Energy Efficiency Incentives

Efficiency Improvement Project (EEIP)

Since 2009, the EIP program was implemented to support projects and actual investments for enhancing energy efficiency in industrial plants. The target group is industry companies with a minimum of 1,000 toe of annual energy consumption. A company can apply and receive grants for the EEIP implementation and the Voluntary Agreements at the same time.

The government provides grants to minimize energy waste, losses and inefficiencies at enterprises operating in industry sector. It provides up to 30% grant – after the installation and a commitment to meet a certain level of savings. The maximum amount of investment should be less than 1 million TL. The Ministry (Department of Energy Efficiency and Environment) receives project applications in three times in each year for projects with a maximum duration of two years. An EEIP observation commission checks the eligibility with an initial audit that establishes the potential. In the two year implementation period, the commission monitors the project to check if the results meet the expectations. After a final control of the project the grant is provided.

Voluntary Agreements Program (VAs)

Since 2009, the Voluntary Agreements (VAs) were implemented to motivate companies to achieve a minimum of 10% decrease in energy intensity over a three year period. The target group is industry companies with a minimum of 1,000 toe of annual energy consumption. The government makes available grants to stimulate the investment in energy efficiency measures. If a company meets the target set by the agreement, then up to 20% of the energy costs can be granted during the first year. The maximum amount is 200,000 TL.

The Ministry (Department of Energy Efficiency and Environment) signs the agreements with the companies on the basis of the energy intensity value of the last five years. Then the companies undertake individual energy efficiency projects.