The Energy sector has been the locomotive of Turkey’s economy surge thanks to private sector investments, said Hasan Koktas, President of Energy Market Regulatory Authority (EMRA) on his last day of tenure…
Energy sector sees greatest growth, says Turkish Energy Market Regulatory Authority President on his last day of duty
The Energy sector has been the locomotive of Turkey’s economy surge thanks to private sector investments, said Hasan Koktas, President of Energy Market Regulatory Authority (EMRA) on his last day of tenure.
Speaking at the press conference organized on the occasion of both his end of tenure and end of the year at EMRA building on Monday, Koktas said that the energysector saw the greatest growth in Turkey’s economy in line with global trends.
Koktas said EMRA gave over 30,000 licenses, providing the entry of new players in the sector, adding “13,500 of them were given in the last six years.”
He emphasized that through EMRA, electricity production surged to 250 billion kw from 180 billion kw since 2008.
“During my tenure, Turkey’s private sector installed 23,000 megawatt power capacity.” he stated.
Koktas stated that apart from its regular duties in 2013, EMRA had undertaken both liberalization and restructuring policies in the sector and in the institution itself.
“Privatization in the power distribution sector was completed,” said Koktas, adding that the Treasury received proceeds of $12 billion from the privatization of the state-run companies in the sector.
– Natural gas
Koktas commented that 115 billion Turkish Lira ($52.79 billion) has been invested in oil and LPG sectors in 2013.
“Seventy-two cities in Turkey can now access natural gas after a $25 billion investment in the natural gas sector,” said Koktas.
“Turkey spent 36.8 billion cubic meters of gas in 2008 with 45.2 billion cubic meters in 2012 and 47 billion cubic meters in 2013,” he added.
“EMRA has audited the sector after investing a third of its budget on market control.”
– Renewable energy
Koktas said in terms of renewable energy, EMRA has also done a 10-year projection for wind and solar energy in preparation for future bids.
He added, “We have completed all legal infrastructure for solar energy. We have received applications, and soon will begin giving licenses.”
Koktas also said, “Fluctuations in foreign exchange rates do not influence energy sector investment since they are medium to long-term investments.”
Turkey’s economy is the biggest in Eastern Europe, and ranks 17th in the world. In recent years Turkey has increased its revenue base through consumption taxes like a fuel tax, which is relatively easy to enforce. The country has one of the highest gas taxes, which accounts for more than half of the cost to fuel up a tank.