Cengiz Holding’s energy subsidiary Cengiz Enerji, which is among the main players in the Turkish electricity generation sector and controls around 5,000 megawatts of installed power, is growing its investments in the field. Recently, the company has focused on renewables in its power generation investments. Cengiz Enerji, which has recently put into operation the world’s largest solar-hydro hybrid power plant, aims to make its mark with innovative solutions in this field in the coming years. Ahmet Cengiz, Board Member of Cengiz Enerji, answered questions posed by Daily DUNYA.
HOW DOES CENGIZ ENERJI POSITION ITSELF IN THE COUNTRY’S ELECTRICITY SECTOR?
Cengiz Enerji has operated in the energy industry as a subsidiary of Cengiz Holding since 2000. It has hydroelectric power plants (HPP), solar power plants (SPP), and wind power plants (WPP) at home and abroad, and it also invests in renewable energy. The company put into operation Turkey’s first hybrid power plant in Bingol. The company’s natural gas combined cycle power plant (CCPP) in Samsun was awarded the ‘World’s Best Large-Scale Gas Turbine’ at the POWERGEN Europe Exhibition and Conference in 2015 with a 61% efficiency ratio. Apart from power generation, Cengiz Holding also operates in distribution and retail sales. The company has more than 10 million subscribers in 13 cities, located in four electricity distribution areas. This figure corresponds to 30% of the country’s electricity consumption. Apart from electricity, Cengiz Enerji also carries out natural gas distribution operations in Samsun and Konya.
WHAT IS THE INSTALLED POWER OF CENGIZ ENERJI IN ELECTRICITY GENERATION?
Cengiz Enerji currently has an installed power of 4,775 megawatts (MW) in total. Some of the subsidiary’s power comes from its own subsidiaries and partnerships. The installed power held by Cengiz Enerji alone is 2,908 MW. Cenal, a Cengiz Enerji subsidiary, partners with Alarko Holding in some of our thermal power plants (TPP) and SPPs. Cengiz Enerji also partners with Ozaltin Holding in the Kalehan Enerji project, where both companies have a 50% share. We are partners with Kolin Group in the distribution business and we also have partnerships in some SPPs.
WHAT ARE YOUR PROJECTS CURRENTLY IN THE INSTALLATION PHASE?
We’ve begun a WPP investment as a result of which which the number of turbines we operate will reach 28. The first units of three WPPs in Cankiri and Sinop have been put into operation. Within the scope of these investments, Cengiz Enerji’s Cerkes WPP in Cankiri will consist of 12 turbines, the Fener WPP in Sinop will have one turbine, the Hamsi WPP will consist of nine turbines, and the Karamursel WPP in Kocaeli will have six turbines. The total installed power of these 28 turbines when they are completed by the end of next year will be 120 MW.
WHAT IS THE CURRENT STAGE OF CENGIZ ENERJI’S HYBRID POWER PLANT INVESTMENTS?
We’ve converted the Asagi Kalekoy Dam in Bingol and our hydroelectric power plant there to a hybrid power plant. The SPP part of it was inaugurated by President Recep Tayyip Erdogan. We have some new plans for our Kalekoy Hybrid Power plant. We plan to add wind energy to this project, currently consisting of a hydroelectric power plant and SPP. Our wind data collection studies continue in the region. It will be the world’s first triple hybrid power plant to generate electricity from three different resources when we complete this project.
WHAT IS THE SITUATION WITH CENGIZ ENERJI’S OVERSEAS INVESTMENTS?
The installation of our natural gas CCPP in Tashkent, the capital of Uzbekistan, continues and it will begin power generation in March. Another natural gas CCPP will be built in Sirdaryo, a city also in Uzbekistan. We signed the agreement in June and aim to complete the plant in the second half of next year. The two natural gas CCPPs will have 460 MW of installed power in total.
WHAT’S CENGIZ ENERJI’S APPROACH TO HYDROCARBON RESOURCES?
Cengiz Enerji attaches great importance to renewable energy resources as the energy industry has leaned into them around the world. The company is focused on renewables and is aiming towards more investments in this field. Developments in the world show that investments in renewables will increase in the short and medium-term. As a company, we want to have the strongest possible position in this field.
HOW DO YOU THINK ABOUT NUCLEAR ENERGY?
There are two important issues in nuclear energy: environmental issues and security issues. Nuclear energy doesn’t harm the environment, if we analyze the environmental issue alone. It doesn’t release carbon into the atmosphere. That’s why security is a more important issue. If it is controlled, nuclear energy will be an important resource for electricity generation. Turkey is a country that produces energy from various resources and nuclear energy will be among them. Diversification provides security not only in the energy industry but all sectors. That’s why it’s very important to have nuclear technology.