Turkish Energy Minister Hilmi Guler said at the weekend that power plant privatizations will begin after President Abdullah Gul approves an electricity market law and added that the government would initially sell coal-fired power plants, the Ihlas News Agency, or IHA, reported.
"A draft bill on giving production rights of energy producing facilities to private companies has been sent for presidential approval. If the president approves the bill we will privatize power plants. Starting from coal-fired power plants all thermal power plants will be privatized respectively," Guler said Saturday, replying to questions from reporters.
The sale of electricity grid companies and power plants is on Turkey's privatization program list, which also includes roads, bridges, the national lottery and sugar factories.
Ankara had planned to begin the sale of electricity grid companies last year, but the tender process was postponed until after parliamentary elections in July 2007.
At the beginning of July, the privatization agency held two tenders for the sale of Ankara and Sakarya power grid companies. Both deals require approval from the Competition Board and the Supreme Board of Privatization, which is comprised of senior OIB and government officials.
The government wants to begin the sale of power plants this year. State-run electricity production company EUAS owns 19 thermal stations including 11 coal-fired power plants.
The largest coal power plants by production capacity are Afsin-Elbistan Unit B (1440 megawatts), Afsin-Elbistan Unit A (1355 megawatts) and Soma-B (1034 megawatts). EUAS also operates 103 hydroelectricity stations.