The 2nd Energy Consumer Summit was held by the theme of “Problems and Good Practices in cooperation with the Ministry of Energy and Natural Resources and the Ministry of Trade.
Minister of Energy and Natural Resources Fatih Donmez: “We also intend to reward good practices, especially for disadvantaged groups, and original approaches to communicating with customers”
2nd Energy Consumer Summit was held in Hall of the Ministry of Energy and Natural Resources. The summit brought all energy stakeholders together. Minister of Energy and Natural Resources Fatih Donmez, Deputy Minister of Trade Sezai Ucarmak and EMRA President Mustafa Yilmaz attended the opening of the summit.
Energy and Natural Resources Minister Fatih Donmez said that, “Energy is not independent of political and economic developments in the world and is not predictable for non-resource-rich countries such as Turkey. We can change this by increasing domestic and renewable resources. We expect electricity demand to increase continuously over the next 30-40 years.
“We Call the Citizen to Produce Their Own Electricity”
Minister Donmez emphasized that their aim is to spread their investments in energy as much as possible and pointed out that the role of the consumer in energy will change and its importance will increase.
He said, “Consumers are not in the role of energy-consuming or passive anymore. On the contrary, the consumer is moving towards a position that production and sales. We have made all kinds of arrangements for solar electricity production from roofs and frontages.”
“We Aim for High Standards By Efficiency”
Minister Donmez pointed out that efficiency is as important as cost. He said that, “We aim to reach a high standard with high efficiency instead of make compromises of our life quality by less heat and lighting”
“Emphasis on Sincerity in Consumer Relations”
Stating that sincerity is important in consumer relations, Minister Donmez said, “In order to institutionalize this sincerity, we need to set the standard. It is important that we explain ourselves to the citizen through the right communication and messages. The companies that cannot communicate correctly can never explain themselves correctly in times of crisis.
He said, “We also intend to reward good practices, especially for disadvantaged groups, and original approaches to communicating with customers”
Renewable Tariff to Consumers
Minister Donmez gave the good tidings that they would offer a new tariff for consumers who want to supply their electricity by renewable sources. He said that storage systems in Turkey will be transformed into a domestic industry by domestic car.
Consumer is One of the Most Important Issues of the Ministry of Trade
Deputy Minister of Trade Sezai Ucarmak stated that consumer related areas are among the most important issues of the Ministry of Trade.
“Profitability Increases if Companies Make Empathy”
EMRA Chairman Mustafa Yilmaz said that, this year's Consumer Summit's theme, "Problems and Good Practices”
Consumer Problems and New Approaches in Electricity
A session titled, “Consumer Problems in Electricity and New Approaches” was held at the summit.
The presentations of the session discussed how the public, suppliers and distribution companies are positioned to address the problems of consumers.
EMRA Distribution and Retail Sales Group President Ahmet Sait Akboga said that, there are legislation and regulations related to consumer issues.
Customers Like the Call Center
Enerjisa Electricity Customer Relations and Call Center Manager Asude Soyaslan said that, they have gathered some feedback from customers from different profiles through a research company.
“There is a Decrease in the Number of Complaints”
Head of Investments Monitoring Department of TEDAS Yakup Avan, explained that a complaint request system has been established in order to follow up the complaints of users of the distribution system within TEDAS.
Adana Hacı Sabancı Organized Industry President Bekir Sutcu said that customer satisfaction improvement is pleasing. He said that, “We are happy to hear from the authorities that customer satisfaction is increased”
The European Bank for Reconstruction and Development (EBRD) provided Turkey's electricity company Enerjisa Enerji with a financing package worth $100 million in Turkish lira equivalent, the bank announced late Thursday.
Enerjisa Enerji is a joint venture between Sabanci Holding and German E.ON, with each holding a 40% share while the remaining 20% are free float shares on Turkey's stock exchange, Borsa Istanbul.
As an electricity distribution and retail company, Enerjisa Enerji, serves around 21 million people in Turkey.
The EBRD's loan will finance the company's ongoing investment program including the improvement of grid infrastructure for sustainable and high-quality energy supply and technological investments.
"The transaction will be the first EBRD loan linked to the new Turkish Lira Overnight Reference Rate (TLREF) benchmark, which is expected to become the reference rate for corporate lending in Turkey," the statement said.
The TLREF is a new risk-free rate, developed by the government, regulator, Borsa Istanbul and other market participants with advice from the EBRD Treasury, the bank said.
