s Olkiluoto Island, is a possible candidate to operate a to-be-built nuclear plant in Turkey. AFP photo

Wednesday, August 17, 2011

ISTANBUL- Hürriyet Daily News, Gökhan Kurtaran,

Turkey will consider talks with countries other than Japan for a nuclear power plant to be built in Sinop, a ministry official says. A Finnish expert confirms nuclear operators from Finland might also be intersted.

Turkey has lost time with its negotiations with Japan on the plans to build a nuclear power plant in Sinop, and it has decided to negotiate with other countries as well, an Energy Ministry official told the Hürriyet Daily News. Finnish nuclear operators are also among the possible candidates.
“We have lost time while negotiating with Japan,” the ministry’s press undersecretary, Ali Eskigün, told the Hürriyet Daily News in a phone interview on Wednesday. The ministry decided Tuesday to start negotiations with other countries for the nuclear plants planned to be built in the country, he added. “Japan agrees to construct the nuclear power plant, but they want another company to be its operator.”
Meanwhile, the country is also considering Finnish companies for a partnership to conclude an agreement for operating a nuclear power station planned to be built in the Black Sea province of Sinop, as Japan’s TEPCO withdrew from the plant bidding on Aug.4.
A Finnish official mentions names of two companies as possible candidates to operate the plant.
“Teollisuuden Voima Oyj [TVO] and Fortum Oyj might be among the possible candidates,” Risto Isaksson, head of the Public Communication at Finnish Radiation and Nuclear Safety Authority, or STUK, told the Daily News in a phone interview on Tuesday.
Turkish Energy Minister Taner Yıldız told Reuters on Monday, “If we could not reach an agreement with Japan, then we might consider China and Finland.” After Japan, Canada and France, for the first time Finland has been ranked among possible candidates to operate the plant to be built in Sinop.
Turkey is interested in “offers from Finnish companies” as well as other possible candidates from other countries, said Eskigün. “The important thing is for Finnish companies to be interested in [Turkey’s nuclear energy plans], rather than Turkey be interested in them.”

No comment

“I’m sure you understand that as a stock exchange listed company, Fortum does not comment on the question,” Helena Aatinen, Fortum’s vice president for Corporate Relations & International Affairs, said in an e-mail response to the Daily News on Wednesday.

Fortum Oyj operates in 14 countries including Finland, Sweden, Norway, Russia, Lithuania, Latvia, Poland, Belgium, Netherlands and Germany. In Finland, it has two nuclear power plants at Lovissa.

“I do not think any of the [Finnish] companies would be the right candidate for such a major task,” Haluk Direskeneli, an Ankara-based energy analyst, told the Daily News in a phone interview on Tuesday.

However, a Finnish energy expert disagreed. “There is no doubt that Finland has the know-how and experience in operating nuclear power plants.” Juha Naukkarinen, a energy expert at Energiateollisuus, told the Daily News in a phone interview on Wednesday. “There has not been any minor accident or leakage in our plants.”

TVO Oyj, the other possible candidate for Turkey’s nuclear energy plans in Sinop, currently runs two nuclear power plant units at Olkiluoto plants in the Finnish province of Eurajoki, producing more than 16 percent of all the electricity consumed in the country.

Explosions spark energy dependence concerns in Turkey

2011-08-17T08:09:00.000-07:00

Photo: Gas service is expected to be restored by next week. [Reuters]

By Alakbar Raufoglu for Southeast European Times -- 17/08/11

The PKK claimed responsibility for two recent attacks on a Turkey-Iran gas pipeline -- the August 11th explosion in Agri, Turkey, and the one in Bazargan, Iran, on July 29th. The line, which carries approximately 30m cubic meters of gas a day, was shut down after both incidents.

Officials in Ankara hope to resume full gas flows by next week.

"Iran is our very important [gas] supplier. We will overcome such incidents as we did before," Parliament's Energy Committee Chairman Mahmut Mucahit Findikli toldSETimes.

Iran is Turkey's second largest supplier of natural gas after Russia. Gas exports from Iran to Turkey showed about a 7% increase in the first half of this year compared to last year.

Meanwhile, the recent incidents raised further concerns among critics of Turkey's energy dependence on Iran.

"They [Iran] use gas delivery as political leverage," Ankara-based energy analyst Haluk Direskeneli told SETimes, adding that Iranian gas is "totally unreliable for Turkey's domestic consumption".

"They [Iran] supply poor quality (low HHV, high sulphur) gas. They also interrupt the flow, the pipeline is not secure, prone to explosions, and subject to PKK attacks all year long," he said. "

Turkey should reduce overall natural gas consumption and return to its local resources, namely renewable -- wind/ solar/ hydro and clean coal technologies firing local lignite in a difficult but smooth transition."

Veli Agbaba, CHP MP and member of the parliament's Energy Commission, believes the PKK attacks underscore that this pipeline is neither secure nor reliable.

"It is rather how Turkey can overcome terrorism in its territory, than the pipeline's reliability [that is important]," he told SETimes, adding that Ankara should take such risks into consideration in its energy policy.

Alexander Jackson, a London-based energy security analyst, focusing on Turkey and the Caucasus, said that the recent attacks forced Turkey to increase imports from Azerbaijan and Russia.

"Although Turkey has taken efforts to cultivate energy ties with many suppliers, allowing it to be flexible, short-term switches in supply are volatile and not necessarily sustainable," he toldSETimes. The chief lesson for Turkey to take away from this is that until the PKK is defeated, its entire web of strategic infrastructure in the southeast is vulnerable, he added.

Nader Habibi, Middle East economy analyst at Brandeis University's Crown Center, also believes politically motivated attacks on Turkey-Iran pipelines are likely to occur in the future, as both countries face Kurdish separatist movements.

"Since Iran faces considerable international pressure and sanctions, it has a strong incentive to maintain its close economic ties with Turkey and it is unlikely that the gas supply will be unilaterally interrupted unless there is severe political tension between the two countries," he toldSETimes.

