Initial Stakeholder Consultation Report

Sarıkaya Wind Farm Project Meeting Date: May 20th, 2008

In Cooperation with

Contents

Purpose of the Consultation .................................................................................... 1 Procedure of the Initial Stakeholder Consultation ....................................................... 1 Email consultation for Gold Standard supporting organizations in Turkey ...................... 2 Information Letter ................................................................................................. 2 Consultation Meeting ............................................................................................. 3 Meetings procedure ............................................................................................... 3 Summary of the comments received ........................................................................ 4 Sustainable Development Aspects of the Project ........................................................ 5 Annex I: Sustainable Development Matrix ................................................................ 7 Annex II: Invited Stakeholders ...............................................................................12 Annex III: Meeting Invitation on Local Newspaper ....................................................14 Annex IV: Distributed Documents during Meeting .....................................................15 Annex V: List of Participants ..................................................................................31 Annex VI: Supporting Letters .................................................................................33 Annex VII: Questions Received & Answers Given ......................................................34 Annex VIII: Minutes of the Meeting .........................................................................42

1

Purpose of the Consultation The objective of the Gold Standard initial stakeholder consultation is to enable potentially affected and concerned institutions and individuals to express their point of view on the proposed carbon offset project enabling the consideration of general concerns and recommendations on the project activity. Although the Turkish legislation exemptes wind energy projects from the obligation to perform an Environmental Impact Assessment and accordingly a stakeholder meeting, an initial stakeholder consultation meeting has been conducted according to the Gold Standard criteria in order to identify and evaluate the opinions and comments in favor of and against the project. Accordingly, the following stakeholders must be invited to participate in the consultation process: local policy makers, local people impacted by the project, (if applicable) local NGOs, local and national NGOs that have endorsed the Gold Standard and the Gold Standard itself.

Procedure of the Initial Stakeholder Consultation The Gold Standard Initial Stakeholder Consultation has been conducted by the project owner Alize Enerji Elektrik Üretim A.ġ. with assistance from MAVI Consultants. Stakeholder groups as defined in the Gold Standard procedures have been identified and informed through oral and written means about the meeting. The Gold Standard Initial Stakeholder Consultation consisted of a public meeting and Email consultation with the stakeholders. According to the Gold Standard requirements, local stakeholders were identified including local people, local and national NGOs, project developers and entities involved in implementation and operation of the project activity. A list of project participants invited for the stakeholder consultation meeting is enclosed under “Annex II: Invited Stakeholders” to this report. These stakeholders have been invited either by E-mail or fax inviting for participation in the public meeting and for submission of comments on the project. Local people have been invited by an announcement published in a local newspaper (ġafak Newspaper, May 6th, 2008). The newspaper announcements and their translation can be found in “Annex III: Meeting Invitation on Local Newspaper” of this report. Thus, the local communities have been informed about the meeting. For a wide-reaching

2 attendance, the meeting has been organized in Tekirdag. Means of transportation have been arranged for people attending the meeting from nearby villages. Stakeholders have been invited by E-Mail or fax. As a result of the call, several participants from local authorities, nearby village headmen and local communities have attended the common meeting. Beside communities, public authorities from Tekirdag also attended meeting, giving further comments. The participants have been asked to fill a presence list with their name, address and occupation. In total, 34 of participants signed the list, which has been attached to the “Annex V: List of Participants”. The invitations have been sent to stakeholders on May 13th, 2008 by E-Mail. 100. Yıl Mahallesi Environmental Beautification, Development and Protection Association has been informed by sending the same documentation per post on May 14 th, 2008. The stakeholder list and further details are given in “Annex II: Invited Stakeholders”.

Email consultation for Gold Standard supporting organizations in Turkey An invitation was sent to representatives of Gold Standard supporting organizations in Turkey on May 13th, 2008. The same call for initial stakeholder consultation procedure has been applied for them, which included an invitation to the meeting, project description

along

with

its

social

and

environmental

benefits,

the

Sustainable

Development Matrix and the questionnaire. The Turkey offices of Greenpeace, REC (Regional Environmental Center) and WWF have been invited to give their opinions about the project. They did not participate in the meeting. The consultation process has started on May 13th, 2008 and ended on May 26th, 2008. As a component of the overall procedure, the Gold Standard Foundation has been invited on May 13th, 2008.

Information Letter There is no DNA in Turkey. A letter has been sent to the National Focal Point of Turkey, the Ministry of Environment and Forestry, to inform them about the project as a requirement of the Gold Standard procedures. This letter has been received by the Ministry on May 26th, 2008. However, it did not reply to the call and give any comments.

3 Consultation Meeting A consultation meeting has been conducted for all stakeholders: Date

May 20th, 2008

Duration

14:00 – 16:00

Place

Tekirdağ Valilik Kültür Merkezi, Tekirdağ, Turkey

Language

Documentation and meeting was held in Turkish

Meetings procedure 

Opening (5 min)



Purpose of the consultation (5 min)



Description of the project (20 min)



Answering of questions (25 min)



Completing Questionnaire (25 min)



General feedback (25 min)

The following documentation has been distributed to participants: 

Project description



Social and environmental impacts of the project



Sustainable development assessment matrix



Questionnaire

These documents have been supplied in “Annex IV: Distributed Documents during Meeting”. Mr. Ahmet Araçman from Demirer Enerji explained the objective of the meeting and the overall procedure. Afterwards, he made an oral presentation about global warming using an article. This article regarding subjects as drought, climate change and global warming which are partially read in the meeting is available in “Annex IV: Distributed Documents during Meeting”. Participants showed an interest in wind energy technology and some exemplary wind farm pictures have been shown to the audience.

4 General information about renewable energy and wind parks has been given and the project itself has been introduced. In this respect, the presentation did not only inform the participants about the project, but also contained awareness raising components regarding environmental and social issues, and what individuals can do to mitigate the global warming.

Mr. Yağmur Karabulut from MAVI Consultants told the audience the concept of sustainable development and its importance in the project framework. He explained each indicator and the scoring system for the sustainable development assessment matrix in detail. The sustainable development assessment matrices and the questionnaires have been collected at the end of the meeting, and interested participants have been given the same blank documentation for their information to take home. These documents are attached to “Annex IV: Distributed Documents during Meeting”. The filled-in documents are also available as hardcopies for the Designated Operational Entity (DOE) conducting the Gold Standard validation process.

Summary of the comments received No stakeholder commented by phone, E-Mail or fax. In general, questions were raised about the technical, social and environmental aspects of the project. All questions and issues raised have been answered by Mr. Araçman from

5 Demirer Enerji. Questions have generally been directed towards the overall project information, wind energy and renewable energies in Turkey. In total, 34 participants were present and signed the participant list. 22 of these turned their questionnaire in, 11 of them being left without any comments. The handed-out documentation included project description, questionnaire and the sustainable development matrix. Participants have been asked to fill in the questionnaire for stating their comments on the project’s social and environmental impacts. Besides several positive opinions, some concern has been raised about the project being on forestry area and causing noise. Details of questions, given answers and comments can be found in “Annex VII: Questions Received & Answers Given”. No comments other than those given in the meeting have been received.

