Coal expansion in Turkey hits headwinds, 70GW canceled or delayed since 2009 FacebookTwitterLinkedInEmailPrint分享Platts:Turkey’s plans to expand its thermal coal-fired power plant fleet have largely fallen by the wayside as the country grapples with a combination of economic and social headwinds, clouding what otherwise would have been one of the Atlantic market’s few bright spots for demand.An estimated 70 GW of planned capacity has either been cancelled or indefinitely postponed since 2009, leaving the country with 85 operating coal-fired power plants and a total operating capacity of 19 GW, according to a review of the Turkish government data and web sources. An additional 33 GW is under various stages of planning, with only 2 GW under construction.“There are quite a number of projects that will never see daylight,” a Turkish utility source said. “The ones that will burn imported hard coals are definitely dead due to diminishing availability of soft loans and Turkey’s strong policy for decreasing the current account deficit.”President Recep Erdogan’s strategy to shift utility purchases away from imported thermal coal toward domestic lignite, due to the impact energy imports are having on Turkey’s balance of trade, had been expected to fuel domestic plant construction near lignite mines, the utility source said. But the policy appears to have ground to a halt, as proposed lignite projects have been halted by strong environmentalist opposition.“With Turkey’s economy likely to contract in CY 19 and grow only slightly in CY 20, electricity demand and coal imports should continue to be limited,” Platts Analytics said.Joe Aldina at Platts Analytics said: “Some slowing in Turkey’s imports was more or less the consensus view for 2019. But there was a longer-term expectation that Turkey would be one of the few bright spots for coal demand growth in the Atlantic Basin and a number of coal sellers, particularly from the US, were looking to Turkey as an outlet for production as European imports slow (and domestic US coal demand falls). New tariffs on US coal implemented this year dash the short-term hopes of sending more US coal to Turkey, but there was still the hope that Turkey could be a longer-term partner for US suppliers.”More: Turkish coal-fired plant expansion stalls, with 70 GW shelved since 2009
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