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Buyout of turbines supplied to Crimea simple resolution of conflict — Siemens

August 07, 17:00 UTC+3 BERLIN

Siemens views the action filed to the Moscow Arbitration Court as "another option for return" of turbines

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© Alexandr Ryumin/TASS

BERLIN, August 7. /TASS/. Germany’s Siemens believes buyout of gas turbines supplied to Crimea could be a fairly simple resolution of the conflict, company’s representative Philip Ench told TASS on Monday.

"In technical terms, this can look like an agreement on a price one party is ready to pay in order to return turbines," Ench said. "This is a rather simple operation from this point of view," he said.

Siemens "does not comment on negotiations with clients at large" but publicly stated readiness to buy out gas turbines produced for the combined heat and power plant (CHP) in Taman, Ench said.

The German company views the action filed to the Moscow Arbitration Court as "another option for return" of turbines. Siemens will insist on return of all four turbines delivered to Crimea back to the Krasnodar Region, its representative said.

"Obviously, all four turbines were relocated to Crimea contrary to client’s statements and contractual commitments," Ench said. "The point is in the place of turbine use. This was exactly the CHP in the Krasnodar Region, in Taman. All the documents were signed and guarantees were given that these will be used there. This is what we want to achieve," he added.

Russia ensured the highest legal correctness when using Siemens technologies in production of turbines for thermal power plants in Crimea, Minister Denis Manturov told TASS in an interview on July 11. Simferopol and Sevastopol thermal power plants (TPP) in Crimea will be fitted with turbines produced in Russia but with use of components produced abroad, the minister said.

Siemens said in its turn it suspends deliveries of power equipment to Russian companies.

On August 4, the European Union blacklisted Russia’s OAO Technopromexport, OOO Technopromexport and Interavtomatika companies, as well as Russian Deputy Energy Minister Andrei Cherezov, Head of the ministry’s Department for Operational Control and Electricity Management Evgeniy Grabchak and Technopromexport CEO Sergei Topor-Gilka due to supplies of Siemens turbines for Crimean TPP.

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