Information About the Regulation on Amending the Unlicensed Electricity Regulation in the Electricity Market Published on 01 October 2022

The Regulation on the Amendment of the Regulation on Unlicensed Electricity Production in the Electricity Market, which will be carried out by the Energy Market Regulatory Authority, was published in the Official Gazette on October 1, 2022 and entered into force on the same date. Summary information about the changes made in the regulation is given below;

1. With the regulation made in the thirteenth paragraph of Article 26 of the Regulation on Unlicensed Electricity Production in the Electricity Market published in the Official Gazette dated 12/5/2019 and numbered 30772; Within the scope of the regulation, the requirement that the same production facilities of the production facilities be located in the same assigned supplier company region has been removed.

Accordingly, if it is desired to establish more than one production facility for one or more consumption facilities, a production facility can be established within the borders of the different assigned supplier company region. In case the generation and/or consumption facilities are located within the borders of different distribution or assigned supplier companies, clearing transactions will be carried out by the market operator (EPİAŞ).

With the relevant regulation, it has become possible for companies with many consumption facilities to establish production facilities in any region of Turkey, regardless of whether they are located within the borders of the supply company where the relevant consumption facilities are located.

2. In the second paragraph of Article 30 of the same Regulation the phrase “provided that they are located in the same distribution region” has been repealed and the following sentence has been added to the fifth paragraph of the same article:

“The provision of this paragraph shall not apply to consumption facilities that supply electricity from the assigned supply company by not exercising the right of free consumer.”

3. With the following temporary article, a regulation has been brought to the set-off procedures for applications to be made within more than one distribution and/or assigned supply region.

In the facilities where transactions are carried out within the scope of Articles 26 and 30, if the production and/or consumption facilities are within the borders of different distribution or assigned supplier companies, the necessary infrastructure for how to carry out the clearing transactions shall be prepared by the market operator within 3 (three) months.

It has been regulated that new applications for production facilities to be within the borders of different assigned supplier companies and requests for facilities that are currently in operation will be taken into consideration as of 1/1/2023.

In operation as of the date of publication of this Regulation, or clearing transactions of production facilities that will be operational until 1/1/2023 and consumption facilities within the region of different distribution or assigned supplier companies will be carried out by the assigned supply company in the region where the production facility is located until 1/1/2023.

The content herein is aimed at providing a general insight regarding the subject. For customized circumstances or for further information, please refer to your lawyer.