Today we are publishing additions to the article «Turkmens do not pay – Turks do not work».

Work is not stopped even for a minute at the construction sites and the offices of the Turkish company POLIMEKS, French one Bouygues, and Belgian ENEX.

There is no point in discussing the expediency and vital need of the projects that are being constructed by them. The most important is that the order to build them has been received from the most important person in the country.

Due to the fact that the Russian Gasprom had not purchased Turkmen gas from April until the end of 2009, the state budget of Turkmenistan allegedly lost between 7 and 10 billion US dollars in 2009. The Turkmen authorities had counted on this money when planning the construction of new grandiose projects of the great renaissance epoch. Therefore, many construction projects in the development stage have been suspended and the financing of most of the projects have been frozen across the country.

For instance, a school in the city of Turkmenbashi, which is supposed to be equipped with modern multimedia equipment and a kindergarten (both to be built by the Turkish company Ozaylar) remain uncompleted.

In order to view the frozen construction objects, one should go along Atatyurk Street. Some activities at the construction site of the Turkish company Elmatas became noticeable just a couple of months ago despite the fact that the contract was signed two years ago. The nearby construction object, which initially belonged to the SEVPEK Company has changed three contractors within two years. A kilometer away from these objects there is a construction site of the Turkish company BELDA INSAAT, which is supposed to build a residential complex. Initially this project was implemented by the Turkish company Kykych Inshaat. However, due to payment defaults from the Turkmen side the works at the construction project have ceased and the Turkmen side has transferred the object to another contractor. As a result, the Kykych Inshaat Company has stopped its activities in Turkmenistan,

All Ashgabat residents know of the residential complex built for the employees of the oil and gas complex of Turkmenistan by the Turkish company Erku International Ltd. In 2008 Turkmenistan contracted this company for the construction of a residential complex, which included a school, equipped with modern technological equipment, a kindergarten and several modern apartment buildings. Turkmenneftegasstroi became the building contractor.

Due to the fact that the Turkmen side failed to make payments as per the conditions of the contract, the contractor has repeatedly urged the company to start the construction at their own expense. However, the Turkish company froze the start of the construction works referring to the debts the company faced for the already completed projects. This was followed by the requirement of the contractor to rescind the agreement and brought the company to a Turkmen court stating that the Turkish side had not fulfilled its contractual agreement. No mutual agreements have been reached on this arguable issue and no legal decision has been made; yet, the Turkmen side is looking for another project contractor. For instance, a well-known Austrian company Strabag was approached to complete the building of this project. However, the Austrians are aware of the manner in which the Turkmens «follow» their agreements and were not so excited about the potential prospects, so no reply has been given so far. Along with this, the Erku International Ltd company intends to receive the rest of the Turkmen debts and to curtail its operation in Turkmenistan immediately after.

Due to the financial insolvency of the Turkmen contractors, the works at the construction sites of the Sehil, IMEX and other companies have been suspended.

Since 2007 Turkmenistan’s President constantly points out the «necessity» of the construction of a new airport complex in Ashgabat. According to raw estimations, this construction will cost Turkmenistan a fortune – about one billion dollars. As of today, the French Bouygues, German Hochtief and Austrian Strabag are playing in the «race» for this project. However, Turkmenistan will not get those high profits, which were received in 2008 from the sale of the natural gas to Russia, even if the diversification of export routes to China and Iran in 2009 and the restoration of supplies to Russia in 2010 are considered. Would the Turkmen contractors be able to find this billion then?

From the other side, it goes without saying that the French, German or Austrian constructors would be able to build a first class airport complex; however, does Turkmenistan really need it now? The President explained that it needed to be built by the annual increase of passengers arriving in the country. One can question this statement since a very strict visa regime in Turkmenistan cannot contribute to the increase of passengers both to Turkmenistan and from the country.

Whatever it is, due to the poor financial situation in the country, turbulence around the construction of a new airport has temporarily calmed down.