Findikli, however, said the PKK attacks "would have zero influence on Ankara's energy policy towards Iran".

"There is no reason to dismiss Iran's importance in our energy policy. We need this door -- not only for Turkey's energy security, but for Europe's, as well," he said.

But local analysts still question the benefits of "Iran's door", saying Tehran is not a source of diversified energy routes for Europe and Turkey.

"Natural gas is a heroin for the consumers, but when it comes to the price, there is no negotiation between buyer and seller. Gas prices are being increased all the time and the buyer has almost no power to say 'no'," Direskeneli said.

Imports no solution to energy gap, experts say

2011-08-13T04:08:00.000-07:00

This file photo shows the world’s second largest oil-exploring platform Leiv Eiriksson leaving Turkey in March after one year exploration in the Black Sea. Hürriyet photo

ISTANBUL- Hürriyet Daily News, Friday, August 12, 2011, Erisa Dautaj Şenerdem,

Energy imports to Turkey have grown by more than 41 percent in the first half of the year. Domestic supply is the only way to ease pressure, experts say

Turkey’s cost of energy imports increased 41 percent during the first six months of the year compared to the same period in 2010, and experts say domestic energy production is the only way to relieve the pressure.

The country’s energy imports totaled $24.8 billion between January and June, compared to $17.6 billion in the same period last year, according to figures published by TurkStat, the official state statistics institute. The figure includes imports of oil and oil products, natural and seamless gas, electricity, as well as bituminous coal, hard, coking and briquette coal.

The data shows imports of crude oil grew 16.13 percent reaching a volume of 8.8 million tons, in the same period. Turkey imported most of its crude oil from Iran, Iraq and Russia.

Energy is the item that bears the largest weight on the country’s current account deficit, according to Altan Kolbay, the secretary-general of the Oil Platform Association, or PETFORM, a sectoral organization of 48 energy companies. “Turkey imports 93 percent of the oil and 98 percent of the natural gas it consumes,” Kolbay told the Hürriyet Daily News in a phone interview on Friday. He said this figure had remained almost the same for the past 10 years.

Natural gas imports have increasingly become a concern for the current account, due to a radical increase in demand, thus increasing dependency on imports, he said.

Oil prices have also increased considerably, and Turkey is among countries that cannot affect such prices, which are determined in international markets, Kolbay added.

Recalling that this was a problem for all non-oil producing countries, Kolbay said the only way out of the situation was through domestic production. According to him, this can be realized through encouraging exploration and investments in off-shore regions, trying unconventional production methods, particularly in exploring for shale gas, as well as encouraging enhanced oil recovery methods, which increase production in existing oil wells through certain chemical techniques.

The existing regulation on oil production dates back to 1954 and it must be revised in accordance with the present conditions, Kolbay said. “It must encourage both public and private investments.”

Coal, thermal power plants an alternative

The behavior of energy resource suppliers will always tend toward higher prices, however, the Turkish consumer must have a choice (to say NO), said Haluk Direskeneli, an Ankara-based energy analyst.

“We must use domestic coal and thermal power plants in harmony with environmental norms,” Direskeneli told the Daily News in a phone interview. Nuclear energy takes much more time and there are concerns related to the environment. On the other hand, the country should try to diversify its energy resources (such as Wind/ Solar/ Hydro/Clean Coal), he said.

Private investors have mostly invested in plants that use imported coal, whose international spot price has increased radically (almost double) in recent years, Direskeneli said. “These investors cannot sell energy now, due to very high electricity generating/ operation costs. The state must repair existing coal mines and encourage private sector to invest in these or new plants nearby already existing mines.”

Offshore Deep sea oil drilling on EastMed

2011-08-04T14:54:00.000-07:00

Dear Colleagues,

Under South Cyprus license, Noble Energy (NYSE:NBL) of Houston Texas started offshore oil exploration on 19^th September 2011,

It is for sure that Noble energy will be at non-stop risk of nearby Marine war exercises by Turkish Navy all year long, due to unfair share of natural resources between South & North Cyprus

Noble Energy and South Cyprus will be at non-stop risk of abuse and dogfight threat by Turkish Navy and Air Force, in the disputed waters

Company is playing too risky, business environment cannot stand that much sovereign risk

Company has estimated that around 280 billion cubic meters of natural gas lie in wait below the seabed in Aphrodite field.

Noble Energy, Stock Analysis shows Bearish Engulfing Candlestick Pattern – as usual after offshore initiation in the markets. But that is misleading.

Company is pushing all risk limits, bankruptcy could appear in future due to high unforeseen risks, that is an important warning for the shareholders.

Company has started to blame rig for repeated breakdowns and is seeking an alternative deep water offshore drilling platform.

On East Mediterranean, contrary to Aegean sea, dogfight is very easy for Turkish Air Force, but very difficult for Greeks, moreover there is almost no military capability of Cyprus.

This does not mean hot clash, not military confrontation, this could only be simple military abuse, and that is sufficient to stop offshore works.

All in all, any deep-sea offshore oil exploration at Eastern Mediterranean is impossible without prior consent / or approval of Turkish government.

Therefore understanding of respective interests and joint agreement on sharing rights are necessary between all interested parties,

All figures/ estimations are predicted in nature, they are all fiction/ unreliable as of today, until verified as proven after expensive deep-sea offshore drilling.

These offshore explorations are expensive, so operator company may go bankrupt until finding a profitable well.

Please do note that El Paso of USA had 3 offshore drilling in Iskenderun Bay of East Med and found nothing in near past. Therefore commercial risks are very high. All-risk insurance is very costly.

East Med offshore drilling is not easy, work needs time, effort, money & tranquil waters away from any dispute for fair share of reserves

EEZ of South Cyprus in East Med is Exclusive Military Zone (EMZ) for Turkish Navy & Air Force,

Therefore if Turkish Parliament/ Government does not approve/ certify any legal document, then it is not in international law, such as so-called EEZ in East Med

East Med oil/gas explorations need long-term commitment, work will consume too much resources/ time/ money/ effort for exploration

East Med gas/oil offshore potential is exaggeration of media sources, take your time to get responses from the first drilling, you should be too patient to get results.

