The next one is the station: Moscow is looking for a buyer for its share in Akkuyu NPP

Turkey and the Russian Federation are discussing the possibility of selling the Russian share of the Akkuyu NPP, Deputy Minister of Energy and Natural Resources of the Republic Zafer Demirjan told Izvestia. Rosatom confirms that the company is ready to sell up to 49% of shares to a potential investor, as stipulated in the 2010 agreement. The state corporation can invest the proceeds in the construction of a new nuclear power plant, for example, in Sinop, experts say. How Russia and Turkey are developing nuclear cooperation is in the Izvestia article.

Russia is preparing to sell its stake in Akkuyu NPP

Russia remains open to the possibility of selling its stake in the Akkuyu nuclear power plant project jointly with Turkey, Izvestia found out.

— There are some talks about this, but no concrete steps have been taken in this direction. There are only reflections. Everything will depend on the conditions," Turkish Deputy Minister of Energy and Natural Resources Zafer Demirjan told Izvestia.

Akkuyu NPP is a flagship Russian-Turkish project. It brings mutual economic benefits and contributes to strengthening the multifaceted and mutually respectful partnership between our two countries, Alexey Ivanov, Charge d'affaires of Russia in Turkey, tells Izvestia. Russian and Turkish nuclear specialists, engineers, and workers are working together in a coordinated and friendly manner, thanks to which the construction of the nuclear power plant is in full swing, the diplomat said.

Rosatom made its first attempt to sell a 49% stake in the project back in 2018. The potential buyer at that time was the Turkish consortium Cengiz-Kolin-Kalyon. Nevertheless, the deal did not take place. As Alexey Likhachev, the head of Rosatom, later said, foreign investors "simply turned out to be unprepared to talk on the scale of such figures." In July of this year, the news about the Russian side's plans to sell its stake in the project, the total cost of which is estimated at $20 billion, appeared in the press again.

— The possibility of selling a stake of up to 49% in the Akkuyu NPP project to external investors — one or more companies — is provided for by the terms of the intergovernmental agreement between Russia and Turkey on the joint implementation of the project, signed on May 12, 2010. Our willingness to sell our stake in the project is not news, but a given, established by the agreement that laid the foundation for the implementation of the project. Under the terms of the same agreement, at least 51% of the project will belong to the Russian side throughout its entire life cycle, the Rosatom press service told Izvestia.

As the project progresses, the issue of selling shares to investors attracts more attention, and the interest of potential buyers is growing, this is a natural process, the state corporation emphasized.

— Rosatom is open to discussing the participation of a potential investor or investors in the project and takes a balanced approach to choosing the optimal configuration, taking into account the subsequent long-term partnership. Negotiations with potential investors are continuing, including with companies from the Republic of Turkey. In any case, investors will need to be approved by the Turkish side in order to enter the project, this condition is also specified in the intergovernmental agreement, Rosatom noted.

The Akkuyu NPP project is important primarily for Russia from an economic point of view, says Yashar Niyazbayev, an expert on Turkey. According to the "build—own—operate" model, Rosatom owns and operates the plant and will sell electricity to Turkey at fixed tariffs for several decades.

— Such a scheme strengthens Moscow's ties with Ankara, one of the key NATO countries. It is important that Turkey itself assesses Akkuyu as a guarantor of security in bilateral relations and strengthening strategic partnership. In addition, constant contacts and connections around the project open up opportunities for new cooperation and new joint initiatives," believes Yashar Niyazbayev.

Development of relations between Russia and Turkey in the energy sector

The construction of Akkuyu is coming to an end, and the first reactor of the nuclear power plant is scheduled to be launched next year. The closer to completion, the more expensive it is possible to sell the Russian share, and this, in turn, will cover the money invested in the project, explains Boris Martsinkevich, editor-in-chief of the online magazine Geoenergetics Info.

At the same time, the sale of the stake in Akkuyu gives Rosatom the opportunity to invest the proceeds in a new project in the republic. Moreover, Ankara is interested in this, it needs at least 12 classical reactors and small modular reactors, the head of the Ministry of Energy of the Republic of Alparslan Bayraktar said on October 15.

— Negotiations are currently underway on the construction of the next nuclear power plant in Turkey. The money can be invested in the next project," explains Boris Martsinkevich.

If necessary, Russia could invest the proceeds from the deal in a nuclear power plant construction project in Sinop, Turkey, says Yuri Mavashev, an orientalist and lecturer at the Department of World Politics and World Economy at the RANEPA Institute of Management.

— It is extremely important for our country to establish its position in the Turkish market, as this is a guarantee for the future that other Eastern countries will see a consistent course, will see our ability to finish what we started. Besides, Turkish consumers need our energy," the expert says.

Projects with Turkey are being implemented, among other things, to strengthen Russia's influence on NATO's southern flank. The presence of this kind of interaction is a visible signal of discord within the alliance, says Yashar Niyazbayev. According to him, the United States and a number of European countries criticized Akkuyu and other Russian-Turkish projects (for example, the Turkish Stream, the purchase of the S-400), but could not stop them.

Despite the fact that the partnership between Russia and Turkey in the energy sector is of a strategic nature, the interaction between the countries is not limited solely to the construction of nuclear facilities.

— Russia continues to be one of the main suppliers of natural gas to Turkey. As for LNG exports, Russia has the appropriate willingness and interest. This topic, in particular, was discussed during the 19th meeting of the joint Russian-Turkish intergovernmental commission on trade and economic cooperation, which took place in Moscow in June. At the same time, it is worth noting that the Turkish Stream and Blue Stream main gas pipelines continue to operate at full capacity," added Alexei Ivanov, Charge d'affaires of Russia in Turkey.

Moscow and Ankara are also actively cooperating in the trade, economic, financial and banking spheres, as well as in information technology. Over the past five years, the trade turnover has increased 2.3 times, while a significant part of the payments are made in national currencies.