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Home › Dodgy Deals ›
Dodgy Deal
Emba Hunutlu coal power plantTurkey

Project – On record

This profile is no longer actively maintained, with the information now possibly out of date
Contact:

climate@banktrack.org

Last update: 2022-04-11 00:00:00
Visual of the planned Emba Hunutlu coal power plant. Photo: Embapower.com

Project – On record

This profile is no longer actively maintained, with the information now possibly out of date
Contact:

climate@banktrack.org

Last update: 2022-04-11 00:00:00
Why this profile?

Why this profile?

The Emba Hunutlu coal power plant is planned at a biodiversity protection zone and faces local and national opposition due to its pollution, health, environmental, and climate impacts.

What must happen

The Paris Climate Agreement goals require a managed decline of fossil fuel production. The construction of new coal-fired power plants is not compatible with this goal. Banks must immediately stop financing new coal-fired power plant developments anywhere in the world. As such, banks should steer clear of financing the Emba Hunutlu coal power project.

About
Sectors Coal Electric Power Generation
Location
Status
Planning
Design
Agreement
Construction
Operation
Closure
Decommission
Website http://embapower.com/#project

The Emba Hunutlu project is a planned 1,320MW coal power plant in Yumurtalik, at the Iskenderun Bay area, district of Adana in Turkey. The project received its permit in 2015, the first phase of operation is planned for the end of 2021. However, the project is still struggling to secure all funding. The project's sponsor, Emba Electricity Production, is a joint venture between China's Shanghai Electric Power (78.21%), Avic-International Project Engineering Company (2.99%), and two private persons: Mete Bülgün, CEO of the EMBA Electricity Production Company (9.4%), and Adnan Demir (9.4%). The project is expected to cost USD 1.7 billion and is announced as China's largest direct investment in Turkey.

The coal power plant is assumed to be partially commissioned between January and April of 2022.

Impacts

Impact on human rights and communities

Iskenderun Bay in the south-east Mediterranean region of Turkey is a highly populated area with metropolitan cities such as Adana, Mersin and Hatay. The total population of the Cukurova Region with all four provinces is almost six million. The region is expected to grow from migration from within Turkey and Syria. The region also hosts seasonal agricultural workers. The major economic activity is agriculture, due to the optimum climate conditions, geographical features, soil fertility, and irrigation opportunities.

6.8% of Turkey’s total added value of the agricultural sector comes from Adana and Mersin’s agricultural production, and the Erzin district of Hatay is home to 20% of the citrus production of the entire country. However, the area is getting more and more polluted due to heavy industrial infrastructure projects. Any new coal projects to operate in Iskenderun Bay, including Emba Hunutlu, will have a major impact on the primary agricultural activity of the local communities.


Impact on climate

Over its projected life span the Emba Hunutlu coal power plant would be responsible for emitting about 207.44 million tonnes of CO2. Studies on heavy metal contents of soil, water and animals in the larger Iskenderun Bay region have given adequate evidence to conclude that the region has already serious pollution burden due to industrial and agricultural activities. If new coal power plants are built as planned, this would add to this environmental impact and associated burden of disease in the region.


Impact on nature and environment

Biodiversity  protection The area where the Hunutlu power plant is planned in Yumurtalık is a biodiversity hotspot with reproduction zones of marine turtles which are protected by international conventions. The area is internationally protected by the Convention on Biological Diversity (1992) to which both China and Turkey are parties, as well as the Bern Convention on Conservation of European Wildlife and Natural Habitats (1979), especially regarding preservation of Caretta caretta and Chelonia mydas reproduction areas and population. The site is protected by the circular of 2009/10 on the protection of sea turtles. The project poses severe risks to these protected species not only via coal shipments and delivery, but also its cooling water discharges.

This project violates four Banks and Biodiversity No Go Policy Areas:

  • Area 1: The Turkish government has designated 21 beaches as sea turtle conservation sites, per the conservation circular drafted with reference to the Bern Convention in Turkey.
  • Area 2: The coal plant is located in a protected area recognized under Turkish law,  per Circular no. 2009-10 on the Protection of Sea Turtles. This law recognizes and protects the existence of both turtle species in this area, and thus does not allow for power plant construction within the area. However, the coal plant spans across 41 hectares, which directly overlaps and surrounds sea turtle nesting sites. 
  • Area 3: The Emba Hunutlu coal plant is located in an area with both endemic and endangered species.
  • Area 6: Turkish law Circular No: 2009/10 formally recognizes and protects coastlands for nesting turtle sites, in accordance with the Bern Convention and states the conditions of the Convention regarding those sites.

