Turkey Wind Turbines Market Size for Medium (100KW-1MW) Turbines

Turkey Medium Turbines Market Size

 

  • Turkey unlicensed wind energy market size for medium sized turbines assumed to be a third of what we have seen in the UK market, given the less favorable wind, FIT rates and duration dynamics in Turkey (as discussed below compared to the UK market)

Case Study – UK Medium Turbines Market Development after FIT introduction in April 2010

UK Wind turbines

  • UK feed-in-tariff (FIT) rates for turbines 500KW – 1MW (current limit for Turkey) 2X that of Turkey (domestic turbine)
  • UK feed-in-tariff (FIT) rates for turbines 100KW – 500KW 3.5X that of Turkey (domestic turbine)
  • Unless capex and opex for wind turbines are significantly lower in Turkey (e.g., less than 50% of that of UK), ROI will be much less (if at all positive) and thus unlicensed market growth for turbines less than 1MW will be slower in Turkey compared to the UK
  • In addition, UK potential TWh for wind energy production is ~4,000 TWk vs. ~123 in Turkey. This means that market adoption will be slower since there are less favorable sites in Turkey for wind production compared to the UK
  • It is critical that investors perform detailed due diligence and return on investment analysis before purchasing a wind turbine in Turkey; larger projects might be more likely to be profitable as turbine cost per kw typically decreases with turbine size