First private electricity company licensed in Turkey

After a process that lasted 17 years, an electricity distribution license was given to a private company in Turkey for the first time.

First private electricity company licensed in Turkey
During a board meeting this week, Turkey's Energy Market Regulatory Authority (EPDK) decided to grant a 30-year authorization to AYDEM Electricity Distribution Corp. for the distribution and trading of electricity in a territory covering Aegean provinces of Aydin, Denizli and Mugla.

The authority also determined the tariffs to be applied and investments to be made by the company till the end of 2010.

Turkish Electricity Distribution Company (TEDAS) will hand over the distribution facilities in the said territory to the new licensee within a month, officials said on Sunday.

For the next 30 years, AYDEM Electricity Distribution Corp. will provide electricity distribution services to a total of 1.5 million subscribers in the region, whose annual electricity consumption reaches 6 billion KW/hr.

EPDK chairperson Hasan Koktas told A.A that granting of such license to a private company made a 17-year-old dream come true.

Koktas said 98 percent of the electricity distribution activities in Turkey were carried out by public entities currently.

"When AYDEM starts operating, such share will decrease to 94 percent as the share of the private sector will rise up to 6 percent," Koktas said.

He also said that electricity production and distribution licenses would be given to various private companies in the following months.

"By this way, private sector's share will increase to 17-18 percent," Koktas said.

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Last Mod: 20 Temmuz 2008, 14:35
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