Air pollution In June 2020, CREA (Centre for Research on Energy and Clean Air) released a report about the air quality and health impacts of the proposed EMBA Hunutlu coal power plant. When operational, the Hunutlu plant would together with already operating coal power plants in the area, put 100,000 people in the Iskenderun Bay area at risk of pollution concentrations exceeding the WHO guidelines. The EMBA Hunutlu plant is projected to cause 2,000 air-pollution related deaths over its 40-year lifetime. Other projected health impacts from the report include 15,8 million sick days, 1,9 million lost working days, 240,000 days of asthmatic and bronchitic symptoms in children and 10,000 hospital admissions.

Financiers

The project will be funded by 20% equity and 80% debt. The debt (USD 1.381 billion) is financed by a 15 year loan from three Chinese banks: China Development Bank, ICBC and Bank of China. See below for more details.

Shanghai Electric Power and Avic International are funded by a group of (mainly Chinese) banks. Below are listed loans and underwriting services between 2010 and 2016 to these companies.

Institution type
Finance type
Year
Companies

Project sponsor

Emba Electricity Production

Turkey
Website
No companies

Other companies

Avic International Holding Corporation

China
Website

ESI Eurosilo

Netherlands
Website

Mor Group

Turkey
Website

Shanghai Electric Power Company

China
Website
No companies
Governance
Bank policies
Norms & standards
The following bank investment policies apply to Emba Hunutlu coal power plant:
Bank of China
2021-07-22 00:00:00

Guidelines on environmental information disclosure for financial institutions

Bank policy
2021-07-22 00:00:00 | People's Bank of China
2021-09-14 00:00:00

Environmental and social responsibilities

Bank policy
2021-09-14 00:00:00 | Bank of China
China Development Bank
2021-07-22 00:00:00

Guidelines on environmental information disclosure for financial institutions

Bank policy
2021-07-22 00:00:00 | People's Bank of China
China Merchants Bank
2021-07-22 00:00:00

Guidelines on environmental information disclosure for financial institutions

Bank policy
2021-07-22 00:00:00 | People's Bank of China
Industrial Bank
2021-02-19 00:00:00

Environment and social risk management system

Date listed represents date as accessed on website
Bank policy
2021-02-19 00:00:00 | Industrial Bank
China Construction Bank
2021-07-22 00:00:00

Guidelines on environmental information disclosure for financial institutions

Bank policy
2021-07-22 00:00:00 | People's Bank of China
2021-04-01 00:00:00

Green, Social, Sustainability and Sustainability-Linked (“GSSS”) Bond Framework

Bank policy
2021-04-01 00:00:00 | China Construction Bank
Bank of Communications
2021-07-22 00:00:00

Guidelines on environmental information disclosure for financial institutions

Bank policy
2021-07-22 00:00:00 | People's Bank of China
China Everbright Bank
2021-01-18 00:00:00

Environmental policy

Date listed represents date as accessed on website
Bank policy
2021-01-18 00:00:00 | China Everbright Bank
2021-07-22 00:00:00

Guidelines on environmental information disclosure for financial institutions

Bank policy
2021-07-22 00:00:00 | People's Bank of China
Industrial and Commercial Bank of China (ICBC)
2021-07-22 00:00:00

Guidelines on environmental information disclosure for financial institutions

Bank policy
2021-07-22 00:00:00 | People's Bank of China
China Minsheng Bank
2021-07-22 00:00:00

Guidelines on environmental information disclosure for financial institutions

Bank policy
2021-07-22 00:00:00 | People's Bank of China
Ping An Bank
2019-08-12 00:00:00

Low carbon business and operation policy

Bank policy
2019-08-12 00:00:00 | Ping An Group
Commerzbank
2020-04-06 00:00:00

Position on climate change

Date listed represents date as accessed on website
Bank policy
2020-04-06 00:00:00 | Commerzbank
2022-01-17 00:00:00