Military clash/ conflict is unlikely in East Med, but military abuse is normal, dogfight of War Planes is normal & nobody matches Turkish Navy and Air Force due to close logistics.

Nato members cannot clash, the worst thing could be to freeze all work, which means money lost for the Company in East Med investment.

A commercial company should make risk assessment carefully, it is not so easy to work for offshore drilling in disputed waters of East Med.

South Cyprus politicians look for fast good news for future after Vassilikos disaster, they promote East Med offshore with no concrete/ proven assessment.

Disputed waters of East Med is difficult risk for offshore platform operators, offshore drilling operation requires tranquil environment, it is very hard job for Noble Energy.

El Paso of USA had 3 offshore drilling in shallow waters of Iskenderun Bay in East Med in the past with high expectations, nothing found US$30m lost, now the budget is expected US$200m per deep water platform

East Med is under geographical domination of Turkish Navy. Other neighboring countries are too far to Cyprus. Even Meis island is isolated/ far/ all open for scrutiny.

East Med Offshore gas/oil reserves over optimistic, it is too deep, more than 1500 meters deep sea, plus 2600 meters rock/soil to be drilled.

It is like “Boatmen's quarrel” of Ottoman period in Istanbul where you have no physical contact, but you can only shout to beat your rivals in order to get customers, that is similar to East Med today.

It is unlikely hot clash between Turkey and Israeli or Greek/ Cypriot naval ships in East Med, because democracies do not fight, Nato members never fight with each other.

War of words of politicians is not effective in case of strong presence of Turkish Navy & Air Force in East Med offshore fields, Key is mutual work for fair share.

East Med needs common sense of neighboring countries to tap the resources in fair share, otherwise it is dispute to waste energy.

Your writer may be wrong about the unlikelihood of democracies fighting. The world's total instability right now could prompt huge miscalculations

Your comments are always welcome. With deepest respect

Haluk Direskeneli, Prinkipo based Energy Analyst

Nuclear plant can meet Cypriot energy demand

2011-07-21T05:02:00.000-07:00

Photo: 180 Mwe, 600m US Dollar, Areva/France Barge-mounted Nuclear Power Plant

GÖKHAN KURTARAN, ISTANBUL - Hürriyet Daily NewsWednesday, July 20, 2011

The construction of a nuclear plant in Northern Cyprus could help meet the island’s electricity demand, authorities say.

Turkey is also working on an energy masterplan for Cyprus’ both sides, Turkish minister says

Turkey’s bid to supply electricity for the whole of Cyprus has been based on two plans, building a nuclear plant on the island or laying underwater cables from Turkey, according to Turkey’s Chamber of Mechanical Engineers.

The claim has been certified by the Turkish Cypriot authority as well as the chamber.

Turkey has already set all the options on the table for meeting the energy needs of the island, Haluk Direskeneli, a board member of the Chamber of Mechanical Engineers and head of its Energy Committee, said in a phone interview Tuesday.

“Russia’s barge-mounted nuclear power plant might be built in northern Cyprus,” he said, adding that such a facility would generate electricity “not only for the Turkish part [of the divided island], but also the Greek part.”

A nuclear plant on the island was also discussed in the Greek Cypriot parliament a few years ago, Direskeneli said.

“Both options were mentioned in a recent master plan,” an official from the Turkish Cypriot Economy and Energy Ministry told the Hürriyet Daily News, speaking on condition of anonymity.

“Turkey’s government is currently working on an energy master plan for the island,” said Direskeneli, noting that Greek Cyprus was seriously struggling to provide electricity after a deadly blast at a military base last week knocked out the country’s main power plant.

The idea of a nuclear power plant in northern Cyprus was brought up at a seminar in the British Council’s Ankara office Jan. 16, 2007, with nearly 30 people in attendance, mainly from academic circles and interested “public and private enterprises,” Direskeneli said.

Still, the political uncertainties and conflicts on the island would pose a strong challenge in building a nuclear plant there.

“There are almost no fossil-fuel resources; no oil, no gas, no coal on the island,” Direskeneli said, noting that all fossil fuel to generate energy should be purchased abroad and transported by ferries to the island.

Another option to transfer energy to the island is laying underwater cables stretching from the southern Turkish province of Mersin to northern Cyprus, he added.

Turkey plans to build its first nuclear power station at Akkuyu, in Mersin, under a deal signed last year with the Russian State Nuclear Energy Corporation, or Rosatom. The Turkish government plans to start construction of three nuclear power plants within five years.

Despite the serious concerns expressed by Greece and Greek Cyprus about the power plant to be built in Akkuyu, “it would be in their best interest now,” according to Direskeneli, as the plant could generate electricity for Greek Cyprus as well. “Current electricity supply difficulty might push Greek officials to reconsider joint projects with Turkish Cyprus,” he added.

Greek and Greek Cypriot officials have reacted negatively to Turkey’s nuclear plans. “We believe there should be a collective approach by the European Union in order to exert adequate pressure on Turkey to reconsider its plans,” Greek Cypriot leader Dimitris Christofias said at an EU summit in March.

After meeting his Turkish Cypriot counterpart Sunat Akın in Ankara on Monday, Turkish Energy Minister Taner Yıldız said his ministry had prepared a wide-scale master plan for the island that would meet the energy needs of all of Cyprus by 2023.

Afşin Elbistan, the Crazy Project

2011-06-01T23:16:00.001-07:00

Dear Colleagues, Dear Energy Professional,

The most important electric power generation projects are in "Afsin Elbistan" region where the largest lignite mines are located in

Turkey

; including almost half of the entire local proven reserves. The existing power plants (Groups A and B) are based on pulverized coal firing technology which need relatively higher calorific value plus less moisture. Indirect type Pulverized coal firing technique can be successful only if you lower the moisture content and hence with higher the calorific value.

