Turkey’s Ministry of Energy and Natural Resources has announced a tender for 1GW of onshore wind power projects, which will be built at four locations in the country.
The projects will be located in Balikesir, Canakkale, Aydin, and Mugla provinces on the western coast of Turkey. Each location is slated to have a capacity of 250MW of wind power.
The tender ceiling price has been set at $0.055/kWh and the deadline for submitting bids is 7 March 2019, according to a notice in the Turkish Official Gazette.
The Ministry stated that it will buy power from the wind projects for a period of 15 years.
The latest tender is the second 1GW wind auction, the first being issued by the government in August 2017. The tender auction was won by a consortium that included Siemens Gamesa, Kalyon Enerji, and Turkerler Holding. A tariff of $0.348/KWh was quoted in the first auction.
Under the terms of the agreement, Siemens Gamesa will be responsible for the supply, installation and commissioning of the turbines in several wind farms, as well as a 15-year service agreement.
The agreement also includes the offtake of the power produced under a 15-year power purchase agreement (PPA) and a commitment on the part of the consortium to build at least 700MW by 2022.
Furthermore, the deal includes the construction of a nacelle factory in order to meet the local supply requirements established by the Turkish authorities, as well as an R&D centre.
Since entering the market for the first time in 2010, Siemens Gamesa has installed more than 700MW of its turbines in Turkey.
A 23 October deadline for bidders to submit bids for the 1.2GW offshore wind capacity passed without any official announcement of results from the ministry.
Market players are of the opinion that the tender was quietly cancelled amid lack of investor interest and it is also being speculated that a fresh tender will be issued by the government in the near term, Wind Power Monthly reported.