Sustainable Development Aspects of the Project The Gold Standard foundation requires that the project activity is evaluated based on some sustainable development indicators. The results indicate that the project complies with the requirements outlined in the sustainable development matrix and assures a positive overall effect. The indicators have been explained in detailed, which have been afterwards discussed with stakeholders potentially affected by the project during the initial stakeholder meeting. The Gold Standard foundation further requires that the total and each sub total of the components must score positively, and none of the indicators should score –2. It has been observed that the project’s sustainable development scores satisfy these requirements. Participants are asked to score the sustainable development assessment matrix and 5 participants did the scoring. One participant scored the air quality and other pollutants indicators with -2. Another participant scored the balance of payments indicator with -1. All other scores are 0 or positive. For the Local / Regional / Global Environment part of the matrix, the total of the average scores given by participants for the 5 indicators is 6,9. For the Social Sustainability and Development part, the total of averages for 4 indicators reached 6,4. For the Economic and Technological Development part, this figure was 4 for 3 indicators. The lowest average scoring is received for Other pollutants (including, where relevant, toxicity, radioactivity, POPs, stratospheric ozone layer depleting gases) indicator, making an average of 0,8. During the Initial Stakeholder Consultation, including meeting, no verbal or written comment is received for this specific issue. As this issue is not relevant for the project activity, which is a wind farm project, the reason behind this scoring is unknown.

6 The averages of all other indicators are above +1. The total of the scores are +12, +14, +15 and +22 (2 participants). 2 participants out of 5 also wrote short comments in the matrix. In this respect, the project’s social and environmental impacts are evaluated by the stakeholders to be positive. Specific characteristics of the project, which contribute to sustainable development, can be summarized as follows; 

Reducing electricity imports of Turkey and its dependency on fossil fuel sources



Securing energy supply, reducing dependency on foreign sources and associated price variations



Reducing greenhouse gas emissions in Turkey by replacing the electricity generated from fossil fuels and reducing pollutants stemming from combustion of fossil fuels (e.g. particulates, sulphur dioxide, nitrogen oxides etc.)



Creating jobs in the region in the construction and operation phases



Supporting the local economy by procuring available services (like subcontractors) and equipment (like cables, masts and transformer for the transmission line, turbine blades, general construction material, etc.) locally



Supporting technology and know how transfer and development of the renewable energy sector in Turkey



Carrying out sustainable development project(s) in the region

7 Annex I: Sustainable Development Matrix GS Manual for CDM Project Developers: Section 3.4.1 The matrix below is based on a comparison of the project activity versus the baseline scenario described in the PDD. The Sustainable Development Matrix draft has been discussed during the Initial Stakeholder Meeting with the stakeholders in order to finalise the scoring of the 12 indicators. Results from the Initial Stakeholder Consultation have been considered when defining the scores for the indicators below. Beside scoring, the explanations of participants regarding the indicators have also been shown below. The scoring below has been carried out by rounding the average of the scores of the 5 participants, who have scored the matrix. The average scores are given in parentheses below for each indicator.

Component

Score

Indicators

(-2 to +2)

Explanation

Local / Regional / Global Environment 

Water quality quantity

and

+2 (average: +1,5)

As compared to the baseline, risks of groundwater contamination due to the acid rains as well as process wastewater leakages into the groundwater are reduced. The amount of discharging of cooling water into the surface waters can be decreased. Justification: Regulation of Water Pollution Control Official Journal: 25687, 31.12.2004, Table:9.3



Air quality (emissions other than GHG)

+1 (average: +1)

Date:

Air quality is improved substantially as compared to the emission levels of fly ash, SOx and NOx related to the thermal energy generation. As compared to the baseline scenario, the project significantly contributes to an improvement of odour emissions. Justification: Regulation of Air Quality Control Official Journal: 19269, Date: 02.11.1986, Annex 8 List A & B

8



Other pollutants (including, where relevant, toxicity, radioactivity, POPs, stratospheric ozone layer depleting gases)

+1 (average: +0,8)

Apart from water, soil and air pollutants mentioned in this matrix, metal compounds as Co, Cd, Zn, Pb and Cu in the flue gas as well as in the waste ash will be lowered as a result of the project activity. Justification: Regulation of Hazardous Wastes Control Official Journal: 25755, Date: 14.3.2005, Annex 7 section 10



Soil condition and quantity)

(quality

+2 (average: +2)

As compared to the baseline scenario, besides that wind farms cover a relatively small basement area, the wind farms do not generate any waste, which would decrease the soil condition in quality and quantity. Justification: Regulation of Soil Pollution Control Official Journal: 25831, Date: 31.5.2005, Annex 1 A



Biodiversity (species and habitat conservation)

+2 (average: +1,6)

Participant Comment: “The project would not have a high impact.” Participant Comment: will be used.”

“Forest

area

As compared to the baseline, the project is expected to have a relatively positive impact on air, soil and water quality and therefore on biodiversity.

Sub Total

+8 (average: +6,9)

Social Sustainability and Development 

Employment (including job quality, fulfilment of labour standards)

+2 (average: +1,8)

Participant sufficient.”

Comment:

“It

is

not

Several job opportunities are expected to be created for operation and maintenance of the wind power plant directly or indirectly. The employment of the skilled staff at necessary labor standards would have a significant impact on job quality in

9 the context of the project. 



Livelihood of the poor (including poverty alleviation, distributional equity, and access to essential services)

+2

Access services

+1

to

energy

(average: +1,6)

(average: +1,2)

As compared to the baseline, as a result of various positive impacts, the project is expected to have a constructive impact. The electricity generated by the project will be supplied to the national grid, improving the overall electricity supply quality of the network, which suffers from supply shortage and quality problems. National Load Balancing Center (TEİAŞ) Electricity Market Balancing and Settlement Regulation, 21.12.2004, Official Gazzette Nr. 25677



Human and institutional capacity (including empowerment, education, involvement, gender)

Sub Total

+2 (average: +1,8)

As compared to the baseline, the project is expected to provide some capacity building and awareness raising effects on public authorities in the region, technical staff and local communities, thereby improving human and institutional capacity.