"The transparent and reliable benchmark is a step forward in the development of the local capital market and in line with the EBRD’s efforts in Turkey," according to the statement.
Under the loan agreement, the EBRD and Enerjisa Enerji will also cooperate to advance equal opportunities in the power sector, with a focus on supporting women’s access to employment in the sector, the statement read.
The EBRD has invested almost €12 billion in 302 projects in Turkey since 2009, the majority of which were in the private sector.
Source: AA
On 9 December the UK experienced a negative day-ahead trading price for the first time, with energy prices for 03:00 AM to 04:00 AM UTC delivery on the hourly day-ahead auction dropping to -£2.84/MWh.
Exceptionally high wind generation in Great Britain throughout the weekend combined with low demand levels saw outturn day-ahead hourly energy prices turn to this record level. Cornwall İnsight looks at what this means for the energy industry.
James Brabben, Wholesale Manager at Cornwall Insight, said: “While there have been some negative energy price occurrences on the within-day wholesale market, this is the first time day-ahead auction prices have ever fallen below zero. Wind output levels were high over the weekend of 7-8 December peaking at 16.2GW on 8 December. This continued over the early hours of the Monday morning coupled with low demand that is usually seen at this time. It was a perfect storm for prices to drop.
“This incident also highlights the increasingly interconnected nature of coupled European markets. With negative pricing being observed throughout German, Dutch and Belgian day-ahead power prices, with German prices reaching a low of -€16.09/MWh between 2:00 AM to 3:00 AM UTC.
“At the time of negative day-ahead delivery prices, GB was receiving 1.1GW of power through NEMO and BritNed, at the same time exporting 1.4GW through the IFA to France. GB was effectively acting as a transit country for the flow of continental European power.
“While this may be heralded as a watershed moment by flexibility providers, taking the opportunity to be paid to consume electricity. These low prices will be a cause for concern for generators, whose revenues could be significantly affected if this price cannibalisation effect continues.
“With increasing wind penetration across Europe, negative prices now occur even in the depths of winter and this a trend to watch out for as more intermittent renewables capacity comes online.”
Source: Smart Energy International
The global economy is set to double in size over the next 20 years. But that does not mean it will need twice as much energy to power all the extra cars, homes and factories such growth will bring. By taking the available opportunities to become more energy efficient, we would need only the same amount of energy we use today. The result would be a global economy with reduced emissions, lower pollution and enhanced energy security – we would live more comfortable lives and receive lower energy bills.
In order to make this scenario a reality and to put the world on track to meeting our international climate targets, efficiency must be at the forefront of global policy-making. And yet we are headed in the opposite direction. What we are actually witnessing is an alarming slowdown in global efficiency progress. In fact, last year saw the slowest improvement rate this decade.
What can we do today to change course? The International Energy Agency has made energy efficiency a top strategic priority. Two weeks ago, the Global Commission for Urgent Action on Energy Efficiency met for the first time at the IEA headquarters in Paris. Ministers, business leaders and thought leaders from around the world came together to discuss how to accelerate global progress on energy efficiency.
I was delighted that so many senior thinkers from across the globe joined this important discussion – a real sign that the desire to accelerate progress is widely shared. It was clear that we no longer need to focus on making the case for efficiency – its benefits are well understood. The question is not why, but how.
How can we scale up and speed up action on all fronts to see more efficient technologies deployed and more efficient behaviours take hold? This is the question the Global Commission is tackling.
While the participants came from different parts of the world and brought different perspectives, it was striking how much the discussions centred around the same questions: How can we get wider engagement in efficiency? How can we build markets and encourage uptake of technologies? How can we ensure all the actions, right across government, are taken to enable an acceleration of efficiency progress?
The focus of the Commission’s deliberations was on people and the narratives that can engage them. Efficiency is a means to other ends, such as environmental or economic gains. The current push by people around the world for stronger climate action and waste reduction is a great opportunity to get more movement on efficiency. The economic benefits can also help bring governments along. More investment in efficiency creates new jobs. And for many, a message about well-being and comfort in our daily lives is much more appealing than a discussion of kilowatt hours and payback periods.
In India, for instance, energy efficiency has become an important issue on the political and social agenda in recent years. The National Energy Conservation Day, which was held last week, included a painting competition led by the Bureau of Energy Efficiency that received 9 million entries on the theme of energy efficiency. This is due to the success of a number of programmes that have brought benefits to many, through lighting in homes and on streets, appliances that cost less to run, and lower costs for many large industries.