Available coal has a challenging content with very poor Low calorific value at about average 1150 kcal per kg, and approximately with 55% moisture, 20% ash, 1.5-4% sulphur content.

Thermal Power plant (A) has no flue gas desulphurization. It was built in early 1980s, and its firing technique was based on indirect firing of pulverized coal. Power plant (A) electrostatic precipitators were designed at low capacity flue-gas exit dust collecting. One other set of E/Ps were loaded with 30% of incoming pulverized coal for drying prior to final firing in the boiler combustion chamber. Hence they cannot carry the extended load and they are out of service most of the time.

In the indirect coal firing technique, you dry the incoming coal/ lignite first in the coal mills with hot flue gas and then you send 30% of that pulverized wet coal into a second set of electrostatic precipitators (vapor/brueden filters at +62m boiler elevation ) for further drying with outgoing hot flue gas.

This “indirect firing” was borrowed from cement process; it might be called technology plagiarism, and its application can not be proven its usefulness after 20 years of interrupted operation. Steam Boiler operation was almost in mess, non-stop operation was not possible for 4 steam boiler units altogether. When they call that “indirect coal firing” as the great western technology, one cannot conceal smile.

E/Ps are out of service most of the time, and the 2 of total 4 stacks in operation pour huge fly ash into atmosphere. If E/Ps are not working properly in a thermal power plant, and furthermore if they have no flue gas desulphurization on the stacks, then it is our sincere feeling that those power plants have to be stopped for operation since their harm to nearby environment is greater that the expected gain in electricity generation to the national grid.

Thermal Power plant Unit-B is brand new, clean, and better, fully equipped with sufficient capacity flue gas desulphurization systems, with high capacity flue gas dust collecting electrostatic precipitators. There is almost no apparent dust on the existing stacks.

Last year (2010)

Turkey

could not use enough local coal resources. 46 percent of electricity generation was spent for natural gas. Large domestic coal reserves are waiting for exploitation in vast Afsin Elbistan basin. We can have sustainable, environmentally friendly and also gain positive social impact on our economy. However, it is not so easy with today's market logic. A Master Plan for the regional development must be prepared for Elbistan region. That Master Plan should cover a region of Sivas Kangal, Elbistan, Adana Tufanbeyli, even Konya Karapınar coal mines. Immediate privatization of new power plants following the construction is not correct.

Afsin Elbistan B Power Plant Environmental Impact Assessment (EIA) Report was approved with one important condition. That condition was the construction of new Flue Gas De-sulphurisation (FGD) installation for A-unit until 2012. This period will end in 2012 and hence will be extended until 2017 since FGD for A-unit has not been yet constructed.

Afsin Elbistan’s regional air quality limit is another problem. New power plants can not be tolerated with air quality limits since they create adverse effects to existing situation. New EIA Preliminary studies are already initiated for the new additional thermal power plants to be constructed in future

In the pre-feasibility study / and EIA include river bed changes/ diversion, and the new water dams for cooling systems. Dry-cooling systems are recommended for cooling towers to minimize the water consumption, which is very important for nearby municipality water needs.

It s estimated that approximately 1 billion

Dollar equivalent budget is necessary for the rehabilitation of existing A-unit. This spending is no longer necessary. Thermal Power plant A-unit is to be closed completely, cease operation. It should be sold at scrap value. Meanwhile its legal operational rights status of past privatization should be settled in courts.

For construction of C-E units, necessary infrastructure services are to be made by the public sources. Two towns are to be relocated. River-bed should be changed; water dams are to be constructed, high voltage transmission lines are to be installed.

We have 450 million tons crude oil equivalent of coal in the field with vast economic value. That is with today's currency a value of U.S. $ 400 billion.

We can estimate U.S. $ 1.7 per cubic meter of coal, covering a total of U.S. $ 4.25 for coal stripping/overburden plus other expenses that can lead to about total of 6 U.S. $ per ton coal (7.8 U.S. $ per ton coal by EUAS as of 2006) or approximately 1.315 U.S. $ per MMBTU , leading to a final cost of approx. 6.0 U.S.cent per kWh.

So ball-park total US $ 2 billion investment (for each 1400 MWe TPP unit) may be paying off in approximately 8-10 years with average 33% plant efficiency, and 6500 hours operation per year.

That is electricity generation from your own resources. No need for imports.

A tender for the rehabilitation of thermal power A could not be finalized. World Bank loan was canceled. Leasing auctions did/will not succeed.

Public-Private Partnership (PPP) model could be developed, since public can handle certain major problems, such as river bed changes, relocation of local people, project guarantees.

High moisture content in available coal in Elbistan makes circulating fluidized bed (CFB) technology very difficult to implement. New clean coal technologies can be applied. Hence CCS, IGCC, oxy-firing, underground gasification technologies can be investigated.

On the other hand it is not possible to install the necessary reactors in one piece in the field so gasification technology is very difficult to install over 300 MW capacity.

The Treasury had previously received guaranteed loans. Today it is no longer applicable.

Today's most popular financing is non-recourse financing application. In this model, a project company is formed separate from investors; it is established by calculating the life of the project and the costs of credit given to the project company. So that project cost does not affect the sponsors' own budgets.

There are many local engineering companies who use the latest available technology. There are also reputable local universities who are using academic version of thermal power plants software within an increment of the commercial application with one important precondition that they should mention the name of the software in their academic articles. We have many new MSc and PhD dissertations which used the academic thermal power plant design softwares.

AfsinElbistan lignite has to be enriched by moisture capture prior to pulverized firing. That could be via drying or ESP applications, or any other means.

CFB is possible but we also need enrichment up to 2000 kcal/kg LHV, or 3000 BTU/lb HHV. Available references elsewhere are not compatible with Elbistan coal.

IGCC needs further academic investigations prior to any commercial applications.

Oxy-fuel is theoretically possible but we do not have any reliable practical research.