+7 (average: +6,4)

Economic Technological Development 

and

Employment (numbers)

+1 (average: +1,4)



Balance of payments (sustainability)

+1 (average: +1,2)

A moderate expected.

positive

impact

is

Electricity generation from renewable energy sources substitutes the electricity generated from fossil fuels and thus decreases fossil fuel consumption overall. MYTM* is responsible** for actively balancing the electricity supply throughout the generation companies and technically manages the supply of each power plants real time. It would decrease the import of fossil fuels and therefore have a positive effect balance of payments in the long term. Justification: *National Load Balancing Center (TEİAŞ) ** Electricity Market Balancing and

10 Settlement Regulation, 21.12.2004, Official Gazzette Nr. 25677 

Technological self reliance (including project replicability, hard currency liability, institutional capacity, technology transfer)

+1 (average: +1,4)

Participant Comment: “It is very good that the project is not dependent on foreign resources” Participant dependent somehow.”

Comment: on foreign

“We are technology

Improvement of technical adequacy of companies working in the wind energy sector and creation of high quality technical labor force. Justification: Recent developments of wind energy equipment (tower, blades, etc.) production and services after wind park installations in Turkey.

Sub Total

+3 (average: +4) +18

Total

(average: +17,3)

In the scores given by the public meeting participants, it has been observed that a participant has scored two indicators, air quality and other pollutants, with -2 without further remarks or comments. No verbal question or explanation has been received from that participant during the meeting neither. The project has no obvious impact on air quality or other pollutants, as explained in the public meeting as well. As can be seen from the matrix above, the project activity shows a positive performance in all sustainable development categories. The project activity fulfils all Gold Standard criteria since none of the indicators above have a score of -2, there is no negative subtotal, and the total score is positive. EIA requirements GS Manual for CDM Project Developers: Section 3.4.2 EIA Gold Standard Requirements according to section 3.4.2 in the Gold Standard Manual apply to the project activity as follows: 1.

Host country EIA requirements It is not mandatory in Turkey to conduct an EIA for this type of project activity.

2.

Gold Standard Initial Stakeholder Consultation The Gold Standard Initial Stakeholder Consultation meeting was held in the Tekirdağ Valilik Kültür Merkezi, Tekirdag, Turkey on May 20th, 2008, between 14:00-16:00. The results of the Gold Standard Initial Stakeholders Consultation did not show a

11 significant environmental and/or social impact, which would require a modification in the project activity. 3.

None of the indicators in the Sustainable Development Assessment Matrix scores negative.

By reducing fossil fuel consumption indirectly, the Project Activity will help in decreasing pollutants, which are being generated by thermal power plants, resulting in improved air quality.

12 Annex II: Invited Stakeholders Name / Surname

Charge

E-mail

Tel. / Fax.

[email protected]

Tel:0 312 420 63 54 Fax:0312 420 69 77

[email protected]

Tel: 0 312 295 50 00 Fax: 0 312 295 50 05

[email protected]

Tel:0312 420 53 25 Fax:0312 420 53 32

National

Tacidar Seyhan

Mustafa Kemal Büyükmıhçı

Haluk Özdalga

Deputy of Adana (Member of Turkish Grand National Assembly (TGNA) Industry, Trade, Energy, Natural Resources, Information and Technology Association) Ministry of Energy and Natural Resources, Survey and Development Administration, General Manager Chairman of Commission of Environment of Turkish Grand National Assembly (TGNA)

Regional / Local Aydın Nezih DOĞAN

Governor of Tekirdag

Ahmet AYGÜN

Mayor of Tekirdag

Mustafa YEL

Tekirdag Province General Secretary

Ergin HABĠBOĞLU

Adnan KAPLAN Haydar SOYKAN

Tekirdag Director of Provincial Public Works and Settlement Department Tekirdag Director of Provincial Environment and Forestry Department Tekirdag Director of Provincial Agricultural Department

[email protected]

[email protected] [email protected] r

Tel: 0282 261 20 07 Fax: 0 282 261 87 25 Tel: 0 282 258 59 10 Fax: 0 282 258 59 12 Tel: 0 282 264 10 33 Fax: 0 282 261 23 26

[email protected]

Tel: 0 282 261 20 40 Fax: 0 282 261 41 17

[email protected]

Tel: 0 282 260 24 32 Fax: 0 282 263 18 89

[email protected]

Tel: 0 282 261 13 50 Fax: 0 282 261 53 61

13

Mustafa GÖNÜLTAġ

Tekirdag Director of Provincial Urban Improvement and Development

General Invitation

Tekirdag Governorship Media and Public Relations Department

Mümin Heybet

Governor of Sarkoy

Can Gürsoy

Mayor of Sarkoy

Seyhan ÇALIM

Nature and Environment Protection Association

ġevki KÖPRÜLÜ

100. Yıl Mh. Environmental Beautification, Protection and Development Association

[email protected] [email protected]

[email protected]

[email protected]

Tel: 0 282 264 10 33 Fax:0 282 261 23 26 Tel: 0 282 261 23 26 Fax:0 282 262 80 84 Tel: 0 282 5181008 Fax: 0 282 5181452 Tel: 0 282 5181021 Fax: 0 282 5181052

NGOs

Serap ALP Ozan TAġOYAR Filiz Demirayak Hilal Atıcı Yunus Arıkan

Tekirdag Environmental Education and Protection Association Sultankoy Environmental Protection and Disaster Relief Association WWF Turkey (GS Supporter) Greenpeace Turkey (GS Supporter) REC Turkey (Representative of REEEP) (GS Supporter)

[email protected]

Tel: 0 282 260 03 41 Tel: 0 282 263 64 65 Fax: 0 282 263 64 65

[email protected]

deniztasası@msn.com [email protected]

Tel:0 282 262 07 27 Tel:0 282 633 62 45 Tel: 0212 292 76 19 Fax: 0212 292 76 22

[email protected]

Tel: 0212 528 20 30 Fax: 0212 528 20 40

[email protected]

Tel.: 0 312 491 95 30 Fax : 0312 491 95 40

14

Annex III: Meeting Invitation on Local Newspaper

Publication: ġafak Newspaper, May 6th, 2008

Translation: Invitation As Alize Elektrik Üretim A.ġ. owned by Demirer Holding, we invite everyone interested in the Initial Stakeholder Consultation Meeting for the Sarıkaya Wind Farm Project on May 6th, 2008 at Tekirdağ Governorship Culture Center, between 14:00-16:00. The purpose of this consultation is to inform the community and interested stakeholders about this wind energy project and to enable stakeholders to comment on the project, which is currently under development and planned to start in the second half of 2008 with the construction. Shuttle service will be provided for participants from the villages of Kızılcaterzi and Kocaeli. Please contact the number below for shuttle organization until May 15th, 2008. Tel: 0212-3270922 We welcome your attendance DEMIRER HOLDING A.ġ.

