Turkish nuclear plant delayed by withheld Siemens parts, China to supply

The opening of Turkey's first nuclear plant has been delayed after Germany's Siemens Energy ENR1n.DE withheld essential parts, prompting Russia's Rosatom, the builder and owner, to buy them in China, the Turkish energy minister said on Wednesday.

Minister Alparslan Bayraktar told the state-run Anadolu Agency that Siemens's non-delivery would delay launching the Akkuya power plant's first reactor by a few months. He added that the decision likely stems from Western sanctions over Russia's war in Ukraine.

Though Turkey had initially planned to start Akkuyu's first reactor in 2023, delays have pushed that back to next year. The remaining reactors will come online by the end of 2028.

A Siemens Energy spokesperson confirmed that some parts were not delivered to Turkey due to German export regulations.

Bayraktar said that Rosatom, Russia's state nuclear energy company, has already struck deals with Chinese companies to produce equivalent parts, though he provided no company names.

"There are alternatives. Rosatom already ordered alternative parts from Chinese (firms), which will come from China," Bayraktar said.

Turkey may fine Siemens energy

He said Turkey could consider fines against Siemens Energy over the delay, even though it has worked with the German company for years.

"This attitude will make us question their position in future projects," he added.

Rosatom has been building the Akkuyu plant in the Mediterranean province of Mersin under an agreement with Ankara dating back to 2010. The $20 billion, 4,800 megawatt (MW) project includes four reactors and would bring Turkey into the small club of nations with civil nuclear energy.

Siemens Energy gave no official reason for withholding the parts, Bayraktar said. It said Turkey understands that it could be related to sanctions on Moscow. Germany's sanctions and trade policies appear to be incongruous, he said.

The Siemens Energy spokesperson said: "Some parts were delivered a long time ago, but not for a good year now, due to export/customs licenses that have not yet been issued. We must, of course, comply with the export regulations."

Efforts by both Rosatom and Turkey to secure the delivery of the equipment failed, and "Rosatom therefore ordered the equipment from Chinese manufacturers to keep up with project deadlines," Rosatom's subsidiary Akkuyu Nukleer said.

Turkey, maintaining close ties with both Moscow and Kyiv, opposes the European and US sanctions on Russia, which were imposed after Russia's 2022 invasion of Ukraine.

The first power unit was loaded with nuclear fuel last year. The plant is ultimately expected to produce around 10% of local electricity.

Turkey and Russia signed an intergovernmental agreement with Akkuyu in 2010. Construction began in 2013 and picked up speed in 2018.

The agreement limits local ownership of the plant to 49%, requires the first reactor to be commissioned in 2025, and includes a power purchase agreement at a guaranteed price.

President Recep Tayyip Erdogan said Germany was delaying some parts required for the Akkuyu plant at customs in July.

"This has seriously bothered us. I reminded German Chancellor Olaf Scholz of that in our bilateral meeting," Erdogan said.