Policy framework for handling environmental and social risks in its core business

Bank policy
2022-01-17 00:00:00 | Commerzbank

Applicable norms and standards

Convention on the Conservation of European Wildlife and Natural Habitats (Bern Convention)
Guidelines for Ecological Environmental Protection of Foreign Investment Cooperation and Construction Projects
Net-Zero Banking Alliance (NZBA)
OECD Guidelines for Multinational Enterprises
Principles for Responsible Banking (PRB)
United Nations Convention on Biological Diversity
United Nations Global Compact
News
BankTrack
Partners
Blog
External
BankTrack news BankTrack blog Partner news Partner blog

Commerzbank pushes for coal phase-out by 2030

2021-12-14 | Clean Energy Wire
BankTrack news BankTrack blog Partner news Partner blog

Turkey softens coal import restrictions

2021-10-21 | Argus Media
Blog
BankTrack news BankTrack blog Partner news Partner blog

Banks called upon to take action to protect biodiversity ahead of UN Biodiversity Conference in Kunming

Civil society organizations urge banks to adopt stringent “No Go” policy for biodiversity rich areas
2021-05-26 | Nijmegen | BankTrack
BankTrack news BankTrack blog Partner news Partner blog

Turkish bank to stop funding coal projects

2021-03-25 | Argus Media
Blog
BankTrack news BankTrack blog Partner news Partner blog

Banking on Climate Chaos 2021: World’s 60 largest banks have poured USD 3.8 trillion into fossil fuels since Paris Agreement

Even amidst the global economic downturn, fossil fuel financing numbers were higher in 2020 than 2016
2021-03-24 | Nijmegen | BankTrack, Indigenous Environmental Network, Oil Change International, Rainforest Action Network, Reclaim Finance, Sierra Club
BankTrack news BankTrack blog Partner news Partner blog

China's stillborn coal investment in Turkey

2021-01-14 | Climate action network Europe
BankTrack news BankTrack blog Partner news Partner blog

Coal Pushers

With a domestic glut, China is bankrolling coal projects abroad — even as the rest of the world cuts back and China pledges to go carbon neutral
2020-09-27 | The Wire China
BankTrack news BankTrack blog Partner news Partner blog

More than 20 Turkish NGOs demand withdrawal of finance by Chinese banks to the Hunutlu coal-fired power plant

More than 20 NGOs including East Mediterranean Platform of Environment Associations, the Chamber of Doctors in Adana, Chamber of Agricultural Engineers in Adana, 350.org, Climate Action Network Europe (CAN Europe), Ekosfer, Greenpeace Mediterranean, Health and Environment Alliance (HEAL), and Yuva Association called Chinese banks to withdraw their financial support to the Hunutlu coal-fired power plant that is being constructed in the Yumurtalik District of Adana, Turkey
2020-06-09 | Climate Action Network Europe
BankTrack news BankTrack blog Partner news Partner blog

Sweet dreams are made of this: Turkey’s coal to disagree

2019-07-09 | 350.org
BankTrack news BankTrack blog Partner news Partner blog

Turkey will offer 500 coal mines to investors

2019-05-27 | Ahvalnews.com
BankTrack news BankTrack blog Partner news Partner blog

HEAL, WWF-Turkey, TEMA Foundation, CAN Europe, and Eastern Mediterranean Environmental Protection Platform press release

(in Turkish)
2019-04-30 | TEMA
BankTrack news BankTrack blog Partner news Partner blog

Multiple coal deals emerge from China’s ‘green’ investment summit

2019-04-29 | Climate Home News
BankTrack news BankTrack blog Partner news Partner blog

Koruma altındaki kumsala Çin’den termik santral

2019-04-26 | T24.com.tr
BankTrack news BankTrack blog Partner news Partner blog

Chinese private company wants to build a coal power plant on protected beach in Iskenderun Bay, Turkey

2019-04-25 | HEAL
BankTrack news BankTrack blog Partner news Partner blog

Why new coal in Turkey and the Balkans will test China’s and EU’s climate leadership