15

Annex IV: Distributed Documents during Meeting

a) Invitation Letter to local stakeholders

Subject: Call for stakeholder comments and invitation for the meeting

Dear Ladies and Gentlemen, Alize Enerji Elektrik Üretim A.ġ., a subsidiary of Demirer Enerji, intends to implement a wind farm project with an installed capacity of 28,8 MW to produce electricity from wind energy in Sarköy, Tekirdag, Turkey. Turkey, despite its positive wind conditions, covers its energy demand by mostly imported fossil fuels instead of renewable resources; which increases its dependency on foreign energy sources. The generation of electricity from wind contributes to the national economy in line with sustainable development principles as an environmental friendly and reliable solution. Wind farms can decrease carbon dioxide and other greenhouse gas emissions as well as dependency on foreign energy sources; in this sense the project will be able to contribute to environmental protection, air pollution abatement, local sustainable development and global warming mitigation. As compared to fossil fuel based electricity generation, wind energy in Turkey faces several investment, technology and prevailing practice barriers, which prevent the implementation of such projects. Given the positive contribution of the project towards a reduction of greenhouse gas emissions, Sarıkaya Wind Farm Project considers carbon trading in order to improve the economic feasibility of the project and overcome the prohibitive barriers mentioned above. The project cannot be developed under the Clean Development Mechanism (CDM) because Turkey did not ratify the Kyoto Protocol yet. However, within the context of Voluntary

16

Emission Reductions, projects in Turkey can trade

their

emission

reductions in non-Kyoto markets, where demand from buyers is growing rapidly in a Corporate Social Responsibility context. This kind of carbon projects are regulated by different standards that project developers can select. Alize Enerji Elektrik Üretim A.ġ. has selected the VER Gold Standard, which represents a high quality standard with focus on the integrity of emission reductions and sustainable development aspects. This is a voluntary organized meeting. As you know, wind projects are not obliged to conduct EIA in Turkey. As a stakeholder, we invite you to provide comments on the Sarıkaya Wind Farm Project. The Initial Stakeholder Consultation will take place in Tekirdag Valilik Kültür Merkezi on May 20th, 2008 at 14:00. During this meeting, the project will be presented in Turkish language and information will be given about the project’s social and environmental aspects with the aim to allow stakeholders to provide their comments and views on the proposed project. The consultation meeting is expected to take 2 hours. If you wish, you can also send your comments by completing the attached Questionnaire and sending it via post or email to the address provided below. Detailed project information is given below.

Yours Sincerely, Alize Enerji Elektrik Üretim A.Ş.

As project development consultant; Lale Çapalov Please send written comments to: MAVI CONSULTANTS Baba Efendi S. 5/2 Akaretler 34357 – Istanbul [email protected] Tel: +90 212 3270922 Fax: +90 212 3270925

17

Consultation Meeting Programme

Consultation meeting for local stakeholders

Date:

May 20th, 2008

Hour:

14:00 – 16:00

Location:

Tekirdağ Valilik Kültür Merkezi, Tekirdag, Turkey

Language:

Documentation and meeting will be in Turkish language.

Meeting Procedure: 

Opening (5 min)



Purpose of the consultation (5 min)



Description of the project (20 min)



Answering of questions (25 min)



Completing Questionnaire (25 min)



General feedback (25 min)

18 b) Project Description and Sustainable Development Matrix

Description of the project Alize Enerji Elektrik Üretim A.ġ. intends to establish a wind farm project with an installed capacity of 28,8 MW and generation of 96,3 million kWh electricity per year. The Sarıkaya Wind Farm Project involves the erection of 14 wind turbines with 2000 kW installed capacity each and 1 wind turbine with 800 kW installed capacity in the project area. With the help of turbine blades driven by the wind, mechanical energy is converted into electrical energy, which is then supplied to the electricity grid. Alize Enerji Elektrik Üretim A.ġ. obtained its generation license from Energy Market Regulatory Authority (EMRA) on 18.04.2007 for 28,8 MW installed capacity for a 45 year period. A later license amendment application by Alize Enerji Elektrik Üretim A.ġ. for the same installed capacity has been accepted by EPDK, the new license is expected soon. The Sarıkaya Wind Farm Project will be located in Turkey, province of Tekirdag, Sarkoy town, Kızılcaterzi and Kocaeli villages. The project will have a significant contribution to the national economy producing electricity from local and renewable resources. The project will set a good example for an environmentally friendly, clean and sustainable development. At the same time, the project will pave the way for further wind farm projects and contribute to a long term reduction of carbon emissions. Improvement and/or construction of new roads and electricity transmission lines will be necessary in the project framework as well, improving the energy and transportation infrastructure of the region. Despite Turkey’s favored position in terms of wind energy potential, the wind energy sector has not progressed much and its electrical energy share in the overall generation has been very limited due to various reasons. Electricity generation from fossil fuels like coal, lignite, petrol and natural gas has increased in recent years. Within this context, rising generation costs parallel to increasing oil prices, growing carbon dioxide emissions and their impact on global warming, environmental problems and dependence on foreign energy

19

sources can be highlighted as negative trends which are compensated by the project activity. Contribution of the project activity to sustainable development The project is a renewable energy project for power generation that enables reduction of carbon emissions. Furthermore, the project activity has also a positive effect on the local society and the environmental conditions within the project boundary. The project’s contributions towards sustainable development are described as follows: 1. Socio-economic well-being: 

Increase in employment opportunities in the area where the project is located. New jobs directly attributed to the project activity will be created during construction and operation of the project



Support of the local economy by procuring material and technical equipment locally



Attraction of visitors and tourists to the project’s region, creating further indirect employment opportunities



Contribution to national economy by making good use of the country’s wind potential and increase in investments and improvement of life standard as a result of improved local economic dynamism



Source diversification in electricity generation



Reduction of fuel imports and improvement in energy security



Increase in confidence and interest in wind energy technology



Improvement of electricity transmission lines, roads and infrastructures planned within the project boundary and improvement of electricity supply quality of the grid



Increase in knowledge and experience of local banks concerning renewable energy and similar projects



Contribution to development of a domestic wind energy industry by producing the principal equipments like blades and towers in Turkey

20



Improvement of technical adequacy of companies working in the wind energy sector and creation of high quality technical labor force

2. Environmental well-being: 

The project will not produce any emissions during electricity generation



Wind turbine basements have low area requirements as compared to other power plants having similar electrical production capacity; thus they do not reduce agricultural areas significantly.

Environmental impacts

Wind turbines do not generate any greenhouse emissions during electricity production. Emissions during construction and general maintenance works, transportation and assembly of equipment are negligible compared with emission reductions of the project. The project is in line with Turkish laws and related environmental regulations as well as with the requirements of Gold Standard. As a wind farm project, the project activity is not obliged by Turkish legislation to conduct an Environmental Impact Assessment (EIA). As mentioned above, the project leads to an improved environmental situation of the region, the country and the world. Decreasing carbon emissions will enhance air and climate quality. Renewable technologies, wind energy based electricity generation and sustainable development in general will be presented and promoted. As the biggest wind farm to be constructed in Turkey, the project will help to bring the wind energy subject into the political agenda, in parallel with sustainable development and corporate social responsibility issues. Furthermore, interest in clean, renewable energy will be promoted and support for similar projects will be enhanced.

