Turkey's electricity production Corporation (EUAS) will cancel the tender in which two companies bid for rights to construct and operate a coal-fired unit at one of Turkey's biggest power plants, Sabah daily reported on Tuesday citing the general manager of EUAS as saying.


Park Elektrik and Akfen Insaat-Akfen Enerji entered bids in a tender in late June to build and operate the new coal-fired C unit at the power plant, while Akfen Insaat-Akfen Enerji was the sole bidder for the plant's D unit.

Park Elektrik is part of Turkey's unlisted Ciner group.

Building the Afsin Elbistan C and D units requires nearly $5 billion of investment.

EUAS decided to cancel the tender after it considered too high the price the two bidders wanted for electricity produced from the plant, the newspaper reported.

For a period of 15 years Park Eletrik and Akfen Insaat-Akfen Enerji said they would sell power from the plant at between $0.15 and $0.18 per kilowatt hour, the report said.

The general manager of EUAS Sefer Butun said the tender would be held again as soon as possible.

No foreign investors bid in the tender held during increasingly turbulent global conditions.

Each of the new units will have capacity of 1,200 megawatts (MW), ramping up production capability at the power station in central Turkey, which currently has a total capacity of 2,800 MW.