Table of Contents Table of Content 2 List of Tables.4 List of Figures 4 List of Abbreviations 5 1 Executive Summary..6 2 Turkey Wind Power Market 8 2.1Turkey s Strategic Location............8 2.2 Terrain and Operation Conditions......8 3 Turkish Market Development....12 3.1 Turkish Energy Market......12 3.2 Installed Wind Power Capacity of Turkey.....13 3.3 Main Market Players...........15 4 Market Architecture and Turkish Energy Legislation......23 4.1 Brief History of Licensing in Turkish Wind Energy Sector....23 4.2 Energy Market Legislation....23 4.3 Renewable Energy Law....24 4.4 Local Content and Power Purchase Rates.....25 4.5 Former Tender Results of WPP Projects......27 4.6 WTG Purchase Procedure......27 4.7 Wind Power Project Development Steps......27 4.8 WTG Types Applicable to Market......32 4.9 EPC Budgetary Prices......32 5 Standarts and Norms for WTG.........31 6 References......31 2
List of Tables Table 1: Current Installed Capacity...11 Table 2: Provincialpre-license application figures...14 Table 3: Wind turbine tower manifacturers in Turkey... 19 Table 4: Blade manufacturer.....19 Table 5: Civil contractors in Turkey.....20 Table 6: Lifting contractors in Turkey.....20 Table 7: Transportation contractors.....21 Table 8: Brief license applicationhistory of Turkey............23 Table 9: Power Purchase Rates for 10 Years of Operation... 25 Table 10: Wind Energy Generation Facility..... 26 Table 10: Budgetary WPP cost scheme in terms of percentage.........33 Table 11: Standards...........34 3
List of Figures Figure 1: Turkey Wind Atlas..9 Figure 2:Turkey Wind Power Intensity Map for 100 m. 9 Figure 3: Annual mean rainfall map for Turkey...10 Figure 4:Long term average thunderstorm likelihood values of Turkey..10 Figure 5: Cumulative Installations for WPP in Turkey as per TWEA 2016 report.........12 Figure 6: Regional Distribution of Operational WPPs.....13 Figure 7: Investors according to Installed Capacity for Operational WPP......16 Figure 8: Investors according to Installed Capacity for Under Construction.......17 Figure 9:Regions According to WPPs Under Construction.....17 Figure 10: WTG Market in Turkey.....18 Figure 11: Turbine Manufacturers According to WPPs UnderConstruction....18 Figure 12:Wind power project development process......29 Figure 13:Time basis wind power project development process......30 4
List of Abbreviations A.S. B.O.O. B.O.T. EMRA ENERMET EPC EU MENR PPR TEIAS TEDAS TMS TWEA WPP WTG YEGM : Anonim Sirket (Joint Stock Company) : Build-Own-Operate : Build-Operate Transfer : Energy Market Regulatory Authority : Enermet Enerji Meteoroloji Muhendislik ve Musavirlik A.S. : Engineering Procurement Construction : European Union : Ministry of Energy and Natural Resources : Power Purchase Rate : Turkish Electricity Transmission Corporation (Turkiye Elektrik Iletim A.S.) : Turkish Electricity Distribution Company (Turkiye Elektrik Dagitim A.S.) : Turkish Meteorological Service : Turkish Wind Energy Association : Wind Power Plant : Wind Turbine Generator : General Directorate of Renewable Energy 5
1. EXECUTIVE SUMMARY As of February 2016, Turkey current total installed capacity is approx. 73 GWof which wind has a share of 6.2%. This corresponds to aninstalled wind capacity of 4.718 MW at the end of February 2016. It is a mature market and many experienced contactors can be found within Turkey for transport, installation, civil scope, etc. The EPC concept is not widely applied for wind farms; the usual concept is a lot by lot purchase with the wind turbine being ordered including its installation and commissioning. The local production of wind turbine components is promoted through the provision of a surplus additional feed-in rate for the wind farm operator. Turbine manufacturers without local manufacturing must overcome this disadvantage with price discounts on the turbine price. Turkey s ambitious vision for 2023, the centennial foundation of the Republic, envisages ambitious targets for the energy sector in Turkey. These targets include: Lifting up installed power to 120.000 MW Increasing the share of renewable up to 30 percent Increasing wind power installed capacity from current 4.718 MW to 20.000 MW The above goal can only be reached, if on average about 2 GW of additional wind capacity is installed per year until 2023. This is more than twice the current annual increment.it relates to a total investment volume of approximately USD 20 billion until 2023. Turkey is following the international set of norms and standards. Thus compliance to the relevant IEC 61400 norms is mandatory and sufficient for wind turbines to be sold and installed in Turkey. 6