Denial of pre-license claims from EMRA

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Lerato Khumalo

A statement was made by the Energy Market Regulatory Authority (EPDK) regarding the pre-license applications for storage wind power plants (RES) and solar power plants (SPPs) and the allegations that have been made for a while on various issues.

Referring to the allegation that “EPDK issued regulations overnight and distributed associate licenses without anyone knowing”, the statement said, “First of all, it is not possible for EMRA to issue regulations overnight and put them into force by publishing them in the Official Gazette, as this is against our laws and relevant legislation.” .” The statement was included.

In the statement, “The storage RES/SPP pre-license process started with the assignment of duty to our institution with the law that came into force on July 5, 2022. With this law, it has been stipulated that ‘there will be no tenders or competitions’ for the storage RES/SPP pre-license processes and that even the measurement obligation will not be required. The relevant law Its purpose is to store and connect the electricity generated from wind and solar sources, which are not available, to the system and to increase the share of renewable energy in electricity production. information was shared.

In the statement, it was stated that the process became official “4 months before” the associate license applications were received and that the whole of Turkey became aware of the issue when it entered into force by being published in the Official Gazette, and added: “A draft containing the technical details of the process was prepared by our institution “2 months before” the associate license applications were received and “It has been opened to ‘public’ opinion. Before this draft was finalized, the contribution of everyone who follows the energy sector and was interested was received, and this process was completed in a transparent manner, completely before the eyes of the public.” It was said.

In the statement, it was pointed out that the regulation in question, which was finalized with the contribution of the citizens, was discussed and accepted by the board and then entered into force by being published in the Official Gazette, and the following was noted:

“As can be seen, it is not possible to issue a regulation overnight and distribute associate licenses silently. 5 thousand 968 applications were made to our institution between 19 November 2022 and 28 September 2023. During the associate license process, EMRA frequently informed the public, and the investor’s interest in this field was made public. The 5 thousand 968 applications in question were made by approximately 1500 different companies and were meticulously received by our institution. “It was evaluated and 663 associate licenses were given to 263 companies that made their preparations completely.”

“SHOP LICENSE APPLICATIONS HAVE BEEN MADE ONLINE SINCE MAY 2019”

The statement also included the allegation that “EPDK management only accepted online applications to grant pre-licenses to their relatives, and investors who wanted to prepare their documents were not given enough time”, and emphasized that it was known by all industry players that pre-license applications had been made online since May 2019.

In the statement, “The documents required for the associate license process have been on our institution’s website for more than 10 years. Again, this is a fact known by all industry players. In other words, no special application has been made for associate license applications with storage in the online application processes. In other words, the relevant Law has come into force.” Following the 4-month process, which included the draft regulation being published in the Official Gazette and its entry into force, ‘anyone’ was able to apply for a preliminary license, which prevented our Institution from doing any secret work on this matter. “Nepotism is not possible, nor is it possible, because there is no possibility of physical or legal intervention in online applications. All applications were received in order, without any discrimination, with the principle of institutional impartiality.” expressions were used.

“MAKING A COMPARISON BETWEEN INSTALLED POWER AND CONSUMPTION IS A MALICIOUS EFFORT”

In addition, in the statement, it was stated that there was no excess of authority in the pre-licensing process regarding storage RES/SPP investments, which were given to the institution as a duty by the law that came into force on July 5, 2022, and that the energy license allocation tender announced by the Ministry of Energy and Natural Resources in November was aimed at RES/SPP investments with storage. It was stated that it had nothing to do with the associate degree process.

The statement also touched upon the allegation that “While Turkey can consume half of its installed power, EMRA has decided to increase the installed power in electricity.” The resources claimed to be provided are our ‘domestic and renewable energy resources’ and these resources contribute to reducing our dependence on foreign energy because, in technical terms, the installed power is available, that is, ready for consumption when desired. “There is also an important criterion such as. We would like to remind you that our institution does not have the authority to increase the installed capacity or create connection capacity.” statements were included.

“NO REGULATORY AGENCY HAS THE AUTHORITY TO GIVE PURCHASE GUARANTEES”

In the statement, the following was noted regarding the claim that “pre-licenses were distributed within the scope of the license tariff of 6 dollars-cents, this figure could be 3,375 dollars-cents, but due to this difference, a bill of 129.6 billion dollars will be paid for electricity in 30 years”:

“The 6 dollar-cent tariff determined by the Presidential Decree published in the Official Gazette on May 1, 2023 has not been determined by EMRA. As those who have minimal interest in the energy sector will know, the said regulation will be valid from 01/07/2021 until 31/12/2030. It covers the prices and durations to be applied for electricity generation facilities based on RES Certified renewable energy sources that will be put into operation and it is the duty of EMRA to determine these prices and durations. “It is not in this field and EMRA does not have the authority to determine prices and duration in this field. In the Presidential decision, which is accessible to everyone, the phrase 30 years is not included and the period to be applied is 10 years.”

In the statement, it was emphasized that there is no purchase guarantee given by EMRA and that no regulatory institution has the authority to give a purchase guarantee, and said, “Our institution has not given such a guarantee to any investor, and it is not possible to give such a guarantee. There is no financial and moral liability for the persons who made these slanders about the president and managers of our institution.” “Legal process, including a compensation lawsuit, has been initiated.” It was said.