A new communiqué on unlicensed electricity production
has been published. There will be new solar and wind energy plant
licence applications from December 2014.
Unlicensed Electricity Generation
The Regulation on the Unlicensed Electricity Generation in
Electricity Market (Regulation) and the Communiqué on
Enforcement of Regulation on Unlicensed Electricity Generation
(Communiqué) entered into force on 2 October 2013 and
superseded the Regulation on Unlicensed Electricity Generation in
Electricity Market of 21 July 2011 (Former Regulation).
The Regulation regulates the exemption from the requirement to
obtain a licence and establish a company in order to generate
electricity and lists the generation facilities that benefit from
such exemption. As per the Regulation, the total installed capacity
of an electricity generation plant based on renewable energy
sources has been increased from 500 kW to 1000 kW.
Establishment, operation, and grid connection of the
The real person or legal entity producing electricity will be
responsible for the establishment, operation, and occupational
safety of the generation plant and will be liable for establishment
expenses and damages from operating the plant.
The requirement to have a ready consumption plant before
establishing the generation plant, regulated by the Former
Regulation, has been superseded by the Regulation. As per the
Regulation, the generation and consumption plants must be located
in the same distribution area, and projects for the generation and
consumption plants may be designed simultaneously, which prevents
additional costs to integrate the plants.
Generation plants falling under the scope of the Regulation are
connected to the distribution grid subject to the exemptions stated
in the Regulation.
In principle, the electricity will be generated to meet the
needs of the producers. But unconsumed energy may be consumed
by consumption plants in the same area, or by consumption plants
outside the generation plant's area owned by the producers. The
surplus energy generated from a renewable energy source is
purchased by the relevant distribution company at the price of the
renewable energy support mechanism, determined by the Law on
Utilization on Renewable Energy Sources for the Generation of
Electricity dated 10 May 2005 and running for 10 years. The
regulation also determines the support mechanism limited to five
years for the usage of domestic products.
Unlicensed electricity producers may not sell the surplus
electricity generated by concluding bilateral agreements.
Current status of the applications
The Energy Market Regulatory Authority (EMRA) has approved 659
out of 980 application submitted under the Former Regulation for
unlicensed electricity generation, and the number of the
applications is expected to grow with the entry into force of the
New applications for wind and solar energy plant licences
The renewable energy market of Turkey has mainly focused on
hydraulic and wind energy. Now applications for the first solar
energy licences (to establish a solar plant for a total capacity of
600 megawatts) were submitted to EMRA in June 2013. The
applications are being reviewed by the Ministry of Energy and EMRA,
and the licences are expected to be issued in the first half of
The draft of the Electricity Market Licence Regulation, prepared
by EMRA, states that the new applications for wind and solar energy
licences will be conducted in January 2015. The licence
applications will be related to the specific sites previously
announced by EMRA. For the licence application, the applicants must
first obtain an authorisation from the Directorate of Meteorology
to set up a measurement station and submit the data to EMRA from at
least one year, including the on-site measurement for at least six
months. The draft of the Electricity Market Licence Regulation is
expected to be announced no later than November 2013.
Quote:New EMRA legislation
promotes renewable energy sources by providing benefits, such as
renewable energy support mechanisms and exemptions, and by
preventing additional costs.
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Turkey has amended the Electricity Market Law numbered 6446 to promote use and security of domestic energy resources. Under the amendments, planned capacity mechanisms must give priority to local energy sources.
Turkey's energy regulator previously ruled (decision numbered 5709, dated 30 July 2015) that a total capacity of 2,000 MW would be reserved in the period up until 2020 for wind power pre-license applicants to connect to the grid.
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