From our past experience, those off-the-shelf foreign designs are obsolete, they do not work. Locals are to concentrate themselves into their own design of their own local lignite. Do not rely on foreign financing which will advise their obsolete lignite firing technologies. They did not work in the past; hence they will not work in future.

In Elbistan, Clean Coal Technologies can create a great opportunity for all interested local parties to enable them to learn from past mistakes, to investigate the possible/ applicable technologies plus implementation of applicable “non-recourse” financing schemes, to investigate and assess the available intellectual capability of the local human resources.

AfsinElbistan is our future for our energy security; therefore we need to allocate more academic funds in order to have more research on local fuel supply that will enable to fire the available coal best in our own design thermal power plants. It is a real “Crazy Project”.

--
Haluk Direskeneli, Hamburg based Energy Analyst

Adana Tufanbeyli 450 MWe CFB

2011-05-29T02:45:00.000-07:00

Itochu Corp. and SK E&C CO.LTD. Team Up for Coal-Fired Power Plant Project in Turkey

05/18/2011

Itochu Corp. and SK E&C CO.LTD. have been awarded an engineering, procurement, and construction (EPC) contract to build a power plant in south-eastern Turkey.

The contract, from Turkish joint venture Enerjisa, is for approximately JPY 80 billion (USD 982 million) towards the construction of a 450-MW coal-fired power plant in Tufanbeyli.

Itochu and SK Engineering are expected to complete the power plant by February 2015.

The power plant is expected to rely on locally extracted reserves of brown coal, which the Turkish government is increasingly turning to as the country looks to address rising power demand by encouraging investment in new electricity power generation, be it from nuclear, wind, solar, hydro, or coal.

http://investing.businessweek.com/research/stocks/private/snapshot.asp?privcapId=5474161

POWER-GEN Europe 2011

2011-05-08T23:47:00.001-07:00

Re: POWER-GEN Europe 2011, 07-08-09 June 2011 Fiera Milano - City Centre, Milan, Italy

Dear Sir / Madam, Dear Power Engineering Professional,

POWER-GEN Europe is the undisputed home of the European power industry, enabling participants to discover tools and strategies to successfully develop their business, while offering interaction with the largest group of European power professionals under one roof.

Established in 1993, POWER-GEN Europe continues to grow in size at every staging and is the one true ‘must attend’ annual conference and exhibition for power professionals across the European landscape. Each year the comprehensive conference programme tackles the burning issues facing pan-European power professionals, and the exhibition floor features Europe’s largest showcase of products and services tailored for power generation.

Co-located with Renewable Energy Europe and POWERGRID Europe, POWER-GEN Europe continues to address challenges faced by the electricity sector as a whole by bringing together three key elements of the power industry under one roof: conventional and renewable power generation, and transmission and distribution.

The largest event of its kind in Europe, POWER-GEN Europe puts you in the company of energy professional colleagues from more than 100 countries, offering a wealth of business opportunities with the industry’s leading professionals and key decision makers. For doing business in the European market, POWER-GEN Europe is the centre point for power.

If you would be in Milan for the fair, please do visit us on at POWER-GEN Europe 2011, located at:

Fiera Milano City Centre, Milan, Italy

Thermoflow booth number is: Booth 3H21

Please find a brochure with further information about the event in the link given below

http://www.powergeneurope.com/

We look forward to meeting you there.

Sincerely,

Thermoflow Inc.

Thermal Power Plant Design Engineering Software

http://www.thermoflow.com

Thinking Local in Energy Generation

2011-04-02T10:12:00.001-07:00

Dear Energy Professional, Dear Colleagues

Middle East Technical University Alumni Association organized a full-day workshop in Ankara on Saturday 19 March 2011. We invited experienced professionals highly qualified on the subject, in order to assess the potential of local resources in energy generation and increasing the share of domestic fabrication.

In the workshop, 5 different sub-groups were formed namely "coal", "wind", "hydro", "solar" and "natural gas".

The basic information of Turkey's indigenous coal reserves and coal types, coal based power generation plants and available coal based energy technologies which are used in the production were listed by the pre-workshop "Coal" group, created and shared with Coal group members. Domestic reserves of coal samples are specified in the best way to assess the selection of appropriate technology and using the local resources, for construction of electricity generating plants, as one of the goals of this workshop.

In Energy/ Electricity generating technologies, the five main / essential elements are considered as design, supply of third party materials/ equipment, local manufacturing, site installation, commissioning and smooth operation on-site, each to be taken into account separately, in order to generate consensus in face to face communications between the group members around table.

We know that other than a number of small design works of local companies, there is no large commercial scale steam boiler design created by a Turkish company yet available. The Pulverized Coal Firing (PCF) and Circulating Fluidized Bed boiler design (CFB) technology are common in Turkey. IGCC and other clean coal technologies are not yet commercial for our capacities. Nowadays CFB technologies are focused by local firms.

Pulverized coal combustion boiler technologies are used in most of our existing foreign supply thermal power plants and they all have operational problems. They are worn out and shortly out of operation.

CFB coal combustion technology development is still continuing in private companies, universities and TUBITAK- MAM Research Institute. continuing. A private firm announced that, they completed a new project and they can burn local lignite in a CFB design steam boiler at an output capacity of 15 MWe.

Another Turkish company advised that they can burn biomass with local lignite in a 60 MWe steam boiler design, manufactured by themselves. TUBITAK Marmara Research Center, supported by EIE, the General Directorate of Forestry,and Middle East Technical University, it is reported that it is possible to burn local lignite with biomass in a locally designed CFB type pilot plant with an output capacity of 1 MWth.
We all agree that Afsin-Elbistan lignite coal reserve is of great importance for our country. Therefore, we should create new coal firing designs which can properly burn large coal reserves in Afsin-Elbistan region with a proper/ efficient coal firing technology. It is very important and needs public support for development.

In order to accomplish that mission, we would recommend a method, consisting of local private firms and / or the union of public companies. EPC contract could be undertaken for construction of one unit in normal size, provided that a large portion of the design and construction risk to be taken by the consortium of companies.

