WATER ABLAZE - Patagonia Sin Represas

ut also on the country’s cultural heritage. Opponents are now focusing
their attention on Turkey itself for the time being – on condition that
the European companies do actually withdraw from the project. Should
these companies stay, however, they will have great difficulties finding
a European banking partner now that the Swiss UBS and the Zurich
Kantonalbank have also removed their support. Whether or not they
will receive loans from Turkish banks is uncertain, since the idea of
Turkish government credit guarantees – should such a thing even be
legally possible – is not a particularly attractive one. In the midst of the
current financial and economic crisis, it will prove extremely difficult
indeed to find creditors for such controversial projects. If – contrary to
expectations – the companies are granted loans, interest rates will be
high and western governments will have to provide collateral security,
something which is no longer feasible.
For years now, Turkish authorities have been referring to “interested
Chinese and Indian companies” as a means of exerting pressure on
European governments and the general public. So far, however, no
such negotiations have actually taken place, but were they to get off the
ground, they would probably take a long time to complete and trigger
off even more public protests by the Kurdish population in Turkey.
Chinese companies are infamous for their particularly low standards
when they construct large infrastructure projects. For strategic reasons,
Turkey would be advised to think very carefully before calling
in Chinese firms since neither the USA nor the EU would be very
“happy” about this move. Moreover, Turkish building contractors are
already intertwined with western companies in the water business
sector. It is also highly unlikely that North American companies would
risk getting involved in such a project after the withdrawal of their
European counterparts.
Other conceivable scenarios are: expropriation measures would
continue throughout the whole of the affected area and Turkish firms
would begin by constructing as much of the infrastructure as they
possibly could. Then, step by step, tenders would be invited for the
more demanding components in an attempt to complete the project.
European companies who got involved at this point would still require
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