Investors ask for further incentives for geothermal development in Turkey

Dora 2 geothermal power plant, Turkey (source: Ormat)
Alexander Richter 17 Jan 2017

The Association of Geothermal Power Plant Investors/ Operators in Turkey (JESDER) is asking for additional incentives for geothermal development of lower heat geothermal resources in Turkey,

In a recent statement, the Chairman of JESDER, the Association of Geothermal Power Plant Investors, Ufuk ?entürk said: “In order to increase the capacity in geothermal, additional incentive application is required for 105, 120, 130 and 140 degrees Celsius as well as $0.105/ kWhs purchase guarantee for different water temperatures from 90 degrees to 140 degrees Celsius”.

Ufuk ?entürk, stated that the geothermal power generation potential in Turkey is 5,000 MW and that different incentive amounts should be applied according to the water temperature levels in the power plants in order to reach this capacity.

?entürk explained that they made a study on the capacity increase in geothermal energy in the statement they made and they submitted this work to the Ministry of Energy and Natural Resources.

Stating that the current installed power of Turkey is at the level of 800 megawatts of geothermal energy, Senturk expressed that the capacity of 350 megawatt capacity will be reached in the near future.

?entürk emphasized that geothermal energy is a very important resource in terms of sustainability and energy supply security and emphasized, that “in order to increase the capacity in geothermal, besides the purchase guarantee of 10.5 dollars / cents at different water temperatures from 90 degrees to 140 degrees Celsius, also for 105, 120,130 and 140 degrees Celsius. Additional incentive application is required. Buying support for the same amount of heat for every given temperature does not offer investor support for banks. “

As the water temperature increases, the necessary equipments for the electricity generation and the technical characteristics of the turbines have changed, ?entürk said. “This means additional cost for the investor. By adding an additional fee for every temperature value, we calculated that electricity generation would be more economical for investors in high and low temperatures. $0.105/ kWh for 105 degrees, $0.029/ kWh for 120 degrees, $0.013/ kWh for 130 degrees and $0.003/ kWh for 140 degrees Celsius. At the same time, this situation may be more predictable and financing in terms of banks. If the calculated values are supplied to the geothermal investor, the target of one thousand megawatts in 2023 can be folded five times. “

?entürk said that they learned that the extra support worker they offered to the Ministry was evaluated in terms of the burden they would bring to the budget.

1.6 percent of the electricity produced in Turkey last year was met by geothermal energy.

Source: via JeotermalHaberler