2009/03/24

Politics Key to Russia-Turkey Nuclear Plant Deal

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Turkey's domestic political agenda looks set to play a key role in the government's decision over whether to give the go-ahead for a Russian-led consortium to construct the country's first nuclear power plant.

With Turkey's local elections scheduled for March 29, the government of Prime Minister Tayip Erdogan looks unlikely to announce any final decision on the project until April at the earliest, aware that the deeply unpopular project has already polarized public opinion.

Despite protests from other pre-qualified potential bidders - including AECL, Suez Tractobel and Unit Investment - that the global credit crisis meant they needed longer to prepare their bids, last year's tender was completed on time, with a consortium of Russia's state-owned Atomstroyexport, Inter RAO and Turkish company Park Teknik registering the sole bid to build the plant at Akkuyu on Turkey's east Mediterranean coast.

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