It is clear also that simple platitudes for energy efficiency are not adequate. The costs, the benefits and the means of achieving them must all be set out clearly. This is essential to build support for action, and to set out what that action should be.
IEA analysis shows a clear correlation between policies and results. Where good policies are put in place, efficiency gains are made. Without them, efficiency stalls. Therefore, government action is key – provided it is taken by the government as a whole. Energy ministers do not usually have control over building standards, transport planning or tax policy. But all of these domains, and many more, help determine efficiency outcomes. Only a determined, cross-government approach can deliver efficiency gains.
We see such approach applied to climate action in the United Kingdom, for example, where a framework under a Climate Change Law sets out procedures for setting and then meeting targets that involves all government departments, overseen by a strong, well-resourced Climate Change Committee.
Another interesting example from outside energy efficiency comes from Ireland, driven by the country’s Climate Action and Environment Minister, Richard Bruton, who chaired the Global Commission meeting. In 2012, when he was Minister for Enterprise, Ireland was in the midst of a deep recession with high unemployment. Mr Bruton’s action plan involved every government department and national agency, and contained 270 distinct actions with targets, owners and reporting mechanisms. A wide range of actions, united by the common theme of creating jobs, were given the support and prioritisation they needed.
The questions policy makers face around the world are often quite similar, and some policies apply universally. Standards and labels have made appliances hugely more efficient without raising purchase costs and are a ready option for countries where they are not in place.
Often, though, policy choices reflect the many differences in local circumstances, and the right solutions are those that fit with local conditions. Some countries are comfortable with regulatory approaches, others not. Some can make good use of corporatist, collaborative actions, others prefer to use incentives and markets.
Energy efficiency is the first fuel – the fuel you do not have to use – and in terms of supply, it is abundantly available and cheap to extract. But demand for the first fuel needs to grow, and that’s where policy action matters the most.
Source: International Energy Agency
China’s efforts to wean itself off coal are losing steam, as the world’s biggest carbon emitter is putting economic growth and energy security above its ambitions to be a leader in combating climate change.
Coal consumption is back near peak levels after rebounding over the past three years, despite China’s pledges to make steep cuts in what is the country’s most prevalent and polluting source of energy. The country is building more coal-fired plant capacity than the rest of the world combined.
Infrastructure stimulus measures to offset the impact of the prolonged trade war with the U.S. have boosted consumption, while Beijing has taken a softer stance on coal use after a missile attack in September on Saudi Arabia, China’s biggest source of oil imports, underscored the country’s reliance on foreign energy.
The renewed focus on coal has raised doubts among analysts over China’s commitment to cutting carbon emissions and frustrated the European, which has leaned on China to uphold the Paris Agreement since President Trump pulled the U.S. out in 2017. While China is on track to meet its goals through 2020 and 2030, its mixed signals on coal suggest Beijing is less willing to pursue green-energy goals and join the EU in setting more ambitious emission targets.
“China was seen, particularly by the developing and emerging economies, as the leader, saying look at all the wonderful stuff we’re doing,” said Philip Andrews-Speed, senior principal fellow at the Energy Studies Institute at the National University of Singapore. But the country has continued construction on new coal plants even as it aims to phase out the fossil fuel, he said: “There’s a deep contradiction in this.”
In an October speech at a National Energy Commission meeting, Premier Li Keqiang called for the development of the coal industry to ensure energy security. The remarks were widely seen as a shift from previous statements and a sign that the government is backing off its anticoal message.
Efforts to boost the economy through infrastructure investment have also driven overall consumption higher, analysts said.
China’s steel output reached a record high of 750 million metric tons in 2019, but will likely come back down in 2020 as housing construction slows, according to Fitch Ratings associate director Charles Li. Data from the Centre for Research on Energy and Clean Air show that coal demand has increased by 7% and 11% in metals and chemicals sectors, respectively, this year through October. Its use to produce cement and glass have also increased.
“China had a very genuine claim to being a leader on climate change,” said Lauri Myllyvirta, lead analyst at the Centre for Research on Energy and Clean Air. “Now that there has been a domestic shift, that’s harder to portray.”
In 2014, China and the U.S. agreed to coordinate on carbon-emission cuts in an effort to propel international negotiations. That year, coal consumption fell for the first time in China after peaking in 2013.
“Climate was seen as a key positive area of the relationship between China and the United States and that really gave it additional priority,” Mr. Myllyvirta added.
