Geothermal projects in Turkey paralyzed over COVID-19 shutdown

Geothermal projects in Turkey paralyzed over COVID-19 shutdown

Photo: Lance Cheung, USDA


April 13, 2020






April 13, 2020





Supply chain interruptions due to the coronavirus pandemic brought seven projects of 100 MW in total to a halt. Ufuk Şentürk, who is at the helm of the group of investors in geothermal energy in Turkey, said the measures imposed to contain the spread of COVID-19 should lead to the declaration of a force majeure.

The Geothermal Power Plant Investors Association (JESDER) expects Turkey to declare a force majeure due to the coronavirus’s impact on the industry, its President Ufuk Şentürk said. The measures imposed in China and Europe to contain the spread have negatively affected the supply chain, he told Anadolu Agency. The COVID-19 shutdown put on hold all seven geothermal projects in Turkey for the production of electricity, according to the association’s chief.

Even if one device is missing from the process, the power plant is paralyzed, Şentürk stressed. He noted China took the first hit and that Europe followed as the most affected region.

Oil prices plunged on a global scale and the closure of factories, schools and a variety of services may also push gas demand and market value lower, Şentürk asserted. He said such discounts would shift the economy back toward fossil fuels instead of renewables.

The geothermal industry sources equipment mostly from China and the European countries, JESDER’s boss added and stated the firms in the sector are faced with delays. Everything planned for this year has come to a halt and the uncertainty persists, in his view.

Şentürk revealed the holdup is both in machines and materials. The power plants were supposed to become eligible to financing within the Renewable Energy Support Scheme (YEKDEM) and the deadlines are expected to expire, finances will dry up, he said. The head of the association pointed out the costs per megawatt of capacity are as high as USD 4 million.

The seven geothermal power plants in question are planned to have 100 MW in capacity altogether, he underscored and said the administrative burden comes on top of the frozen investments. The YEKDEM procedure needs to be extended for at least one year, Şentürk suggested and added the government in Ankara should acknowledge a force majeure.

As for the existing geothermal facilities, he said none have ceased operating so far. The members of JESDER have reduced the number of workers per shift and introduced a rule on the safe distance between them, their representative stated. The number of active staff has been halved but the strategy is not to lay off anyone, Şentürk claimed.

Comments (0)

Be the first one to comment on this article.

Enter Your Comment
Please wait... Please fill in the required fields. There seems to be an error, please refresh the page and try again. Your comment has been sent.

Related Articles

Banks Serbia receiving lot requests grid connection guarantees Belgrade Energy Forum

Banks in Serbia receiving lot of requests for grid connection guarantees

17 May 2024 - Banks in Serbia are receiving numerous requests for guarantees for renewables requiring grid connection and most investors have firm collateral instruments, according to speakers at Belgrade Energy Forum

statkraft neoen croatia Arnaud Bellange Christophe Desplats-Redier

Statkraft acquires Neoen’s project portfolio in Croatia

17 May 2024 - According to Arnaud Bellanger, Country Manager for Croatia and France at Statkraft, the takeover deal covers about ten projects

Turkey adds 1 3 GW solar power capacity April alone

Turkey adds 1.3 GW in solar power capacity in April alone

17 May 2024 - Photovoltaic capacity in Turkey reached 13.9 GW by the end of last month or a stunning 1.3 GW more than on March 31

krivaca windfarm danube serbia alfi mk group

Krivača, first wind farm in Serbia south of Danube, officially starts production

16 May 2024 - MK Group and Alfi Renewables inaugurated their Krivača wind farm in Golubac in eastern Serbia