Public support is to be concentrated in the other models that can be produced. An important issue in advance of the project execution is in procurement law which is similar to the existing electricity generation facility, referred to the removal of Article which enforces doing business a similar power plant reference in the past. That is completely private sector / university / research center activity which are to be encouraged for their first reference.

CFB combustion technology to burn local lignite in very near future is expected to reach commercial size. One of the biggest factors limiting the use of domestic technology is lack of basic and detail design obstacle that has to be erased soon. Providing more public support/ finance/ procurement procedures are essential to speed up the local fabrication process.

With regards to the design stages, we have created a number of recommendations listed below as mission statements to be completed in the short term;

- Planned and organized procedures for more public funds / pre-finance / supplier’s credit / research funds / software support to our manufacturers are needed to ensure local fabrication.

- The private sector, universities and the creation of coordination between studies must be made by the TUBITAK Marmara Research Center,

- Financial support from abroad based on arrangements/ specifications/ certifications are needed to encourage domestic production of energy production facilities,

- Pre-finance packages by local commercial banks must be supported by appropriate public funds,

- Similar to Undersecretariat of Defense Industry (SSM), Energy Industry Undersecretariat (ESM), should be established to encourage local manufacturers in the field of energy markets to play an important role in solving problems,

- Need for basic/ detailed design are required to develop necessary R&D activities, need to be developed in public/ private/ university cooperation,

- Local financing of local contractors are to be encouraged, by all means.

- Investments with local employment/ local participation are to be encouraged.

It is presumed that there is no need to allocate any source to develop and fabricate high technology / high capacity GT/ST turbine generators at this time since the OEM’s are well positioned in the international markets, development of such sophisticated high capacity equipment is not necessary due to high initial R&D cost, but their O&M activities are to be supported, as a further step to fabricate in first partnering then increasing the local scope in future.

Boiler tubes/ alloy equipment are high-quality materials / we have deficiency/ difficulty in the production of high quality steel pipes locally. Investment costs for these materials are very high because the material is difficult to fabricate in production facilities. We can purchase these special materials from abroad to discard long-term problems. Indigenous R&D for production of high-quality equipment/ material will help our manufacturers in future.

Our fabrication experience in manufacturing of steel construction for heavy industry is quite good although they are not so serious in areas requiring high technology. Manufacturing / steel construction stands out the most powerful capability of the domestic industry, provided that if detailed technical drawings are furnished from abroad, many local companies can provide local fabrication in Turkey at a very reasonable prices and create local employment.

Some local companies even came to the point to produce the necessary technical details in the event of a turbine fabrication. Manufacturing is important, who / whom wants to make. If you have your own design firm, and your own fabrication plant, then the local EPC contractor, has better capability to manufacture locally.

Otherwise, many products that can be produced easily by local firms are purchased from abroad. That procedure will damage our local industry. Although there are very strong relationship between design and manufacturing company, the leader EPC contractor plays the decisive role, to who will design and manufacture of basic equipment.

Coal group of the workshop, advises to encourage domestic production of the two units of 22 MWe Tunçbilek thermal power plant, plus Afsin-Elbistan A power plant units. A unit should be selected for renovation entirely by domestic firm(s). Such an initiative for the domestic industry in design, manufacturing, and site installation will bring in serious gain/ experience and confidence.

The formation of a plant, capable of mounting in place, putting the whole system together to form a variety of equipment, there are experienced companies. But the main / as long as companies did not take a leading role as the EPC contractor, do not receive a decisive role in the process.

Electrical generation power plants have production losses due to break-downs/ operational failures. Power plants are to be operated with the optimum efficiency, with high availability with minimum emissions, minimum erosions and with maximum efforts which is only possible with implementation of serious operator training programs.

Choosing sustainable and continuous education of operators of the power plants is a must with serious training programs, periodic maintenance and repair works.

CONCLUSION

The most of our Coal reserves are of the low-quality (high moisture and high ash content and with low calorific value) lignite coal. Energy production of existing thermal power plants is based on using lignite coal, with pulverized coal technology.

Circulating fluidized bed (CFB) technology, which can burn Turkish lignite, has not been tested yet with the full meaning at high capacity commercial utility size. CFB boiler designs which are based on technology from foreign firms, with experience elsewhere at high-capacity steam boilers can also burn the Turkish lignite with high risk. So foreign companies do not wish to take the main role as the EPC contractor. Domestic boiler design / manufacturing could be sufficient to stimulate domestic market; however they have not received enough support by the public.

There is no local EPC contractor to be able to design and manufacture of boiler that can burn local lignite coals. This reality prevents better energy production and use of indigenous technology development. Private companies need credit financing / pre-financial agreements that need to pay the design / manufacturing. Difficulty in local contributions is very high negative impact on our industry.

Boiler design for the domestic energy equipment fabrication industry is seen as the most important starting point. TUBITAK Marmara Research Center together with the private sector, with continued work for the design of CFB boiler are deemed necessary. These studies are to receive more public support for speeding up to commercial size. It should be a priority to create public/ private partnerships together with universities and research centers which are specialized in basic/detail design in consortium of public support as soon as possible.

Local industry has a very serious experience in manufacturing. Many special technological products / equipment can be manufactured locally. Since the project finance/ suppliers’ credit are within the framework of agreements made abroad, simple fabrications are lost to foreign markets. We must encourage the creation of strong EPC contractors with strong local project financing capability.

For the production of high quality material, universities, research institutes and domestic manufacturers should be encouraged to work together to start research and development projects.

Thermal power plant operators with business experience and regular/ continuous on-site training are necessary to improve smooth non-stop plant operations.

For public announcement of the results of the workshop, Middle East Technical University Alumni Association is planning to organize a panel for the general public tentatively on 30^th April 2011 Saturday at 13:00 hours in Alumni premises in Ankara. Attendance is open to everyone interested.