21

The Sustainable Development Assessment Matrix

We would like to evaluate the projects against selected sustainable development indicators. The results shall demonstrate the projects’ contribution towards different aspects of sustainable development, assuring an overall positive effect. The sustainable development matrix assessment will be further explained and discussed during the local stakeholder meeting. Indicators will be scored from -2 to +2 with regards to the following scoring guideline:

-2: Major Negative Impacts

i.e. where there is significant damage to ecological, social and/or economic systems that cannot be mitigated through preventive (not remedial) measures.

-1: Minor Negative Impacts

i.e. where there is measurable impact but not one that is considered by stakeholders to mitigate against the implementation of the project activity or cause significant damage to ecological, social and/or economic systems

0: No, or negligible Impacts

i.e. there is no impact or the impact is considered insignificant by stakeholders

+1: Minor Positive Impacts +2: Major Positive Impacts

When completing the matrix, explanations shall be given for the scores applied to each individual indicator in the table above.

22 Sarıkaya Wind Farm Project Sustainable Development Assessment Matrix Component Indicators Local / Regional / Global Environment  Water quality and quantity  Air quality (emissions other than GHG)  Other pollutants (including, where relevant, toxicity, radioactivity, POPs, stratospheric ozone layer depleting gases)  Soil condition (quality and quantity)  Biodiversity (species and habitat conservation) Sub Total Social Sustainability and Development  Employment (including job quality, fulfilment of labour standards)  Livelihood of the poor (including poverty alleviation, distributional equity, and access to essential services)  Access to energy services  Human and institutional capacity (including empowerment, education, involvement, gender) Sub Total Economic and Technological Development  Employment (numbers)  Balance of payments (sustainability)  Technological self reliance (including project replicability, hard currency liability, institutional capacity, technology transfer) Sub Total Total

Score (-2 to +2)

Explanation

23

c) The Sustainable Development Assessment Questionnaire

The answers should be as brief as possible and should to refer to the scenario with the project implemented as compared to the situation without the project, but including other future development alternatives at the location. That means that the project should always be assessed against other possible scenarios that might occur in the absence of the project, having the current situation in the region as starting point. If there is a lack of space to answer the questions, please use additional pages.

24 Sarıkaya Wind Farm Project Sustainable Development Assessment Questionnaire

Name / Last Name:

.............................................................................

Organisation / Entreprise:

.............................................................................

Communication information: .............................................................................

Environmental Impacts 1. Will construction, operation or decommissioning of the project use or affect natural resources or ecosystems, such as land, water, forests, habitats, materials or especially any resources which are non-renewable or in short supply ? 2. Will the project involve use, storage, transport, production or release of substances or materials (including solid waste) which could be harmful to the environment? 3. Will the project release pollutants or any hazardous, toxic or noxious substances to air? 4. Will the project cause noise, vibration or release of light, heat energy or electromagnetic radiation that could adversely affect the environment? 5. Will the project lead to contamination of land or water from releases of pollutants onto the ground or into surface waters, coastal waters or the sea? 6. Are there any areas on or around the location which are protected under international or national or local legislation for their ecological value, which could be affected by the project? 7. Are there any areas around the location, which are sensitive for reasons of their ecology, e.g. wetlands, watercourses or other water bodies, the coastal zone, forests or woodlands, which could be affected by the project? 8. Are there any areas around the location which are used by protected, important or sensitive species e.g. for breeding, nesting, foraging, migration, which could be affected by the project? 9. Are there any underground waters around the location which could be affected by the project? 10. Is the project location susceptible to earthquakes, subsidence, landslide, erosion, flooding or extreme climatic conditions (e.g. extreme temperatures, fogs, severe winds and earthquakes which could cause the project to present environmental problems)? Other thoughts and suggestions:

Yes / No

Briefly describe

25 Socioeconomic and Health Impacts

11. Will the project involve use, storage, transport, production or release of substances (including solid waste) which could be harmful or risky to human health? 12. Will the project release pollutants or any hazardous, toxic or noxious substances that could adversely affect human health? 13. Will the project cause noise and vibration or release of light, heat energy or electromagnetic radiation that could adversely affect human health? 14. Will the project lead to contamination of land or water from releases of pollutants onto the ground or into surface waters, groundwater, coastal waters or the sea that could adversely affect human health? 15. Will there be any risk of accidents during operation of the project which could affect human health? 16. Will the project result in social changes, for example in demography, traditional lifestyles, employment? 17. Are there any areas around the location, protected or not under international, national or local legislation, which are important for their landscape, historic or cultural value, which could be affected by the project? 18. Are there any transport routes around the location which could be adversely affected by the project?

19. Is the project in a location where it is likely to be highly visible to many people?

20. Are there existing or planned land uses around the location e.g. homes, gardens, other private properties, industries, sport and community facilities, recreation areas and parks, public open spaces, plantations, forestry, tourism, mines or quarries which could be adversely affected by the project? 21. Are there any areas around the location which are densely populated or occupied by sensitive uses? (e.g. hospital, school, place of worship ) 22. Are there any areas around the location which contain high quality or scarce resources e.g. groundwater, surface waters, forestry, agriculture, fisheries, tourism, minerals, which could be adversely affected by the project? 23. Is the project location susceptible to earthquakes, subsidence, landslides, erosion, flooding or adverse climatic conditions e.g. temperature, fogs, severe winds, earthquakes, which could cause the project to present socioeconomic problems?

Yes/ No

Briefly describe

26 Other thoughts and suggestions:

Other questions 24. What is your relation with the project?

25. What are your expectations in this project?

26. What are possible effects of this project to your environment?

Briefly explain

27 d) The article about global warming, partially read in the meeting author Prof. Dr. Osman Demircan