2018-06-28 | Euractiv
BankTrack news BankTrack blog Partner news Partner blog

Why new coal in Turkey and the Balkans will test China’s and EU’s climate leadership

2018-06-19 | Euractiv.com
BankTrack news BankTrack blog Partner news Partner blog

Chinese Enterprise Won the Bidding of EPC Contract for Turkey 2 x 660 MW Hunutlu Thermal Power Plant Project

2017-11-07 | AOCOMM (via LinkedIn)
BankTrack news BankTrack blog Partner news Partner blog

Chinese Enterprise Won the Bidding of EPC Contract for Turkey 2 x 660 MW Hunutlu Thermal Power Plant Project

2017-11-07 | LinkedIn
BankTrack news BankTrack blog Partner news Partner blog

Close cooperation on Belt and Road to fuel Chinese investments in Turkey

2017-10-27 | The Daily Sabah
BankTrack news BankTrack blog Partner news Partner blog

Thermal power plant worth $1.7B to be established in Adana

2017-10-26 | Daily Sabah
BankTrack news BankTrack blog Partner news Partner blog

China’s role in Turkey’s energy future

2017-09-26 | Chinadialogue.net
BankTrack news BankTrack blog Partner news Partner blog

French company cancels energy project in Turkey after local, global protests

2015-10-21 | Hurriyet Daily News
Resources
Documents
Videos
Links
2021-12-31 00:00:00

Turkey 2021 Energy Policy Review

Other document
2021-12-31 00:00:00 | International Energy Agency
2021-11-01 00:00:00

First Step in the Pathway to a Carbon Neutral Turkey: Coal Phase out 2030

NGO document
2021-11-01 00:00:00 | Europe Beyond Coal, Climate Action Network, SEFiA, WWF-Turkey, 350.org, Greenpeace Mediterranean and Climate Change Policy and Research Association
2021-12-31 00:00:00

World Energy Outlook 2021

Annual report
2021-12-31 00:00:00 | International Energy Agency
2021-04-11 00:00:00

Feasability of coal in the age of renewable energy: Hunutlu thermal power plant case

NGO document
2021-04-11 00:00:00 | Climate Action Network Europe
2020-06-15 00:00:00

Air Quality and Health Impacts of the Proposed EMBA Hunutlu Coal Power Project

NGO document
2020-06-15 00:00:00 | CREA - Centre for Research on Energy and Clean Air
2016-04-30 00:00:00

Coal report - Turkey's coal policies related to climate change, economy and health

Other document
2016-04-30 00:00:00 | Istanbul Policy Center
2018-12-27 00:00:00

Turkey’s 21st Century Coal Rush

Other document
2018-12-27 00:00:00 | Global Business Reports
2016-09-26 00:00:00

Tendering notice

Company document
2016-09-26 00:00:00 | Emba power
2014-05-31 00:00:00

The Unpaid Health Bill

How coal power plants in Turkey make us sick
NGO document
2014-05-31 00:00:00 | Health and Environment Alliance (HEAL)
2017-08-31 00:00:00

Coal & Climate Change - 2017

NGO document
2017-08-31 00:00:00 | Önder Algedik

Banking on Climate Chaos Case Study: EMBA Hunutlu Coal Plant

2022-03-17 16:40:34

Sourcewatch profile on Emba Hunutlu

Turkey and coal

Overview of Turkey and coal, by Global Energy Monitor.

Clean Air For Adana

Iskenderun Bay in Turkey has been surrounded by intense polluters. We do not want the currently-under-construction Hunutlu coal-fired thermal power plant in the region, but clean air for Adana!

Petition | No More Coal Plants in Adana! #CleanAir4Adana

The Hunutlu Coal fueled power plant to be constructed at Adana Sugözü beach threatens public health. While health risks due to polluted air are once again on the agenda together with the Covid-19 crisis, air pollution causes approximately 52,000 premature deaths every year in Turkey.

Chinese banks and companies are now the only foreign investors in coal development in Turkey. Finance of the construction of the power plant must be halted immediately.