After Mr. Trump announced the U.S. withdrawal from the Paris Agreement, China initially positioned itself as an emerging leader in the efforts to combat climate change. But without the same pressure from the U.S., analysts said, China’s commitment has waned in the face of other economic and political challenges. One knock-on effect of the trade war between the U.S. and China is an increased emphasis on pursuing energy independence, which has likely contributed to support for coal, said Erica Downs, senior research scholar at Columbia University’s Center on Global Energy Policy.
“If there are broader concerns about energy trade and being reliant on imports, there’s comfort in coal,” Ms. Downs said.
China’s import dependency on oil reached 72% last year, the highest in the past 50 years, according to BP’s 2019 Statistical Review. Oil imports climbed to a record high in November, according to ship-tracking firm Kpler, with much of the increase coming from Saudi Arabia. China’s reliance on Saudi Arabian oil has grown as its other sources of imports have been squeezed by U.S. sanctions on Iran and Venezuela and the continuing trade war, which has affected U.S. imports.
China is also expected to become the world’s largest importer of natural gas in 2020. The country has pushed aggressively to transition into cleaner-burning fuels and clear its skies of pollution, at times falling short of the supply needed.
In 2017, some residents and factories in northern China were left without heating and fuel in the middle of winter.
Source: Wall Street Journal
An integrated electricity market, with more grid interconnections and storage solutions “of all types” are at the centre of EU plans to build a more resilient electricity system able to deal with growing shares of variable wind and solar power.
The European Union won plaudits last year when it updated its renewable energy objectives, aiming for 32% renewables in total energy consumption by 2030 – nearly double today’s share.
The updated 2030 targets mean renewable electricity from solar and wind power will need to grow steeply, said Hans van Steen, a senior official at the European Commission’s energy department.
From around 30% currently, renewables will have to reach “53-54%” of the EU’s electricity mix in order to meet the new 2030 objective, he told a Euractiv event earlier this month.
The EU’s updated renewable energy directive entered into force only a year ago. However, those targets already appear largely outdated now.
Meanwhile, climate strikes have swept through Europe, and a “green wave” hit the European Parliament following the May elections. A new EU executive was sworn in a few months later, pledging to turn Europe into the first “climate neutral” continent in the world by 2050.
And that will require revisiting the renewable energy directive once again in order to ramp up wind and solar even further.
“We will need a lot more renewable electricity,” van Steen said, citing EU projections showing that electricity will have to be “around 80%” based on renewables in order to reach the 2050 goal.
That will also bring challenges, van Steen pointed out, saying a big increase in variable energy sources like wind and solar can destabilise the electricity grid if not managed properly.
Meeting those challenges will require massive investments, however. According to industry association Eurelectric, the EU power sector needs to invest at least €100 billion per year in order to reach an 80% share of renewables by 2045, the main objective of the industry’s decarbonisation roadmap.
The problem is prices on the electricity market are currently too low to trigger investments in new “flexibility” services.
“All new flexibility today is non-profitable,” said Uroš Salobir, a senior executive at Eles, the Slovenian electric power system operator. “It’s very hard to invest into storage or demand-response that pay back” – whether, at household or industry level, he told participants at the EURACTIV event.
Across the world, nearly all flexibility providers are unprofitable, said Salobir who is also vice-chair for research and development at the European Network of Transmission System Operators for Electricity (ENTSO-E).
And the rise of cheap wind and solar power – although desirable from an environmental viewpoint – is only making things worse.
“Transitioning to a power system with high shares of wind and solar power, which have no fuel costs associated to them, results in decreasing energy market prices,” said John Lowry from EirGrid, the Irish Transmission System Operator (TSO).
While the rise of wind and solar is “undoubtedly very positive, it does present challenges for incentivising the right type of investment, to ensure the system develops, provides the necessary flexibility, and system services required in 2030 and beyond,” Lowry said at the EURACTIV event. In other words, “falling prices mean reduced revenues, and in some cases, financial gaps,” he warned.
Source: Euractiv
Transport Sector Transformation: Integrating Electric Vehicles into Turkey’s Distribution Grids
Global electric vehicle (EV) sales are on the rise thanks to policies that address the development of different types of EVs and the rollout of charging infrastructure. By the end of 2018, the total number of EVs in the global vehicle stock exceeded 5 million with a similar number of charging stations in place. Projections show that the total number of EVs worldwide could increase to between 120 and 250 million by 2030.
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