In-Depth Energy Efficiency Policy Review of THE REPUBLIC OF TURKEY ENERGY CHARTER SECRETATIAT 2014 In-Depth Energy Efficiency Policy Review of THE REPUBLIC OF TURKEY ENERGY CHARTER SECRETATIAT 2014 Information contained in this work has been obtained from sources believed to be reliable. However, neither the Energy Charter Secretariat nor its authors guarantee the accuracy or completeness of any information published herein, and neither the Energy Charter Secretariat nor its authors shall be responsible for any losses or damages arising from the use of this information or from any errors or omissions therein. This work is published with the understanding that the Energy Charter Secretariat and its authors are supplying the information, but are not attempting to render legal or other professional services. © Energy Charter Secretariat, 2014 Boulevard de la Woluwe, 56 B-1200 Brussels, Belgium ISBN 978-905948-149-7 (English PDF) ISBN 978-905948-148-0 (English Paperback), Dépôt number: D/2014/7850/2 Reproduction of this work, save where otherwise stated, is authorised, provided the source is acknowledged. All rights otherwise reserved. Cover and layout design: Diana Spotinova for Spotinov print Ltd. Printed by Spotinov print Ltd. Photo on the cover: Maiden’s Tower, Istanbul. Source: Ministry of Energy and Natural Resources of Turkey. Introduction Turkey ratified the Energy Charter Treaty (ECT) and the Protocol on Energy Efficiency and Related Environmental Aspects (PEEREA) on 5 April 2001. By ratifying PEEREA, countries commit themselves to formulating and implementing policies for improving energy efficiency (EE) and reducing the negative environmental impacts of the energy cycle (Art. 5). The guiding principle of PEEREA is that contracting parties shall cooperate and, as appropriate, assist each other in developing and implementing EE policies, laws and regulations (Art. 3). The core activity of the Working Group under the Energy Charter Protocol on EE and Related Environmental Aspects (PEEREA) is the development of in-depth reviews of member states’ EE policies and programmes. Recommendations to the authorities of the states concerned, resulting from these in-depth reviews, are presented to the Energy Charter Conference for discussion and endorsement. The role of the in-depth reviews of the EE policy, undertaken on a peer basis by the Working Group, is to enhance the level of cooperation amongst contracting parties (Article 3.1). The in-depth reviews are used to assess progress, promote continuous dialogue and transfer information. They are a tool for offering peer assistance to governments in developing and implementing EE policies. The review team was composed of officials from countries that are Parties to the Protocol: Mr Johan Vetlesen from the Norwegian Ministry of Petroleum and Energy, Mr Laurent Minère from the Netherlands Enterprise Agency, Mr Artan Leskoviku from the Albanian National Agency of Natural Resources and Mr Hasan Ozkoc from the EU Delegation to Turkey. The team also included Ms Gabriela Prata Dias from the Energy Charter Secretariat and was supported by Mr Sinan Yorukoglu and Dr Wietze Lise from AF-Mercados EMI. The team visited Ankara between 18 and 22 November 2013 and discussed a range of issues with government agencies and other stakeholders (listed in Annex IV). Key sources of information for this report include the previous in-depth review of the investment climate and market structure in the energy sector of Turkey (2007), In-depth Review of EE Policies and Programmes of Turkey (2003), national policies and relevant laws as posted on ministry websites, and other relevant publications of the Government of Turkey, reports of international financial institutions such as the European Bank for Reconstruction and Development (EBRD), International Monetary Fund (IMF), World Bank (WB), IFC, International Energy Agency (IEA), Transparency International and the institutions of the EU. 3 Table of Contents In-Depth Energy Efficiency Policy Review of the Republic of Turkey 2014| Introduction .................................................................................................................................................................................................................................................................3 Executive summary.......................................................................................................................................................................................................................................11 Background ....................................................................................................................................................................................................................................................................12 Energy and Energy Efficiency Policy ................................................................................................................................................................................................12 RES Policy ..........................................................................................................................................................................................................................................................................12 Summary of the Overall Assessment of Progress ............................................................................................................................................................13 Recommendations .........................................................................................................................................................................................................................................15 Краткое изложение ...................................................................................................................................................................................................................................19 Исходная информация .................................................................................................................................................................................................................................20 Политика в области энергетики и энергоэффективности ...........................................................................................................................20 Политика в области ВИЭ .............................................................................................................................................................................................................................21 Краткое изложение общей оценки прогресса ............................................................................................................................................................22 Рекомендации....................................................................................................................................................................................................................................................25 Background .............................................................................................................................................................................................................................................................31 Brief Country Overview ...................................................................................................................................................................................................................................32 Geography .............................................................................................................................................................................................................................................................32 Demography .......................................................................................................................................................................................................................................................32 Climate Change ...............................................................................................................................................................................................................................................33 Political System .................................................................................................................................................................................................................................................33 Economy...................................................................................................................................................................................................................................................................34 Energy Supply and Demand ...................................................................................................................................................................................................................38 Energy Balance .................................................................................................................................................................................................................................................38 Coal, Oil and Gas .............................................................................................................................................................................................................................................40