GLOBAL WARMING We are living the month of February, but here in Canakkale it is still autumn. The weather is sunny, people are outside. The temperature is 15°C, you can walk just with your jacket. I don’t know whether you have been away from the city lately. Outside of Canakkale, when you walk around on fields, you do not see any mud. The soil is dry; the mud does not stick to your shoes. But everywhere is very green, because of dew and humidity; as if it is still autumn, just like in October. February has arrived, but the winter did not. One also notices something else at country side; almonds and plums trees have bloomed; tulips and daisies appear with all their beauty. It is like as if spring has come before winter did, as if we are in April. There is a time lag of three months in between; we skip the winter and catch the spring. Regular seasons have shifted by three months. However, in April valleys used to flow splashing, barrages used to be full. Now, valleys are dry, some of them completely dried out, barrages are empty. The situation is very different than previously years; the expected usual rain clouds are not there. If rains do not come in the coming two months, a lot of cities will experience water supply shortages this year. The reason of this climate change is global warming. Today, global warming is one of the most important problems the humanity is faced with. Global warming is the event of a gradual warming of the earth from year to year. This trend has become more easily identifiable and important. According to findings of various research centers, the average temperature of the world atmosphere has increased by 0.6 °C (±0,2 °C) in the 20th century. Although this rise seems little, it causes the change in the climate and directly

affects the humanity. If you pay attention to the form in the figure, the increase is exponential. If this increasing trend carries on, the average temperature increase will be minimum 2 °C at the end of 21st century. Considering the changes in climate we observe are a result of a change of 0.6 °C, one can imagine what a 2 °C rise can bring about. We read and watch the news every day regarding the events caused by global warming. Seasons have shifted; in many places of the world winters are being experienced more mildly. Meteorological events like rain, snow and storm are shorter but stronger. On the other hand, underground waters in our country are decreasing from year to year, rivers are getting dry, droughts are becoming more frequent, and glaciers melt. Surface temperature of oceans change. According to satellite estimations, water levels of oceans and seas are rising as a result of melting of glaciers. The second figure shows that the rise of water level is just 3 cm during the last 10 years. Nevertheless, it is expected that this level increase will reach one meter before 2100. Accordingly, cities on the shore will be flooded, and large areas will remain under the seas. Migration of 200 million people is expected because of this. It is known that the rise of greenhouse gases in the atmosphere causes the global warming. Some gases like carbon dioxide, water vapor and methane absorb sun radiation and prevent its reflection in the atmosphere, which results in excess warming of the earth surface This fact is named as the greenhouse effect because greenhouses are also being warmed up this way; sun beams enter the glass or nylon casing of the greenhouse and warm up the air inside but the heat generated in the greenhouse can’t pass out of the glass or nylon, causing a natural way of heating. Water vapor, being different from other greenhouse gases, is a variable that is not affected intensity by the radiation coming from the sun and does not have any additional heating effect on the planet’s atmosphere. However, other greenhouse gases are emitted from fossil fuel

28 combustion widely used by humans for covering its energy demand, therefore the greenhouse gas emissions by human activities increase as expected. For example, carbon dioxide is emitted to the atmosphere as a result of volcanic activities or fuels burnt. In recent years, the amount of carbon dioxide emitted to the atmosphere as a result of fossil fuel utilization has reached 8 billion tons per year. This fact increases average temperatures of the atmosphere forming global warming effects. After World War II, the earth population has increased by 2 times and energy consumption by 4 times. The concentration of carbon dioxide in the atmosphere that was 315 ppm/m 3 in year 1958, has reached 379 ppm/m3 in year 2004. United States, having 4 percent of the world population, accounts for 25 percent of global carbon dioxide emissions. Although 15 industrialized countries produce 97 percent of carbon dioxide emissions, rather poor countries are faced with adverse effects of global the warming. In 1979, 160 countries first met together in Kyoto, Japan, and have constituted the Kyoto Protocol. According to this protocol, industrial countries shall decrease their carbon dioxide emissions by 5% compared with their 1990 emission during the 2008-2012 period. Developing countries, however, have been hold exempt from these limiting conditions of this protocol because of their lower contribution to greenhouse gases emissions. Major responsible industrialized countries, especially United States, did not sign this protocol and did not fulfill the requirements. Emission amounts of any country are known. According to the protocol, industrialized countries exceeding their targets can pay carbon taxes to a fund as a penalty and this fund can be used in the development of developing countries. However, it must be known that contamination of the world by developing countries with higher carbon emissions shall not continue, since other countries also pay for the consequences and a form of sanction mechanism is necessary for developed countries. On the other hand, scientists continue studying the global warming and possible ways to overcome its negative effects. Predicted solutions can be listed as below:

1.) Rapid decrease of the usage of fossil fuels like coal, wood, fuel products and natural gas. 2.) Switching to clean geothermal energies.

energy

sources

like

wind,

solar,

3.) Using energy efficiently (the cleanest energy is saved energy) 4.) Expanding planted areas because green plants use carbon dioxide and generate oxygen. One hectare of greenfield (for example: forest) consumes 2 tons of carbon dioxide per year. In such a case, according to a study, 8 billion tons of annual carbon dioxide emissions can be consumed by 4 billion hectares of forest as a quick solution to global warming. Moreover, greenfield have another advantage for the humanity; they produce oxygen necessary for human life. According to calculations, 1 hectare of greenfield produces 1.4 ton of oxygen on average. It is the plants who produce all the oxygen on the earth and provide many opportunities for the living. The total area of lands on the earth is 34 billion hectares. If 1/9 of lands can be converted to greenfield, global warming problem would not be experienced. Decreasing precipitation also causes challenges in watered irrigation and development of new greenfield. Some scientists believe that development of forests may result in higher greenhouse generation as decomposition of forests’ organic matter would also increase greenhouse emissions, suggesting that forests cannot be a true solution for global warming by itself. There are some interesting point of views like spraying some chemicals into the atmosphere to change the permeability of the atmosphere against solar radiation or disposing great reflectors on satellites which would reflect some portion of solar radiation to the space, decreasing the global warming effects. Today, global warming has become one of the biggest problems and one of the most important agenda of the humanity. The issue of global warming is being discussed on every platform. The humanity, first of all industrialized countries, must solve this

29 problem, before earth becomes inhabitable. Otherwise, earth will continue to get warmer, droughts will be seen more frequently and ecosystems will be damaged. Agricultural areas will decrease, natural disasters like flooding and storms will soar,, temperature extremities resulting in very hot summers and very cold winters will be observed. Evaporation rates, air humidity, allergies, asthma and epidemic diseases will increase. Health problems will grow, epidemic diseases will become prevalent. Sea levels will escalate, many cities and countries will be submerged in water, and big emigrations will be seen. Many species will disappear. To solve the problem, each individual should be sensitive to this subject and should stay informed, make people conscious of this problem and contribute in terms of awareness raising to affect public opinions.

