Amendment to the Regulation on Unlicensed Electricity Generation in the Electricity Market
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This regulation amends the 2019 Regulation on Unlicensed Electricity Generation in Turkey's electricity market, published in the Official Gazette No. 33212 on April 2, 2026. Key definitional updates include the expansion of the 'relevant grid operator' to include Energy Base (EB) distribution license holders alongside TEİAŞ, distribution companies, and OSB holders. The definition of 'netting' is clarified to mean hourly calculation of net production or consumption in kWh, and a new definition for 'industrial zone' (endüstri bölgesi) is added per the 2002 Industrial Zones Law. Connection rules are updated to allow production facilities to connect to the grid via distribution assets built by applicants themselves, in addition to existing distribution networks. Applications may now only be rejected based on relevant legislation and technical regulations, with written reasons required. Facilities of 10 MW or more can connect to the transmission or distribution system with direct substation connections or feeder allocations. Permit and acceptance timelines are restructured: facilities using the grid operator's distribution transformer must complete all permits within 1 year of connection agreement signing; hydro-based facilities have 3 years; other sources 2 years; and facilities under Article 5(1)(h) have 3 years. Partial acceptance is now allowed in increments of at least 10 MWe, with remaining capacity below 10 MWe accepted in full. Articles 23, 24, and 25 are extensively revised to restrict surplus energy netting, YEKDEM purchase, and payment procedures exclusively to production facilities that earned their connection agreement invitation letter before May 12, 2019, clarifying the regulatory boundary between old and new regime plants.
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Key Changes
- Definition of 'relevant grid operator' expanded to include Energy Base (EB) distribution license holders alongside TEİAŞ, OSB, and standard distribution companies
- New definition of 'industrial zone' (endüstri bölgesi) added under the 2002 Industrial Zones Law, enabling such zones to host unlicensed generation
- Production facilities may now connect to the grid via applicant-built distribution assets, not only existing grid infrastructure; connection rejections must be in writing with stated legal grounds
+ 5 more changes with Pro
Obligations
What this law requires
Connection applications may only be rejected based on relevant legislation and technical regulations, with written reasons required to be provided to the applicant with the rejection decision
For facilities using grid operator's distribution transformer, complete all permits (ÇED, construction permits, and other approvals) within 1 year of connection agreement signing
For hydro-based production facilities not using grid operator's distribution transformer, complete all permits within 3 years of connection agreement signing
For non-hydro production facilities not using grid operator's distribution transformer, complete all permits within 2 years of connection agreement signing
For facilities under Article 5(1)(h), complete all permits within 3 years of connection agreement signing