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new investments

T

he production activities of our Energy Group and work related to new investments in 2012 are summarized below.

Energy Generation in 2012

The hydroelectric power plant established in Tohma, Malatya years ago after assessing our hydroelectric potential that has an important place in our domestic resources, is one of the first examples of the Build-Operate-Transfer model in Turkey. This plant has produced 10% more than the planned production and attained a production of 45.5 million kWh. Within the scope of its concession agreement, the Tohma Power Plant will continue its activities until the end of 2018. Our Kırklareli Natural Gas Combined Power Plants with an installed capacity of 164 MWe that are in operation have produced 600 million kWh.

A total production of 645.5 million kWh net has been realized in our two power stations in operation in 2012. In 2013, we plan a total production of 1.02 billion kWh net in these two power plants.

Our New Power Plant Projects

Taking into consideration the increase in the energy consumption in our country, our Energy Group is continuing

installed capacity of 1,320 MWe (2x660MWe) and an annual production capacity of 9,900 GWh whose construction has been started by Cenal Enerji Üretim A.Ş. on Alarko Enerji Üretim A.Ş.’s land of 670 acres situated by the coast in Karabiga, Çanakkale. The ÇED (Environmental Impact Assessment) Positive Certification was obtained from the Ministry of Environment and Urbanization in 2012. The positive decision of the EPDK (Energy Market Regulatory Authority) for the production license was given in November 2012 and we are planning to complete the necessary procedures and obtain the license in the first quarter of 2013.

The engineering and design work of the seaport and the plant was started in 2012 and procedures for local permissions are continuing. The financing of the project will be procured in 2013 and purchase of the power plant equipment will be started. We are planning to start the construction of the seaport in the first half of 2013 after the relevant permissions and approvals are obtained.

its investments related to hydroelectric and thermal power plants. Our efforts related to our investments are summarized below.

Karakuz Dam and Hydroelectric Power Plant

The ÇED (Environmental Impact Assessment) Positive Certification and financing of the Karakuz Hydroelectric Power Plant Project with an installed capacity of 76 MW and an annual production capacity of 300 million kWh being built on the Körkün River within the boundaries of the Adana province were obtained in 2011. All the orders for electro-mechanical equipment to be imported or purchased domestically for the Project whose construction actually started in the first quarter of 2012 have been completed. Two TBMs (Tunnel Boring Machine) were ordered for the construction of the energy tunnel.

The energy tunnel digging was started with these machines as of the beginning of 2013 and the tunnel will be

completed at the end of 2013 with its concrete segments put in place. The electro-mechanical equipment will be sent to the project site within 2013 and the assembly work will be completed before the end of 2013 as planned.

We are aiming to set the Karakuz Hydroelectric Power Plant into commercial operation at the end of 2013.

Beşkonak Hydroelectric Power Plant

A feasibility report in accordance with the free market model was prepared for the Beşkonak Hydroelectric Power Plant with an installed capacity of 72 MWe and an annual production capacity of 380 GWh and an application was made to DSİ for water usage rights. As there was more than one application for this project, contractor selection will be done by DSİ on a sealed tender basis.

Çanakkale Karabiga Thermal Power Plant

The imported coal fired thermal power plant with an

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WE ARE TARGETING A NET PRODUCTION OF 1.02 BILLION kWh

AT OUR EXISTING POWER PLANTS IN 2013

M

EDAŞ gives distribution services over an area of 76,932 km² which is equal to 10% of the total area of Turkey and includes the provinces of Konya, Karaman, Aksaray, Nevşehir, Niğde and Kırşehir. A change was made in the organizational structure in 2012 because of the vast area served and the independent operations were raised to 42. As a result, the effectiveness of the operations was increased as their responsibility areas were diminished and faster and better quality service was given to customers. As of today, the 6 provinces, 65 counties, 331 towns, 1379 villages and 512 uplands are being served with a total of 78 operations of which 42 are independent ones. The training activities were intensified following the take over maintained in 2012. We aim to increase the knowledge

and skills of our personnel with the regular technical and personal development training provided by our company. In addition, training in occupational safety was particularly focused on to ensure that all the personnel including the subcontractors got occupational safety training before starting to work. As a result of the regular occupational safety training given, there has been a serious decrease in the number of occupational accidents in 2012 in comparison to previous years.

The change in the nature of human resources at MEDAŞ that started following the privatization continued in 2012 with subcontractors. Serious development in work quality was attained by enabling recruitment of technical personnel trained by subcontractors. As of the end of 2012, all the field personnel working in failure and repair/maintenance, index reading and mobile teams consists of individuals who have had occupational training in technical schools.

The customer communication services started at the end of 2011 were maintained increasingly in 2012. Four commercials were broadcasted on the local television stations in our area of distribution in 2012. In addition, we kept contact with our customers with various interviews and news published in the visual and written media. Thus, we have been able to inform our customers about complaints arising from incorrect or insufficient information.

In 2012 we continued maintenance of the distribution network as in previous years. In addition, in 2012 we spent approximately TL 170 million for technological investments as well as for improvement, renovation and capacity increase in the power distribution facilities. Thanks to these maintenance and investment activities aiming at offering our customers

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ENERGY DISTRIBUTION