30

31 Annex V: List of Participants

32

PARTICIPANTS LIST Name

Institution / Community

1. ġaban DUBAZ

Kocaeli Village, ġarköy

2.ġaban URAL

Kocaeli Village, ġarköy

3.Selim GÖK

Kocaeli Village, ġarköy

4.Serap ALP

Environmental Education and Protection Association Founding Director

5.Emine GÜLERYÜZ

Environmental Education and Protection Association member

6.Ersin BULUT

Environmental Education and Protection Association member

7.Selver ÇAĞLI

Environmental Education and Protection Association member

8.Emel YAMAN

Environmental Education and Protection Association Director

9.Ahmet YILDIRIM

Kızılcaterzi Village

10.Hüseyin ERDEM

Kızılcaterzi Village

11.Osman ÖZBAġ

Kocaeli Village

12.Adil CĠVAN

Terziköy

13.Murat PERÇĠN

Terziköy

14.Oktay ÇAKIR

Terziköy

15.Hüseyin YENGEÇ

Terziköy

16.YaĢar TOPAL

Terziköy

17.Medine ELDEM

Environmental Education and Protection Association member

18.Hacer URAK

Environmental Education and Protection Association member

19.Ali Osman AKYÜ

Terziköy

20.Mehmet AKIN

Kızılcaterzi Village

21.Necmi ÖLKAN

Kızılcaterzi Village

22.Ahmet AKBAġ

Kızılcaterzi Village

23.Doğuka AKBAġ

Kızılcaterzi Village

24.Ġzzet SANDIK

Kızılcaterzi Village

25.Ömer BAKAN

Kocaeli Village

26.Nihat TELDÖKEN

Kızılcaterzi Village

27.YaĢar YAZICI

Kızılcaterzi Village

28.H.Selim DOĞAN

Kızılcaterzi Village

29.Ġbrahim AKIN

Kızılcaterzi Village

30.Orhan KÖSE

Kızılcaterzi Village

31.Hüseyin HATA

Kızılcaterzi Village

32.Mehmet AYTAN

Kızılcaterzi Village

33.Ġsmail ERGÜN

Kızılcaterzi Village

34.Yakup ÖNAL

Journalist (Sabah Newspaper)

33 Annex VI: Supporting Letters a)Greenpeace Supporting Letter

34 Annex VII: Questions Received & Answers Given Comments from the Questionnaire The questions which ask whether there is an expected negative impact in connection with the project have either been left blank or answered with a “No”, and these answers have not been included below for simplicity. The numbers in parentheses beside the comments refer to the commenter listed in the “Annex V: List of Participants”. The highlighted answers given in the questionnaire are quoted below: Environmental Impacts

Yes / No

Comment written

1. Will construction, operation or decommissioning of the project use or affect natural resources or ecosystems, such as land, water, forests, habitats, materials or especially any resources which are non-renewable or in short supply ?

Yes (3)

“That the project does not harm the nature and the forest in the vicinity.” (3)

2. Will the project involve use, storage, transport, production or release of substances or materials (including solid waste) which could be harmful to the environment?

Yes (3)

“It does not include hazardous wastes.” (7)

4. Will the project cause noise, vibration or release of light, heat energy or electromagnetic radiation that could adversely affect the environment?

“It will end up with positive results” (7)

Yes (1)

6. Are there any areas on or around the location which are protected under international or national or local legislation for their ecological value, which could be affected by the project?

Yes (1)

7. Are there any areas around the location, which are sensitive for reasons of their ecology, e.g. wetlands, watercourses or other water bodies, the coastal zone, forests or woodlands, which could be affected by the project?

Yes (3)

8. Are there any areas around the location which are used by protected, important or sensitive

“Forestry Maintenance Department” (3)

“There is a pine forest in the project area.” (10)

“A minimal impact can be the case on the fauna and the flora”

35 species e.g. for breeding, nesting, foraging, migration, which could be affected by the project? 9. Are there any underground waters around the location which could be affected by the project?

Yes (2)

10. Is the project location susceptible to earthquakes, subsidence, landslide, erosion, flooding or extreme climatic conditions (e.g. extreme temperatures, fogs, severe winds and earthquakes which could cause the project to present environmental problems)?

Yes (2)

Socioeconomic and Health Impacts

Yes / No

11. Will the project involve use, storage, transport, production or release of substances (including solid waste) which could be harmful or risky to human health?

Yes (1)

16. Will the project result in social changes, for example in demography, traditional lifestyles, employment?

Yes (3)

“It will create employment opportunities to the local communities” (11)

Yes (2)

“It is aforestation area” (3)

17. Are there any areas around the location, protected or not under international, national or local legislation, which are important for their landscape, historic or cultural value, which could be affected by the project? 18. Are there any transport routes around the location which could be adversely affected by the project? 19. Is the project in a location where it is likely to be highly visible to many people?

“It is located on the earthquake zone.” (7) “Şarköy is located in earthquake zone.” (11)

Comment written

“There might be in the future” (7)

Yes (1)

Yes (3)

“Transportation is working normally, the port will be helpful as well” (7) “The project will built on a high hill.” (11) “It will be good for whole of Turkey.” (7)

36 20. Are there existing or planned land uses around the location e.g. homes, gardens, other private properties, industries, sport and community facilities, recreation areas and parks, public open spaces, plantations, forestry, tourism, mines or quarries which could be adversely affected by the project?

“There is pine forest” (10) Yes (2)

“The gardens and plantations will not be affected” (7)

22. Are there any areas around the location which contain high quality or scarce resources e.g. groundwater, surface waters, forestry, agriculture, fisheries, tourism, minerals, which could be adversely affected by the project? 23. Is the earthquakes, flooding or temperature, which could socioeconomic

project location susceptible to subsidence, landslides, erosion, adverse climatic conditions e.g. fogs, severe winds, earthquakes, cause the project to present problems?

Other questions 24. What is your relation with the project?

“The surrounding is pine forest.” (11)

“Forests, plantations and tourism will be affected positively.” (7)

Yes (2)

“The location is on the earthquake zone.” (7) “Only Şarköy is on the earthquake zone.” (10)

Comment “It will free Turkey from its foreign dependencies and is a cheap energy source.” (3) “I live in the vicinity.” (11) “I am from the local community.” (10) “I live in Terziköy.” (12) “Just as a citizen and friend of the environment.” (7)

25. What are your expectations in this project?

“Contribution in terms of economy and tourism.” (3) “New employment opportunities for local people.” (11) “Provision of cheap, environmentally friendly energy by the utilization of domestic resources in order to cover the energy shortage of Turkey.”

37 “New jobs in the region.” (10) “I want to be employed for the project.” (12) “I believe it is good as an alternative to energy generation from natural gas.” (7) 26. What are possible effects of this project to your environment?

“It will affect positively.” (3) “Compared with its positive contributions, its negative dimensions are negligible” (M. Kemal Bahadır) “It will create a more civilized and developed structure, I wish success.” (7)

Other Comments

“As a suggestion regarding the technical limitation for the installed capacity in our region, would it be possible to bypass of the transformer station limit by using another station in the vicinity? I wish success.” (7)

38 Oral Comments Questions

Answers given in the meeting

You mentioned that 10% share of wind energy in the total energy mix in Turkey would be a significant success. Why would be more than that not possible, are the natural conditions not sufficiently good? (7)

Considering overall investment conditions in Turkey and comparing them with Europe where incentive mechanisms are good, we observe that we have a long way ahead of us to go. Taking natural gas as an example, investment cost is much less than a wind farm and sales in the market is possible. However international fuel prices are rising. When we started this business, people advised us to build natural gas power plants, but it had its own risks and today the generation costs are higher. Europe provides good incentives and support mechanisms to wind energy, the prices are high enough, therefore the investment atmosphere for wind farms is welcoming. In Turkey, however, incentives are far from what we believe is necessary, furthermore technical limitations such as transmission lines and transformator stations beside others set certain thresholds for the total capacity of wind farms which can be erected. In terms of natural conditions, Turkey comes in the 2nd rank after UK in Europe.

