Energy sector to attract US investors in 2008
Posted by meb at January 10th, 2008
U.S. investors are waiting for privatizations in the Turkish energy sector while investors also wish to see a stable, transparent and quick tender process in privatizations of the Turkish energy sector.
Representatives of some of the U.S.’s biggest energy corporations met Turkish authorities led by President Abdullah Gul in Washington, D.C.
According to analysts US investors eager to get a share from the energy sector, are expected to have intensive investments in 2008, while Turkish authorities are expected to invite bids for the construction of the country’s first nuclear power plant in February.
Turkish delegation in Washington informed U.S. companies on incentives provided by the Turkish government to energy investors. According to estimates Turkey possesses an energy investment sector of 35 billion USD.
Gradual liberalization of energy sector, formation of standards, need for annual 4,000 megawatt additional production in electricity production, need for 130 bln USD energy investment till 2020, public announcement that production and distribution companies would be privatized, and support to energy investments led to a rise in interest to the sector.
The government has said it plans to build three nuclear plants with a total capacity of about 5,000 megawatts to become operational in 2012 in a bid to prevent a possible energy shortage and reduce dependence on foreign energy supplies.
Turkey is expected to become energy giant in next five-years. According to the five-year action plan covering 2008-2012 released by Turkish State Planning Organization (DPT) late November, supply security in electricity will be increased; maximum benefit will be obtained from renewable energy resources; dependence on import in energy production will be reduced; electricity commerce with regional countries will be developed, and energy productivity will be increased.
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