Siemens Gamesa signs 1GW Turkish agreement

TURKEY: Siemens Gamesa Renewable Energy has, unsurprisingly, confirmed it will supply turbines to the 1GW of projects it won as part of a consortium in last year's auction.

Siemens Gamesa had 741MW of installed wind capacity in Turkey as of mid-2017
Siemens Gamesa had 741MW of installed wind capacity in Turkey as of mid-2017

The consortium, which also includes Turkish infrastructure company Kalyon Enerji and investor Turkerler Holding, beat seven other bidders to win the 1GW capacity in the winner-takes-all auction in August.

At least 700MW of the turbines will be installed by 2022, under the terms of today's agreement. Details and deadlines for the remaining 300MW have yet to be announced.

Siemens Gamesa will supply, install and commission the turbines across "several" projects, and service them for 15 years.

The agreement also includes the construction of a nacelle factory to meet the local supply requirements set by the Turkish authorities. A research and development (R&D) centre will also be built.

The consortium beat Vestas, GE, Enercon, Nordex, Senvion, Goldwind and Ming Yang in the Yeka tender in August with a bid of $0.0348/kWh.

The tender specified that the winner would have to set up manufacturing and R&D facilities in Turkey by May 2019. The vast majority of jobs must also be local and turbines must satisfy a 65% local content requirement.

According to the Turkish Wind Energy Association (TUREB), as of July 2017, Siemens Gamesa had 741MW installed in the country — behind Nordex, Vestas, Enercon and GE. Turkey had just under 7GW at the end of 2017.  

Earlier this month, Turkey was named among analysts BMI Research's top ten growth markets between 2017 and 2027.

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