What is the shareholder structure of the company? (7)

The project is owned by Alize Enerji Elektrik Üretim A.ġ., of which nearly all the shares belong to Demirer Enerji Üretim Ticaret A.ġ., a Turkish company. It has produced cables from 1970ies until 1997, when it ceased its cable business and started solely with wind energy. It has played the leadership role since then, they built the ever first wind farm of Turkey with 1,5 MW, after which the ca. 10 MW Bozcaada wind farm came into operation. And here we are.

Can the government not take the necessary steps to promote renewable energies by giving better incentives or by punishing conventional technologies? (7)

Clearly, we have a long way to go. We planned our Datça wind farm project in 1997, and only this year we were able to realize it because of various reasons. Similary for this project, we started our wind measurements in 1997 and this year we were able to proceed this far. The Renewable Energy Law came into force in 2005, providing some positive conditions. However, electricity prices do matter and the market is very competitive. This law ensured that renewable energies are bought by TEDAġ and TEĠAġ at a guaranteed price. Wind farm projects are expensive investments, they are technological and we have to build sophisticated structures on hardly accessible regions by first constructing the roads and then the project itself.

Is the project location privately owned,

We cannot know exactly the land allocation as the micrositing is still going on, but overall the

39 or is it a forest area? Where will be the generated electricity supplied to? (7)

project is located on public forestry land.

We know the contribution of wind farms to tourism based on the Bozcaada example. However, I wonder why the project name is not ġarköy although it is located there. Would not it be more appropriate to name the project as ġarköy wind farm project? (34)

It is possible that another company builds a second wind farm in ġarköy. Therefore we preferred not to use the general name but a more specific location name, Sarıkaya.

We have heard that the project will be located on forestry area, is this true? Will the project harm the forest and trees? (34)

For this very project, we consider to rent an area of 40-45 hectares. A very small portion of this area will be covered by wind turbines and roads, most of it being untouched and accessible to people without any fencing. We have to leave a certain distance between each turbine because of technical reasons. We have to remove the trees which coincide with the basement of the wind turbines, which will be very limited. Trees do not grow very high and dense because of the strong winds anyway. The roads will be planned and constructed with utmost respect to trees to minimize it. Furthermore, we pay the necessary fees to the government, which is then used for aforestation of other areas.

What will be the the improvements in terms of roads and employment? (34)

We prefer to choose our employees from the project area, so that they can regard the project as their own. Proximity is also an advantage. If there are technical staff available in the surrounding communities, we are planning to hire them. Besides, we will employ a couple of security guards. I believe we have already found a technical employee from the vicinity and in total we foresee to employ around 10 people for this project.

Would the project affect migrating birds negatively? The migratiion routes in Saroz are at low altitudes.

There are few reported bird deaths as a result of wind turbines, whereas millions of birds die as a result of buildings, traffic and cats. For our Datça project, a professor from Hacettepe University prepared a study analysing migration routes and concluded that these routes are at altitudes of 300-500 m, much higher above than wind turbines. Only local birds fly low, and they learn and adapt very fast, therefore the impact is negligibly small.

We are required to supply the generated electricity to the national grid, unfortunately we cannot give it to the nearest villages.

(Terziköy Village Headmen: “It is true that the location is locally named as Sarıkaya.”) However, would a second wind farm not possible as a result of various reasons, we would be willing to use the general name as we did for our Datça project. We believe that the name by itself has a limited impact on tourism.

40

Would the project generate noise?

The wind energy technology has developed much in recent years. Noise level is related to wind speed, at higher speeds the blades generate a air-cleaving sound, whereas mechanical noise is minimum. The noise is at acceptible limits in 200 m distance from the wind turbine.

How are the costs?

In terms of investment costs, I do not know the current actual figures. With older figures, a natural gas would be built with 650-700 thousands of YTL per MW installed capacity, whereas this figure is around 2 million YTL for a wind farm. Total budget for this project is around 60 million YTL.

How many people will be employed in total?

For another project, Intepe wind farm project, we hired 1 site manager, 3 technical staff and 4 guards. For this project, we foresee a team consisting of 7-11 people.

Would the project have any harm to the two nearest villages?

The project would have no such impact on the villages. For our former projects, local people are thanking us. Our project is not very near to the villages, however it would not pose any real threat even it would be nearer.

When will the project start?

Tekirdağ province as a whole consumes around 3 billion kWh electricity annually. Our project will generate around 96,3 million kWh, in other terms approximately 3% of Tekirdağ’s demand. If everything goes well, we would be able to receive the land in September, after which we would be able to start with road construction. If the project gets realized, the turbines would arrive in the first quarter of 2009, meaning a start of generation in one year time.

Is the license obtained?

We changed the turbines to be used for the project and therefore have applied for license amendment. We expect to receive our amended new license this week.

What is the wind potential in Turkey?

Technically, the potential is as high as 40.000 MW installed capacity, however we believe that a total capacity of 10.000 – 20.000 MW would be a very satisfying target.

41 And what about other energy alternatives?

renewable

PV is expensive right now and requires very high incentives. Geothermal projects can be possible if technical conditions can be met properly. For wind, it is similar.

What would be the distance between two turbines?

For this project, the strong winds are southwest and northeast winds. As a result of local landscapes, the turbines will have to be put one after another. In this case, the distance between each of them would be 700 m. That is why we need a big project area.

42 Annex VIII: Minutes of the Meeting MEETING MEMORANDUM May 23rd, 2008 Dear Sir, I want to thank you for the meeting on May 20th, Tuesday in Tekirdağ regarding Sarıkaya Wind Farm Project. Countries are heading towards using renewable energy resources for covering rapidly growing energy needs. We also observe that there is a positive trend in recent years towards renewable energy technologies in Turkey. I was able to see the Bozcaada wind farm project, owned by Demirer Holding, as well and I was glad to see its contributions to the environment, nature and our economy. As a journalist and member of an environmental association, it makes me happy to see a wind farm being realized in Şarköy, where I am living. During the meeting on May 20th, we have been informed about technical aspects. We, as Şarköy Nature and Environment Protection Association, will carry on supporting the project, as long as the Sarıkaya Wind Farm project continues operating environmentally friendly. As a journalist, I will try to inform the public about the project and developments through the national newspaper I am working for, as well as the local newspaper and to communicate the environmental contributions of wind farms to the nature and economy as an energy source. Yakup Önal Sabah Newspaper, Şarköy reporter Şarköy Nature and Environment Protection Association, member [signature]