Turkey has the biggest potential for geothermal in Europe after Iceland. Out of all other renewables, geothermal production is the most efficient. Once you have the source reservoir and the power plant, it works for 365 days of the year.
In the energy sector we are only interested in renewables because gas is expensive, even though it is an easy investment. More than 50% of production is from gas, but the margins are small. Although not the easiest investment, we invest in renewables because they are much more important and will benefit the whole country in the long term.
In Turkey we need partners who can help us with know-how and favorable financing terms. As a group we are financially strong and we don’t have a problem with financing in our projects.
AT THE FOREFRONT
The energy sector has been at the forefront in Turkey over the last couple of decades. The traditional business segments of Borusan Holding have been mainly steel, distributorship and logistics. Thus, it was the strategic decision of Borusan Holding to venture into the energy business.
We plan to have a portfolio mix of wind, hydro, solar, and gas energy with a focus on renewable resources. Wind energy will remain the major portion of our portfolio.
As our first operational power plant, Bandırma wind farm, with an installed capacity of 60 MW, is our flagship project at the moment. We put the project in operation in 2009 and made subsequent capacity increases in 2010 and 2011.
AIR CON ONE
Our main activity is commercial and industrial air conditioning, which we have been doing for about 47 years. We have started seeing a lot of market interest in installing more energy efficient systems.
In terms of solar conditions, Turkey is one of the world’s most suitable countries. As for the technology, the sector has developed rapidly in recent years in terms of efficiency. There is an abundance of manufacturers, and as a result there is a very positive pricing strategy.
IN THE FUTURE
The solar energy segment is definitely something that will grow in the long term. The world’s total solar energy installation is around 500 GW. In the last 20 years, Turkey has installed about 4 MW.
Solimpeks’ roots date back to the 1970s. We are third generation and it’s not an exaggeration to say that we were born into the solar energy business. We have a strong, well-educated, and experienced team to drive the company to higher places.
In the short term, Turkey is going to invest in nuclear energy. Right now there are two ongoing nuclear projects. One is a done deal, and the negotiations for the other are continuing. Meanwhile, there is increasing public attention on green energy.
According to the International Energy Agency (IEA), the ratio of global renewable energy to total energy consumption is expected to increase by 53% by 2020. This indicates massive potential in the hydroelectric and other renewable energy markets.
© The Business Year