Finnish firm engineers four hydropower plants in Turkey

Pöyry, a global expert in consulting and engineering based in Vantaa, Finland, has signed a contract for the development of four hydropower plants on the Murat River, the main branch of the Euphrates in Turkey.

The contract comes amid a debate in Turkey over the costs and benefits of hydropower. Pöyry plans to contribute by raising public awareness and introducing European standards in its projects.

The Murat project consists of four dams and four power plants, with a planned total installed capacity of 1,100 megawatts and annual energy generation of 4,000 gigawatt-hours, according to the agreement signed in January. The value of Pöyry's assignment is 2.5 million euros and it includes the preparation of feasibility studies for energy market reports, power supply and sales concepts and final design and preparation of technical specifications.

Hydro potential in Turkey is one of the biggest in Europe and Central Asia, Vilho Salovaara, president of the hydropower business area within Pöyry's Energy business group, told Hürriyet Daily News & Economic Review. “The Turkish market in general has promising economic growth and needs sustainable energy development and energy planning. Therefore Turkey is for Pöyry an important and relevant market.”

Presence in Turkey

Pöyry’s current assignment will be implemented in cooperation with its Turkish partner Temelsu, a consulting engineering company founded in 1969. The project will be completed in 2012. The project is one of the first large hydropower projects in Turkey developed by private investors. It will be carried out by SPC Kalehan Enerji Üretim, a company founded in 2008.

Pöyry has had a continuous presence in Turkey since the end of the 1960s. Pöyry's hydropower projects in Turkey have been carried out by its Swiss company, formerly Electrowatt-Ekono, and Austrian company, formerly Verbundplan. “In most projects we closely cooperate with strong Turkish engineering companies like Temelsu or Dolsar. We also have experience cooperating with many Turkish civil contractors,” Salovaara said.

Noting that Turkey is an important market for Pöyry's hydropower business that represents some 10 percent of Pöyry's hydropower services, he said, “There is room to grow in Pöyry's other strong service areas.” He said those areas include energy, management and various industrial specialties like urban planning.

Pöyry’s other ongoing projects in Turkey are the Ermenek Dam and Hydroelectric Power Plant, the Erik Dam and Hydroplant and the Deriner Dam and Hydroplant. Pöyry's Energy business group consults in Turkey on other hydropower development projects, various thermal power development projects and a wind farm project.

Pöyry has been cooperating with Temelsu since the late 70s and together they have completed the Karkamis Dam and Hydroplant, and the Borcka and Muratli dams and hydroplants. “We also cooperate with Turkish engineering companies outside Turkey, but not yet in Finland.”

Salovaara commented on the recent debate over hydro projects in Turkey, in which activists defend that all dam projects should be canceled immediately and locals should have a voice in the future of their water policies. “The environmental assessment report is a must for bankable projects, which is in the delivery service scope of Pöyry. Pöyry´s involvement guarantees high-level European standards for the environmental reports, sound expropriation measures and a profound public-awareness building process for project development,” he said.

“Pöyry’s commitment is to work toward 2020 to be the global thought leader in engineering-balanced sustainability for a complex world. Turkey is one of the best practice areas areas for this commitment.”

In Turkey, there are distinctive differences between the regions, from east to west and north to south, Salovaara said, when asked to compare the Nordic part of the world with Turkey and the Middle East geography in terms of the main challenges in handling water projects. “Turkey also has an exciting geology and seismicity, which is a real challenge for engineers during pre-feasibility, feasibility, and planning and execution phases. The social aspects have some diversity but in every project location Pöyry had a good experience with the local people and support from the local population.”

Regarding the challenges in terms of business culture in Turkey, Salovaara said, “Because Pöyry has several projects in Turkey, Turkey still keeps it’s originality amid a mixture of improvisation, emotions and entrepreneurship strictly tied with the historical traditions in doing business.”

As a global expert in consulting and engineering with knowledge in hydropower, oil and gas, power and heat, renewable energy, pulp and paper industry, chemical industry, transportation, water and environment, and construction services, Pöyry has about 7,000 experts in 49 countries. Pöyry Energy has a branch office in Ankara.