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COUNTRY REPORTTURKEY


strategic game plan, said Ercengiz. These include Istanbul’s new airport, the


first phase of which opened in October 2018; the 1915 Canakkale bridge and highway project; the three-storey Grand Istanbul tunnel; and the Northern Marmara highway. Also on the list is Kanal Istanbul: a USD16 billion plan that involves building a 45 km shipping canal parallel to the Bosphorus Strait.


Energy projects In terms of energy projects, the Trans-Anatolian natural gas pipeline (TANAP) project and the Star refinery have been the standout developments. Aydin said that Bati has been active in all of these, as well as Istanbul airport, the Canakkale bridge project and the Gebze-Izmir motorway. “We are happy to say that 2017 and 2018


have been very successful for us. Bati Group was nominated by Sapura Kencana and Kalyon as the main agent for the TANAP pipelaying Vessel SK 1200, which stayed in Turkey for four months,” said Aydin “We are moving a lot of machinery from


Europe and the UK for the Canakkale bridge project, with the help of Bati Germany, as well as our UK agent. Bati Group is also representing RollDock as commercial agent and we expect to launch a 900-tonne mega yacht from Antalya in the coming months,” he added. Bahadir Erdil, global projects director at


Logistics Plus, is also optimistic about the upcoming projects in Turkey. He stated that over the last decade there has significant developments each year. “There are a wide range of energy


investments ongoing in the country and Turkey is gradually expanding its power generation capacity. “In the Aegean region, there is a huge


potential for geothermal projects. Reports suggest that Turkey’s geothermal potential is theoretically around 32 GW, and at the moment there is only 6.5 GW of installed geothermal energy,” he pointed out. Erdil noted that the country does not


solely rely on power plant investments as a source of project cargo opportunities. “Turkish shipyards are also an important


part of the country’s project cargo sector. They produce a variety of vessels including tugs, fishing boats and pilot boats and are also getting involved in offshore projects, for example the country’s first own ultra- deepwater drillship.” The challenges in Turkey, according to


Erdil, are not that different than what is being experienced in the USA, Europe or in


48 January/February 2019


Some project forwarders have been busy with the deliveries of escalators, bridges and other out-of-gauge cargo to the new airport site. – Emre Eldener, Kita Logistics


Medden has been active delivering cargoes to the Marmara region for a gold mine development.


the Middle East. “Unfortunately, the only barrier is in the minds of the foreign investors - they see Turkey as an unstable economy. But, compared with neighbouring economies in the region, Turkey is one of the only areas that has not stopped investing. “Turkey is surrounded by wars, political


crisis, immigration problems, economic sanctions but still installing more geothermal capacity than some European countries and signing deals for three nuclear power plant projects. I believe that these are examples that not only show how eager Turkey is to invest in energy but demonstrates the country’s desire to become a power hub in the region.” Erdil expects nuclear power projects to


provide project logistics contracts worth hundreds of millions of dollars. “With nuclear power plant construction


kicking off, there are a lot of promising developments, in my opinion,” according to Erdil. Rosatom’s Akkuyu nuclear power plant,


located in Büyükeceli, Mersin, will be the country’s first nuclear power facility. A second project, which will be located in the Black Sea province of Sinop, has run into trouble, however.


Soaring costs Media reports suggested in December 2018 that the Japanese-led private-public consortium behind the Sinop development might abandon the project due to soaring costs. Construction costs have ballooned to around JPY5 trillion (USD44 billion), nearly double the original estimate. Meanwhile, a third nuclear power plant project is also being discussed. Altug Sozalan, ceo of CJ ICM Logistics,


commented: “We do not expect any significant progress in the second and third nuclear power plant projects. However, Akkuyu is progressing on schedule. We believe Turkish companies will increase their involvement in this project.” Sozalan added: “With an emphasis on


coal-fired power plants, we expect final investment decisions will be concluded during the next two years for projects with investment incentive programmes and licenses already in place.” Emre Eldener, managing director of Kita


Logistics, highlighted the new Istanbul airport as Turkey’s biggest investment in 2018. “Some project forwarders have been busy


with the deliveries of escalators, bridges and other out-of-gauge (OOG) cargo to the new airport site. Aside from that, the Star refinery has been completed and started production.


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