We Will Make Bold and Groundbreaking Decisions

Minister of Energy and Natural Resources Alparslan Bayraktar made significant remarks regarding the electricity distribution sector, which has been operated by the private sector for nearly 15 years. He stated that consumers have become producers and that digitalization has brought both opportunities and risks. "We cannot expect these services to be delivered with outdated approaches. The year 2025 will be an important one where we design a new electricity distribution and retail market structure and make bold and groundbreaking decisions," said Bayraktar.

10.01.2025
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Bayraktar emphasized that access to electricity is a fundamental human right that should never be neglected or violated under any circumstances. "At the same time, no service that fails to gain the goodwill of our nation can be considered successful. Our ultimate goal in electricity distribution is to maximize citizen satisfaction," he added.

 

Transformation in Electricity

Minister Bayraktar spoke at the 15th Electricity Distribution Companies Sector Evaluation Meeting. Addressing representatives of the electricity distribution sector, Bayraktar stated that electricity is undergoing a significant transformation worldwide.

 

Quality, Uninterrupted, Affordable

Bayraktar highlighted that Turkey's population is growing, and its economy is expanding during this transformation process. "Our goal is to meet this increasing demand and provide our citizens with quality, uninterrupted, and affordable energy," he said.

 

Privatization Process

Bayraktar underscored the structural reforms implemented in the energy sector during the AK Party governments, explaining that a major privatization process was undertaken between 2008 and 2013 through operating rights transfer agreements for electricity distribution activities.

 

1.4 Million Kilometers of Lines

Bayraktar stated that a total of $20 billion has been invested in the distribution sector by the private sector since 2009. "Our number of subscribers increased from 32.2 million to 50.3 million, and the investment per subscriber rose from $13 to $34. The length of our distribution lines expanded from 947,000 kilometers to 1.4 million kilometers," he explained.

 

Loss Reduced to 9.4%

Bayraktar stated that the technical and commercial loss rate, which had reached around 20% nationwide, has been reduced to 9.4%. He emphasized, “We need to implement investments within a planned framework to further reduce loss and theft rates.”

 

Target: 120,000 Megawatts

Bayraktar stressed the prioritization of domestic and renewable energy sources, which has made it possible to meet all electricity used in homes from wind and solar energy. "Over the next 11 years, we aim to quadruple our wind and solar installed capacity to reach 120,000 megawatts," he stated.

 

A Fundamental Human Right

Reiterating that access to electricity is a fundamental human right that must not be neglected or violated under any circumstances, Bayraktar added, "At the same time, no service that fails to gain the goodwill of our nation can be considered successful. Our ultimate goal in electricity distribution is to maximize citizen satisfaction."

 

"Intensive Oversight" Message

Bayraktar called on distribution companies to focus specifically on customer services and communication, saying, "Addressing our shortcomings and concentrating on areas that need improvement will be our top priority in the new era. I want it to be known that, as in this year, we will conduct even more intensive oversight going forward."

 

Reminder of the Last 10 Years

Bayraktar reminded that some companies providing these services, which have been operated by the private sector for nearly 15 years, are now entering the final 10 years of their license periods. He continued:

 

A DIFFERENT PERSPECTIVE:
"While there are major changes in production and consumers become producers, digitalization brings many opportunities and risks, including cybersecurity risks. We cannot expect these services to be delivered with outdated approaches. We will look at the tariff period covering 2026-2030 with a different perspective. The year 2025 will be a critical one where we design a new electricity distribution and retail market structure and make bold and groundbreaking decisions."