COMPANY PROFILE
2014
Polat Enerji
Turkish renewables providing new opportunities Editorial: Joe Forshaw
Polat Enerji was established in 2000 to engage in electricity generation, distribution and trading activities. A decision was taken to invest in energy sector due to the Turkey’s growth targets and plans of becoming one of the world’s major economic power. The company operates some of the country’s largest renewable energy projects and is hoping to encourage further investment in this lucrative sector. CEO, Zeki Eriş tells us more… Q: Explain more about the company’s history? Polat Enerji was established in 2000 and has grown to become a major player in the renewable energy market. Polat Enerji’s key targets are to invest in renewable energy resources, reduce carbon emissions, and create a balanced energy mix for sustainable development. The capacity of the eight licensed
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projects is up to 600 MW. The total investment cost of these projects is over $1 billion. When all the wind power plants (WPPs) are taken under operation, approximately 2 billion kWh of electricity will be produced per year, yielding a 1.2 million ton CO2 emission reduction annually. EDF-EN has been a shareholder of Polat Enerji since 2008. PSP Investments has been also a shareholder of Polat Enerji in early
2014. For years, as an active player in the energy sector, Polat Enerji is working for sectorial reforms and developments.
Q: Tell us more about progress at the Geycek wind farm? Following commissioning in May 2014, is the operation running smoothly? Polat Enerji’s latest operational wind
Polat Enerji farm, Geycek, started generating electricity in September 2013 and it was fully operational in April 2014 with the last commissioning. The project consists of 70 Enercon turbines with a total power generation capacity of 150 MW, which makes it the Turkey’s largest onshore wind farm. The project contributes to reduce directly the greenhouse gas emissions for an estimated 231,000 tCO2. Geycek generates 384 million kWh of electricity per year and meets the annual need of 191,500 people/ households, ensuring it plays an important role to create a renewable energy future.
Q: What is the relationship like between Polat Enerji and EDF Energies Nouvelles on the management of Geycek wind farm? Al-Yel Elektrik Üretim A.Ş. is the project owner company that belongs to Polat Enerji Sanayi ve Ticaret A.Ş. EDF EN is the shareholder of Polat Enerji.
Q: Do you think the nation’s target of 20,000MW installed wind capacity by 2023 is realistic and achievable? Turkey has set an ambitious target to become one of the 10 largest economies in the world by 2023, the centenary of the foundation of the Turkish Republic. According to the Electricity Energy Market and Supply Security Strategy Paper issued by the Ministry of Energy, in 2023 the share of renewable energy sources in electricity generation should be at least 30%. Regarding wind power, the target is to increase installed capacity 20,000 MW. Giving priority to domestic sources is an important part of reducing dependency on imported energy sources. The main objectives and principles are creating a competitive market, taking into consideration climate change and environmental impacts, increasing efficiency, reducing electricity energy costs by building a competitive environment based on resource priorities, increasing the share
of domestic contribution and ensuring diversity of resources, and maximizing the use of domestic and renewable resources in order to reduce external energy supply dependency. Turkey’s installed wind power capacity is about 3,500 MW as of August 2014. To reach the 20,000 MW target by 2023, 16,500 MW wind power capacity should be taken under operation in eight years. Therefore, the target does not seem to be realistic with these conditions.
Q: What is the company planning for the future? Will we see the development of more wind farms from Polat Enerji in the near future? Renewable energies are a crucial part of the policy mix we need. They make a significant contribution to the global fight against climate change, reducing harmful emissions in a way which is economically feasible and beneficial and create new jobs In light of these facts we plan to complete the ongoing projects
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Zeki Eris
on schedule by following a responsible path to sustainable development. Also we are starting to develop new wind farm and solar projects and evaluating opportunities for other renewable energy sources. By investing in renewable energy sources Turkey reduces its energy dependency by enhancing the security of energy supply and also secures a better world for our future generations by providing them with a fully-amortized, clean, and cheap generation. We will continue to work for our country and future.
Q: What are the main challenges involved in the 100MW capacity increase at the Soma Wind Farm?
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Construction of the 100 MW capacity increase project was started in April. Soma will be the biggest operational wind farm in Turkey with 240.1 MW installed capacity when the wind farm is taken under operation in mid-2015. The Soma capacity increase project will be easier than the existing project because road constructions, administrative building and all the rest of the necessary structures will already have been made.
Q: How would you position yourself in the market compared to your competition? Polat Enerji is market leader with recognised expertise in the Turkish wind energy sector. EDF-EN develops,
installs, and operates green electricity power plants, mainly in Europe and North America, and primarily for its own owner-operator account and for third parties. The company has 7,190 MW of gross installed capacity, 6,249 MW of installed power in wind energy, and 705 MW of installed power in solar energy. Also, gross capacity under construction is 2,320 MW. Annual revenues of the company are up to ₏1.5 billion. PSP Investments is one of Canada’s largest pension investment managers, with $93.7 billion of assets under management. These figures, experience and know-how show how strong these partnerships are. We believe that we are strong enough to remain as the market leader in Turkey.
Polat Enerji Q: What is the general attitude towards renewables like in Turkey? Are the public supportive of wind farms and other renewable projects? The public attitudes toward wind farms are positive in Turkey. The public support for wind power is very high and people are willing to pay more for wind energy. Also, wind farms may benefit the local rural economy especially when the economy was previously supported by one industry, such as agriculture. Wind energy is creating new jobs, providing employment opportunities for local people. The companies have funded many projects to advance societal quality of life where the wind farms operate.
Q: Would the company consider working on offshore wind farms?
Turkey has huge potential for renewable energies. In terms of wind potential, Turkey’s offshore wind potential is around 10 GW. But Turkey does not yet have any offshore wind projects. Maybe Polat Enerji will be the first.
Q: What is your personal history with the company and with the industry? I have more than 20 years’ experience in Turkish energy sector. Between 1991 and 1998 I worked in different positions for mining projects. At the end of 1998, I became a member of Polat Group as the Managing Director and Member of Board of Directors of Polat Enerji and started to develop Renewable Energy Projects and continue to do so. I am a member of Turkish Industrialists’ and Businessmen’s
Association and Vice Chairman in charge of Renewable Energy in TUSIAD’s Energy Working Group. I am also a Member of the Energy Council of The Union of Chambers and Commodity Exchanges of Turkey, Member of Executive Committee of Electricity Producers Association and founder of the Turkish Association of Investors of Wind Farms.
Q: Tell us more about the company’s workforce? Is it made up mainly of Turkish engineers or do you have to import international labour? Our company’s workforce is made up of 170 people that are carefully selected, ambitious, energetic and young people. The local employment opportunities that we create represent a key part of our economic contribution to the Turkey
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