Announcement of Turkey Launches Project to Develop Indigenous Energy Resources on August 28, 1987

FOR IMMEDIATE RELEASE 1 WorldBank 1818 H Street, N.W., Washington, D.C. 20433, U.S.A. BANK NEWS RELEASE NO. 87/13 Contact: fawzi Rihane ( 202) 477-5325 TURKEY LAUNCHES PROJECT TO DEVELOP INDIGENOUS ENERGY RESOURCES WASHI~GTON, August 28 -- Turkey will build a major hydro power pl~nt in the south with the help of a loan of $132 million from the World Bank. The $259. 1 million project supports efforts by the government to develop indigenous sources of energy economically and to involve the private sector more in this task. Financial and technical assistance will be provided to the Cukurova Elektrik A.S. (CEAS) to build and operate the power plant. ,CEAS provides electricity to the Cukurova region, which includes the fertile and highly developed Cilician plan, several provinces and villages. A dam will be built at Sir on the Ceyhan River and transmission lines will be installed to connect the power station to the national grid. Studies will be made on the region's power transmission and to improve three existing power stations. The project will include training for the staff of CEAS, the purchase of training equipment, and improved computer facilities. The World Bank loan is for 17 years, including four years of grace, with a variable interest rate, currently 8.23 percent, linked to the cost of the Bank's borrowings. It also carries an annual commitment charge of 0.75 percent on the undisbursed balances. NOTE: Money figures are expressed in u.s. dollar equivalents. 004:i.