Updates

2022

2022-03-22 00:00:00 | Turkey's current trajectory falls short of its commitments to Paris Agreement

Earlier in 2021 Turkey endorsed the Paris Agreement to limit climate change, but as of October 2021 policy was still to increase domestic coal share in the energy mix, and planned increases in coal power were forecast to increase CO2 emissions. Turkey's Paris Agreement Pledge - or nationally determined contribution - on its greenhouse gas emissions needs to be updated to meet the agreement.

2020

2020-02-17 00:00:00 | Expert report related to lawsuits against port and plant construction published

An expert investigation was published in February 2020. The featured arguments from the report say in summary:
 
  • The construction plans for sea and land are not compatible with each other, and together these plans are contrary to the İskenderun Bay (Adana-Mersin-Hatay) Integrated Coastal Areas Plan's relevant principles;
  • In the EIA reports and other reports, important topics regarding spawning grounds of sea turtles are not investigated and addressed comprehensively. There is no mention of how the sea turtles (Caretta Caretta) will be affected by coal-carrying ships while trying to reach spawning areas;
  • In one of the reports (scientific report), there are many precautions proposed to be taken to protect the sea turtles under protection. If all of the measures are followed completely, the coal plant can be considered as not risky, but it is not realistic or possible to implement all these precautions completely.

2019

2019-05-31 00:00:00 | Construction of the Emba Hunutlu coal power plant has started

In May 2019, the company initiated the construction of the coal power plant project. However, it was paused in June because of the tortoise nesting season, according to the local conservation group EKAD.

2019-04-30 00:00:00 | ESI Eurosilo receives order for large coal silos for the Emba Hunutlu coal power plant

In April 2019, Dutch company, ESI Eurosilo, announced that it received a large order with the request for three large coal silos for the EMBA Hunutlu power plant. The first silo is agreed to be delivered at the beginning of 2020 and full delivery to be finished at the end of 2020 (Powertechnology.com).

2019-04-25 00:00:00 | Interventions at the second Belt and Road forum in April 2019

Just before the second Belt and Road forum which took place in Beijing in late April, the groups HEAL, WWF Turkey, TEMA Foundation, Climate Action Network Europe (CAN-Europe) and Eastern Mediterranean Environmental Protection Platform issued a joint press release describing the unlawful environmental and health effects of the Hunutlu project.

Meanwhile, during the second Belt and Road forum SEP issued a statement, declaring: “SEP will join hands with various parties to construct the project into a clean, efficient, reliable and beautiful world-class power plant, and create a crown jewel of the power industry around the Mediterranean Sea.”   

 

2018

2018-10-30 00:00:00 | Ankara court decides not to cancel Emba Hunutlu project permit

On 30th of October 2018, the hearing of the court case by Adana Bar, Turkish Bar Associations, Medical Chamber of Adana, Agriculture and Engineers Chamber of Adana Doğu Akdeniz Çevre Dernekleri (East Mediterranean Environment Associations) was held in Ankara. Despite the expert report, which stated the harmful effects of the plant, the Ankara District Administrative Court decided not to cancel the permit of the Emba project.

2018-01-31 00:00:00 | Expert report confirms impacts of Emba Hunutlu coal power plant project

In January 2018, the expert report for the court case filed by Adana Bar, Turkish Bar Associations, Medical Chamber of Adana, Agriculture and Engineers Chamber of Adana and Doğu Akdeniz Çevre Dernekleri (East Mediterranean Environment Associations) was published, acknowledging that the Emba Hunutlu coal power plant would harm the public health and agricultural production in the area.

2017

2017-07-31 00:00:00 | TEMA files lawsuit

In July 2017, TEMA (Turkish Foundation for Combating Soil Erosion, for Reforestation, and the Protection of Natural Habitats) filed a lawsuit to cancel the urban plan revisions of the Emba Hunutlu project, granting the permission to build the coastal structures of the coal plant on biodiversity conservation grounds. TEMA objects the legality of the project’s permit on a conservation site designated for internationally protected marine turtles.

2016

2016-06-29 00:00:00 | Lawsuits filed against seven coal power plant projects

In June 2016, Adana Bar, Turkish Bar Associations, Medical Chamber of Adana, Agriculture and Engineers Chamber of Adana and Doğu Akdeniz Çevre Dernekleri (East Mediterranean Environment Associations) filed a lawsuit against seven coal plant projects in the region including Emba Hunutlu.

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