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S. Korea, Turkey Pause Nuclear Plant Talks After Accord Fails on Pricing

South Korea said it will continue discussions with Turkey after failing to reach an agreement to build a nuclear power plant on that country’s Black Sea coast.

“We could not reach an agreement this time because of differences in issues including electricity sales price,” South Korea’s Ministry of Knowledge Economy said today in an e-mailed statement.

State-run Korea Electric Power Corp. and a Turkish builder agreed in March to bid jointly for the contract to build the plant. Negotiations with the Turkish government have been hit by disagreement over shareholding in the project, Turkish Energy Minister Taner Yildiz said on Nov. 8.

The countries will resume talks as soon as possible after Turkey reviews South Korea’s proposal, the ministry said, without giving details of the proposal.

South Korea also faces competition from Japan, which bid to build the plant in Turkey, CNBC-e television said on Oct. 7, citing Yildiz. The Japanese bid is an “aggressive one,” the Istanbul-based news channel cited the energy minister as saying.

In May, Russia signed a $20 billion contract to build Turkey’s first nuclear power plant consisting of four reactors, following more than a year of negotiations.

South Korea emerged as a competitor in the global nuclear market after Korea Electric beat General Electric Co. and Areva SA in December last year to an $18.6 billion order to supply reactors to the United Arab Emirates.

Potential Markets

South Korea aims to secure $400 billion of contracts by 2030 as demand for nuclear plants increases. Korea Electric has said it’s seeking to build reactors in India and Malaysia, and considers South Africa, Thailand, Kuwait and Saudi Arabia as potential markets.

Demand for nuclear power, the source of 15 percent of the world’s electricity, has rebounded as nations seek to cut use of more-polluting energy sources including coal and oil.

The global count of reactors may double by 2030, driven by demand in India and China, according to the World Nuclear Association. About 435 plants are planned or proposed by 2030, data from the London-based group show.

South Korea operates 20 domestic nuclear plants totaling the world’s sixth-largest capacity, and plans to complete 18 additional reactors by 2030.

 

http://www.bloomberg.com/news/2010-11-13/s-korea-turkey-pause-nuclear-plant-talks-after-accord-fails-on-pricing.html

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This entry was posted on Նոյեմբերի 13, 2010 by in in English, Թուրքիա -արտաքին հարաբերություններ and tagged , , , , , .

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