With deepest regards

Haluk Direskeneli, Ankara based Energy Analyst

Tidewater Regional Science Fair

2011-03-25T01:33:00.000-07:00

ODU Web Center Norfolk, Virginia, Tidewater Regional Science Fair, on March 12, 2011

My niece, Alper is the first place winner of 60th Tidewater Regional Science Fair in Earth and Planetary Sciences Junior division, Norfolk Virginia, with his project Solar Roller.

We are so proud of him!

Projects at the 60th annual Tidewater Science Fair at Old Dominion University on Saturday studied topics ranging from feline asthma to oil spills. The competition was open to students from any of the school districts in the Tidewater region.

“It’s amazing what some of these kids can do and the effort they put into it,” said Chuck Good, science fair judge and facility systems safety engineer with NASA Langley. “These are the kids that will graduate in the top of their class. These are the shining stars, so to speak.”

Students and parents spent the better part of the day at Old Dominion University’s Webb Center viewing other students’ projects, explaining their projects to passersby and waiting for the awards assembly that began at 2 p.m.

Students were inspired by their interests and the issues they encounter in their daily lives.

Does this Steel carry the Load??

2011-01-20T23:36:00.001-08:00

Dear Colleagues, Dear Energy Professional;

After graduating from Middle East Technical University Mechanical Engineering Department in 1973, I started to work in Alpullu Sugar Factory in

Thrace

. During the summer period, the revision continued non stop. Motors / pumps/ turbines were removed, cleaned and replaced. Bearings were checked, rusted / worn equipment were renewed, and electronic control equipment were checked, cleaned, repaired, and renovated.

At that time, in the sugar beet supply channel of the sugar plant, sugar beet capacity was unable to possess the capacity to feed, so we were to construct higher / bigger/ wider sugar beet feeding chutes in steel construction to wash beets and to feed the plant during operation. Construction responsibility was given to senior superintendent of raw plant, 60 plus years old Mehmet Usta from nearby Pancarköy village of Alpullu county. He was making his own simple static calculations based on his past in-house company education and vast past experience, choosing the necessary steel profiles to his wish from the stock site, making the welding and building the structural steel channel, working feverishly.

”Strength of Materials” course was very new in my mind, since I've repeated the course and got the best grade in the senior year. So I myself separately calculated the necessary profiles to carry that buckling load. Mehmet Usta had put quite strong steel/ heavy construction. One morning, I showed my calculations and advised that he could have used smaller size range of profiles, in order to pass the same distance, and it would be cheaper.

My master listened to me, looked at the calculations, and said without critising, "Engineer, your calculations are pretty good, but it is solid steel construction, and it should first convince my eyes, convince my mind that I need to. That should first give me confidence in,".

I did not understand, and I asked further clarification, "Engineer, you see a weight, then you see a load, then you see an opening, you note at your steel designer what profile he used, you write into your head. In some other place, you see similar weight, volume, similar to the load, similar to the one you noted earlier, to a similar opening, but they do not fit into with the previous profile. That new profile should give you confidence based on your past experience. That is called engineering feeling against to any calculation errors.”

I checked my calculations once again. I noticed that I forgot to add fatigue factors. When those factors were added, then my profiles were close to the Selected the profiles of Mehmet Usta. If you have sufficient data, you sit down and calculate, and double check the outcome based on your past experience, and you should trust your engineering feelings.

All these past years, I saw enormous amount load/ weight/ volume in thermal power plants. I saw very large openings and large volumes suspended. These days when I look at the steel structures of new cheap thermal power plants designed by the Far East companies, sayings of MehmetUsta come to my mind. While this is the cold steel, the existing structure may carry the load, but how about in hot operation, which means when the coal inside the thermal power plant is burning in high temperature combustion, can the same steel profiles carry the hot load?? How does the steel behave? For a long operation period, how is the wear/tear ? Do they carry properly, what is up??

I ask owners’ project control managers at site, “That steel construction seems weak, did you check? Did you make calculations once again by yourself?” They respond, "The main contractor has guaranteed the steel structure and the overall operation performance, I do not need to check."

Why do you trust the contractor? Why don’t you make your own calculation?? That dependence / submission is not correct. In the end, we all have the same “Strength of Materials” course for engineering graduation.

This new steel structures do not come to me at all reliable. I do not have any information in my hand. But owners’ a site engineers have all information and they should have double check. That is deemed necessary for long and uninterrupted operation of the power plant. The Far East contractor company has only one purpose in mind. They try to be the cheapest, it is not important to operate long periods, spares/ redundancy are not important. The key issue is the cheapest price in the market. Investors also want the cheap property, so how does the financier give credit to that investment? Based on what risk factors?? How is that plant calculated? That is a mystery.

We received an order from Bechtel company in 1998. We were to supply 4 each high steam output capacity USA licensed package steam boilers. We had similar local references in the past, but this was the first in overseas. Contract was signed in London, England. Our price was the cheapest compared to USA and European competitors. We had a new condition in our contract. Bechtel asked to send a senior experienced engineer to our head office in order to check all our design calculations, and inspect our plant fabrication, review our project schedule and in the end do the plant acceptance tests all at their own cost. He should have an office fully equipped with PC / fax /phone. It was not usual practice but we accepted in order to receive that order. We were not expecting them to do it.

However to our surprise, upon contract signing, Bechtel sent a senior experienced British mechanical engineer, who is working and serving the industry as freelance, and he spent one full year with us in our head office on Bechtel's own expense. He made every design check, got clarifications, compliance with ASME norms, and reviewed our plant fabrication and witnessed our plant acceptance tests.

We are talking about a project at about 10 million US Dollars, not billions of US Dollars as in huge thermal power plants. In a power plant you should make all necessary controls, and make all necessary design checked by your own staff. You should not be at the mercy of the vendor.

I always remember the wording of MehmetUsta from Alpullucounty of PancarKoy village. That steel structure should convince my eyes, my mind first. When I see the new imported coal firing thermal power plants, I check them by myself if they give me confidence based on my past experience. Will they work? Can they operate long periods without wear and tear? Will they stand 30+ years?? I do not know, I need to make serious calculations.

