Türkiye’s Energy Market Regulatory Authority (EPDK) is lowering the grid fee for first-generation unlicensed solar power plants that came into operation before 2019 following the expiration of their ten-year feed-in tariff.
According to a document on the country’s official journal, the fee will be applied at TRY 0.656 ($0.014)/kWh, down from a prior TRY 2.081/kWh, representing a reduction of 68%.
Unlicensed solar power plants in Türkiye are primarily designed for self-consumption up to a 5 MW limit with the potential to feed excess electricity back to the grid via net-metering. They make up the majority of Türkiye’s operational solar fleet, with data from national transmission system operator TEİAS highlighting that unlicensed solar accounted for over 22 GW of the almost 25 GW of solar added in Türkiye by the end of last year, including over 4.1 GW installed last year alone.
In January, Bahadır Sercan Gümüş, energy analyst at Ember, told pv magazine he expects unlicensed solar to continue as the main driver of Türkiye’s solar market this year.
An update from state-run news agency Anadolu Agency (AA) says the temporary regulation covers approximately 800 unlicensed solar facilities with a total capacity ranging between 500 MW to 550 MW.
AA’s analysis says the grid fee reduction is aiming to lower the economic burden on former unlicensed solar power plant investors and prevent such solar plants from halting production due to cost pressures.
Hakan Erkan, Secretary General of the Solar Energy Manufacturers and Industry Association (GENSED), has supported the move, advising that power plants have been forced to suspend production to avoid losses when the market clearing price fell below the distribution fee.
“Due to the fact that the inverters in some power plants with old technology were not suitable for remote switching on and off, it became necessary to have physical personnel on site,” Erkan said. “This situation created a serious burden for the investor, facing both energy production loss and additional personnel costs.”
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