Russian state nuclear energy corporation Rosatom has announced its intention to take legal action against Siemens, accusing the German company of refusing to deliver prepaid equipment essential for Türkiye's first nuclear power plant.
Türkiye had to delay the opening of Akkuyu’s first reactor after Siemens Energy withheld some parts scheduled for the nuclear power plant Rosatom is constructing near the Mediterranean port city of Mersin.
That included the equipment for a gas-insulted substation that is needed to transmit power from the plant to the electric grid.
Türkiye appealed to Germany, but the withheld parts problem remained unresolved, prompting Rosatom to place an alternative order with China to keep construction on schedule.
Siemens had "demonstratively declined to provide equipment that has already been manufactured and paid for," Rosatom General Manager Aleksey Likhachev said on Monday.
Likhachev emphasized that the refusal has led to additional costs for acquiring replacement equipment and adjusting project timelines.
“Lawsuits will be filed. The non-delivery of pre-paid equipment has not only delayed progress but also incurred extra costs for procurement and installation,” he told an interview with Rossiya 24.
Siemens Energy gave no official reason for withholding the parts, but Energy and Natural Resources Minister Alparslan Bayraktar said the company said Türkiye understands that it could be related to sanctions on Russia over its invasion of Ukraine.
Bayraktar called it a political decision "on an issue that is not subject to any international sanctions, financing or legal problems."
“Over 90% of the first reactor’s construction is complete, but Siemens’ failure to supply equipment and parts used in the substation that transmits electricity. The company must face consequences,” the minister had said.
Maintaining close ties with both Moscow and Kyiv, Türkiye opposes the European and U.S. sanctions on Russia, which were imposed after its 2022 invasion of Ukraine.
Officials have said Türkiye could consider fines against Siemens Energy over the cancellation, even though it has worked with the German company for years.
The $20 billion, 4,800 megawatts (MW) Akkuyu plant will bring Türkiye into the small club of nations with civil nuclear energy.
Rosatom has been building the plant under an agreement with Ankara dating back to 2010.
Once fully operational, the four-reactor plant will meet one-tenth of Türkiye's electricity needs and prevent the annual import of 7 billion cubic meters of natural gas and 35 million tons of carbon emissions, according to authorities.
Türkiye plans to launch trial production of the first reactor in the coming months.
It had initially planned to start up the first unit in 2023. The remaining three reactors are expected to come online by the end of 2028.
Türkiye has limited oil and natural gas resources and has been investing in explorations for hydrocarbon resources and renewable sources like wind and solar for over a decade to meet its increasing electricity demand.
It seeks to integrate cleaner resources, which also play an important role in reaching Türkiye's 2053 net zero emission target, into its energy mix and curb external dependency.
Türkiye plans to build at least three nuclear power plants for 15,000 MW of nuclear generation capacity. It plans a second one in the Black Sea province of Sinop and a third in the northwest region of Thrace.
It looks to complement these with up to 5,000 MW of small modular reactors (SMRs) to diversify its electricity production mix.
