The Regulation Amending the Regulation on Unlicensed Electricity Generation in the Electricity Market Has Been Published in the Official Gazette
The Regulation (“Amending Regulation”) Amending the Regulation on Unlicensed Electricity Generation in Electricity Market ("Regulation") and Energy Market Regulatory Board’s decision dated 04.08.2022 numbered 11098 (“Decision”) have been published in the Official Gazette dated 11.08.2022 and numbered 31920.
Some of the important amendments made by the Amending Regulation are outlined below:
- In the event that surplus energy is supplied to the grid, the amount of generation that can be sold is restricted by the Amending Regulation. Pursuant to this restriction, the electricity that may be sold cannot exceed the total electricity consumption of the consumption facility. The energy supplied to the system above this restriction is considered as a free of charge contribution to YEKDEM. In other words, the unlicensed electricity generator will not be paid for such generation. This limitation will have a retrospective effect. Pursuant to the Amending Regulation, this restriction will also be applied to those persons who had become entitled to an invitation letter for which they had applied after 12.05.2019.
- Pursuant to the Decision, the total electricity consumption of the consumption facility is deemed as the total consumption which has not been offsetted (i.e. without deducing the generated electricity amount as against the consumption amount), and which was drawn from the grid by the consumption facility within the previous year. In the event the consumption does not cover the previous year, the consumption amount is to be calculated on an annual basis by taking the average monthly consumption amounts into consideration. However, if the total electricity consumption in the current year exceeds the above values, the amount of electricity which may be sold will be calculated based on the current year’s data.
- The aforementioned limitations as to the sale of the surplus electricity generation does not apply to generation plants the installed power of which is 50 kW or lower and which are associated with residential subscription group.
- The Amending Regulation stipulates that generation facilities installed based on the article 5.1/h of the Regulation may be located outside the distribution area where the consumption facility is located.
- Those who receive the invitation letter to connection agreement shall, within thirty days as from the receipt of the invitation letter, apply to the relevant administrative body regarding the projects subject to the Annex-1 List of the Environmental Impact Assessment (“EIA”) Regulation and for the projects for which “EIA is required” decision has been issued. Additionally, they are required to submit the generation plant and (if applicable) connection line project to the approval of the Ministry or institution and/or legal persons authorized by the Ministry within ninety days.
- The Energy Market Regulatory Board has also published certain clarifications on its website regarding the application of the Amending Regulation.
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