42. Turkey's energy consumption is growing at a rate
that will soon outstrip provision. Imported energy currently accounts
for 50% of consumption. Studies show that demand is set to treble.
Plans to build a nuclear power station were a subject of international
controversy; in July 2000 the Government announced that they were
no longer willing to go ahead with the Akkuyu power station, although
they will reconsider their decision over the next ten to twenty
Mr Ecevit said that "it is unnecessary for us, for the time
being, to invest in nuclear energy". In February 2001 Turkey
announced that twenty nine Build Operate Transfer (BOT) renewable
electricity plant would be built. Most of these will be wind powered.
Contracts for these will be open to international tendering. A
law to liberalise energy markets was passed in February 2001.
43. The most prominent energy project is the Southeastern
Anatolian Project (Güneydo_u Anadolu Projesi, (GAP)), involving
the construction of a series of hydroelectric dams in Anatolia.
During our stay in Turkey we visited Hasankeyf, Batman and Diyarbakir,
and held several meetings in Ankara to discuss the proposed Ilisu
Dam project, on which we first reported on in February 2000. We
intend to report again on this issue in 2001 once the revised
Environmental Impact Assessment Report and the Resettlement Action
Plan are produced.
44. Turkey is finding it hard to supply electricity
at the levels needed. Domestic energy production can only meet
48% of requirements. The problem is being addressed by both increased
domestic generation and imported energy. Lignite production in
Turkey is set to double. Turkey is not a member of the UN Framework
Convention on Climate Change. The UK has expertise in Clean Coal
Technology (CCT). We see opportunities for UK investment and advice
in the development of CCT in the Turkish coal sector and consider
that technology transfer links would be valuable on both sides.
We hope that the Government can help establish mutually beneficial
industry links by monitoring the development of Clean Coal Technologies
45. Turkey's infrastructure is expanding. The Bosphorus
tunnel, linking the two parts of Istanbul, has been tendered.
A Japanese company has to be included in the consortium as they
have given good credit opportunities to the Turkish. The Minister
for Transport and Telecommunications told us that he would like
to see a UK company involved and urged them to put themselves
forward, both privately and through the government. The Ankara
rail link project is the most high profile of the planned improvements.
The government is looking for a Build-Operate-Transfer (BOT) project
and is in negotiations with international rail and banking authorities.
Again, they are eager for UK interest. A draft bill on rail is
set to privatise the industry; this presents opportunities for
46. The number of UK visitors to Turkey is growing,
making tourism a prime factor in UK-Turkish trade. The estimated
number of UK tourists to Turkey during 2000 is one million; a
fivefold increase on 1990 figures. Far fewer Turkish tourists
visit the UK. The largest tourist areas are Bodrum and the Marmara
coast in the south, and Istanbul in the north west. Clearly there
are areas of Turkey which currently are not open to tourists,
or indeed to any international visitors. During our visit we heard
of tourist opportunities which are yet to be opened to UK tourists,
such as domestic ski resorts, as well as a wealth of archaeological
sites being opened to a wider public. Turkey is a destination
for UK tourists. We hope that BTI can build on the existing situation
and be seen to identify opportunities which might arise from the
tourist service industry.