In 2023, the 100th anniversary of Turkish Republic, Turkey wants to become a strong energy commercial center.

In the meeting called “Developments in the Energy Sector in Turkey in EU Process and in the World” was held in Gaziantep, city of Turkey. Abdullah Tancan, Deputy Undersecretary of Turkish Ministry of Energy and Natural Resources, said that the energy consumption in Turkey is increasing rapidly.

Noting the importance of renewable energy sources in electricity generation, Tancan said, "In order to ensure our citizens to access the qualified and uninterrupted electricity, our transmission and distribution infrastructure is being rehabilitated. To balance the supply and demand imbalances in electricity, the demand side will be actively involved in the market.”

Symbol of peace and stability

Mustafa Yılmaz, Chairman of EMRA, said that Gaziantep has been one of the fast growing cities of Turkey in recent years.

 Yılmaz continued: "In the 100th anniversary of our republic, we want to be a powerful energy commercial center while being a symbol of peace and stability. In the past, Turkey was a bridge. We do not want to be just a bridge, but also be a trading center. In this concept, Gaziantep will be an important center for energy trade."

Referring to the "National Energy Strategy" announced by Berat Albayrak, Turkish Minister of Energy and Natural Resources, Yilmaz said, "This strategy is built on 3 basics; supply security, predictable market and domestic resources. We are looking for the answers on how we can improve ourselves in these 3 areas. We must develop more and faster in the energy sector than other sectors. We need to develop and expand our distribution and transmission lines according to future days. We must also use our domestic resources in addition to our renewable resources.”

Turkish electricity distribution companies have succeeded 85 % improvement in occupational health and safety (OHS).

Turkish Ministry of Labor and Social Security and ELDER- Association of Electricity Distribution System Operators held "OHS Inspections and Solution Proposal Workshop in Electricity Distribution Sector" together.

Semih Ozcakir, Vice President of the Labor Inspection Board in Turkish Ministry of Labor and Social Security, stated that 13 DSOs were inspected out of 21 in 2016 and this means 62% of the whole sector was inspected. Ozcakir said, with subcontractors, 113 work places were inspected.

Ozcakir indicated that in total, 1.327 factors were found contrary to the legislation at the beginning. Saying that a period of time has been given to the companies for straightening these factors, Ozcakir said, after this time, 1.114 factors were corrected (means 85 percent). Ozcakir continued that they expect ELDER's contribution more at this point.

Working under energy increases the danger

Ugur Yuksel, General Secretary of ELDER, reminded that electricity distribution sector is classified as dangerous and very dangerous business. Yuksel pointed out that IT and communication technologies gain importance in the sector. He emphasized intelligent network concept has been used frequently for the last 10 years.

Yuksel, continued as follow:

"With the integration of information and communication technologies into the network, the intelligence of it is evolving. But this does not take away the dangerous nature of our work. In fact, today's people are much more dependent on electricity than in the past. Moreover, the tolerance to the outages is also reduced. ELDER, the regulatory authorities and the countries around the world have the goal of performing maintenance and repair service under energy. This makes our business a bit more dangerous. But it is a service that society expects from us. " Yuksel concluded his words by saying that OHS Working Group is one of the most important working groups under ELDER.

Bonus to companies

Alpaslan Mutlu, Head of Group in Distribution and Retail Sales of Electricity Market Department in EMRA, stated that as EMRA, a legislation has been made and said,

“The companies which do not have a fatal occupational accident, will receive bonus as an incentive up to 5 per thousand of their revenue cap.” Mutlu also expressed his happiness that DSOs are aware of their responsibilities.

ELDER OHS Working Group President Savas Seloglu underlined the importance of this workshop and said: "I hope we will do better in the distribution sector. This is the first step. We know that our road is long and tough. We will keep going with patience and determination.”

At the end of the workshop, some solution suggestions were made including working with close cooperation with every stakeholder in the sector, giving educations and putting the OHS standards into practice as soon as possible.

Article
Investment and Efficiency under Incentive Regulation: The Case of the Norwegian Electricity Distribution Networks
By: Rahmatallah Poudineh & Tooraj Jamasb
April 2013

“Following the liberalization of the electricity industry since the early 1990s, many sector regulators have recognized the potential for cost efficiency improvement in the networks through incentive regulation aided by benchmarking and productivity analysis. This approach has often resulted in cost efficiency and quality of service improvement. However, there remains a growing concern as to whether the utilities invest sufficiently and efficiently in maintaining and modernizing the networks to ensure long term reliability and also to meet future challenges of the grid. This paper analyses the relationship between investments and cost efficiency in the context of incentive regulation with ex-post regulatory treatment of investments using a panel dataset of 126 Norwegian distribution companies from 2004 to 2010. We introduce the concept of “no impact efficiency” as a revenue-neutral efficiency effect of investment under incentive regulation which makes a firm “investment efficient” in cost benchmarking practice. Also, we estimate the observed efficiency effect of investments in order to compare with no impact efficiency and discuss the implication of cost benchmarking for investment behavior of network companies.”

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