For a temporary acceptance period of 2-3 years, they may works, but after that I suspect. These steel structures do not give me confidence with their appearance. When I look at those new cheap projects, it feels like toys.

The investor makes decision in selection, pays the cheapest, but is this worth that?? The Creditor/ the Financier, how they place the project finance, on what parameters?? Is this risk acceptable?? Or let me ask like this, Can the project finance carry the high burden of this high risk?

In last Cancun Climate Change conference in December 2010 following the Copenhagen meeting, there is no concrete consensus on limitation of CO2 emissions of fossil firing thermal power plants to reduce use of coal.

But we have latest developments early 2011. There is flood in Australian coal mines, railway accidents to halt South African coal transportation from mines to seaside export sea ports, there are interruptions in

Russia

and

Colombia

due to latest weather conditions. IN the end there is shortage in coal supply in the imported coal spot markets.

Coal prices started to increase from 80 US Dollars per ton to 130+ US Dollars per ton for 6000 kcal/kg LHV high quality imported coal. Weather conditions can change; railways can be reconstructed but the flood in Australian coal mines and railway lines will not be cleared in the short run.

With these increased prices of imported coal, how will those new imported coal firing thermal power plants operate? May God help them all, and give them wisdom when making investments, and more wisdom to Financiers who cover project finance to those shaky projects.

Your comments are always welcome. With deepest regards

Haluk Direskeneli, Ankara based Energy Analyst

Cancun COP16, Mexico 2010 Panel

2011-01-12T21:37:00.001-08:00

Dear Colleagues, Dear Energy Professional

METU Visnelik Ankara Alumni Association Energy Working Group announces the upcoming Panel on

"Cancun UN Climate Change Conference and final evaluations afterwards"

on 26th February 2011 Saturday between 13:30-15:00 hours in Ankara Alumni premises main Conference room.

Speakers are key professionals from Public and Private enterprises who have participated to the Cancun Conference in Mexico as participants.

Panel is open for all interested parties and it is free-of charge. Panel speeches will be given in Turkish language however presentations could be in English.

Open Letter to Steve Jobs

2011-01-10T20:20:00.000-08:00

Dear Steve,

Today in one of our local newspapers, I read about your one-to-one communication late in the night on “freedom from porn”. On the other end of the Atlantic ocean, there is also life ongoing, and please be sure that we have similar concerns, and similar problems. I am working as a senior freelance software consultant/ energy analyst on thermal power plants.

My sons are EEE, IT graduates from local University, METU. When they purchase the latest gadget and then they give me the older one to me. So a first I had your old iPodTouch, the cheapest, the oldest, the earliest version. At first I objected to use, since my desktop was seemed to be more than sufficient for me with big screen, and I love to write long letters on the big keyboard to those who send e-mails direct to my attention. Anyhow this small old version toy gave me my freedom. I have access to my email inbox 24 hours a day and I can respond to my colleagues, as well as to my clients. I can have cheap overseas calls via SkyPe. Now we have new iPAD.

I noticed that if you have an iPhone/iPAD application, then you are in the business, if not, you cannot reach to the population between 15-40 years old. That means if you are in software business you need to have iPhone/iPad/iPodTouch application.

An application is a threshold to move to an upper level of information/ software technology.
That is good but now we have a question, How a small company or an self employed individual (that is me) can create application to his/her blog page??

I write co-ed articles in our local reputable think tank institute, USAK, Journal of Turkish Weekly on local energy issues. I noticed that many think-tanks in the USA have iPhone/iPAD applications, such as Heritage Foundation, Cato Institute, Brookings Instutude. Our local institude will also have a similar iPhone/iPad application in near future in order to receive more hits from young educated local population.

One other concern of mine is as follows. Commercial companies do not stay in the market forever. Today they are IN, tomorrow they are OUT. If they wish to continue to make business in our environment, they should comply with globally accepted/ and locally enforced rules regulations and laws. They should have respect to our prevailing written/ unwritten values. I believe that Apple has that business ethics.

On the other hand, for example YouTube is an ignorant company. YouTube obeys to rules and laws in the USA and EU but does not care the rules and laws of our country. There are many ways/ proxy pages to have access, if you insist to have access. Move on, no problem. You learn details of PC/ Internet/DSL changes.

We should keep in mind that companies are not equals of national states. Sovereign states cannot tolerate unlawful initiatives, and states can take all necessary measures, as in the case of USA vs. Wikileaks, Germany on Pro-Nazi releases. It is your writers sincere feeling that sovereign countries have the right to stop the unlawful/ unnecessary activities.

If a business enterprise (a thermal power plant, a solar plant, a wind energy company) has certain displease to any article in the web, any threat to their business interest, then the web owner has to retrieve the article upon request. If I write an article and a business enterprise feels uneasy and declares so, I feel that it is my responsibility to delete that article immediately. There is no shame/ no disgrace.

YouTube in Turkey is similar to WikiLeaks in the USA on security concerns. This is a matter of cost and benefit calculation within company management. So company does not want to spend some extra money to stop unfair/ unnecessary/ mostly childish insults/ threats where they take these insults/threats seriously in the USA and European Union.

It is nothing to do or in conflict with "freedom of expression". It is simply restriction profanity and extreme bad manners in social network of the cyber space. We do not care whether the world is laughing at Turkey because of these legal proceedings. The world is also laughing at the USA and European Union for various reasons. Anyhow who remembers the mighty companies of the past, IBM, Xerox, DeutscheBabcock, VKW etc?

Thank you for your time, Your comments are always welcome. Best regards, and all the best

--
Haluk Direskeneli, Ankara based Energy Analyst,

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Dear Energy Professional, Dear Colleagues,

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Afşin Elbistan, the Crazy Project

Adana Tufanbeyli 450 MWe CFB

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Cancun COP16, Mexico 2010 Panel

Open Letter to Steve Jobs

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GÖKHAN KURTARAN, ISTANBUL - Hürriyet Daily NewsWednesday, July 20, 2011