ARTICLE
7 June 2017

New Competition Regulation On Pre-License Applications For Wind And Solar Plants

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Pekin Bayar Mizrahi

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Pekin Bayar Mizrahi is a leading top-tier law firm located in Istanbul, Türkiye.

The firm was founded by Mr. Fethi Pekin, who was a former judge, in 1946. Ms. Sefika Pekin and Ms. Selin Bayar subsequently joined the firm. In time, the firm has broadened its areas of expertise and the sectors it advises; thereby becoming a “full-service” firm with a global reach. In 2021, its dispute resolution partner, Mr. Ergin Mizrahi, became a name partner and the firm changed its corporate name as Pekin Bayar Mizrahi.

With its local and international experience of 75 years, Pekin Bayar Mizrahi is now one of the largest law firms in Türkiye in both size and volume, employing around 60 fee earners. The firm also has liaison offices and affiliate counsels in numerous cities in Türkiye. The firm has international practice and its clients include States, large financial institutions, and transnational corporations from various sectors.

The Competition Regulation on Pre-License Applications for Wind and Solar Plants has been published in the Official Gazette dated 13.05.2017 and numbered 30065
Turkey Energy and Natural Resources
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The Competition Regulation on Pre-License Applications for Wind and Solar Plants has been published in the Official Gazette dated 13.05.2017 and numbered 30065.

As per the Regulation, if the number of pre-license applications to connect to the same connection area set forth by TEIAS exceed the announced capacity and/or if there are applications with a conflicting or intersecting plant area, TEIAS will hold a competition to determine the entities to connect to the system. The lists concerning the solar/wind projects that could participate in the competition will be published on the web page of TEIAS.

In summary, valid offers will be re-listed during the competition, starting with the project that has the lowest offer price. Connection capacity will be allocated respectively until the capacity of the connection area is reached. 

For projects with the same offer price, a reduction method will apply. Except for cases with conflicting/intersecting plant areas, when the offer prices are the same, a competition will be held when the total capacity of projects submitting the same offers is higher that the capacity to be allocated at the time.

For the purposes of the Regulation, offer price means the price, which will be applied instead of the price reflected in Schedule 1 of the Renewable Law No. 5346 and which will not in any case be higher than such reflected price. The offer price will have at most two decimal digits and will be over USD cent/kWH.

In case there are projects with conflicting or intersecting plant areas, the project owner that has submitted the lower offer price will have the right to use the conflicting or intersecting plant area. If the offer prices are the same, the reduction method will be used.

The Regulation replaces the previous Competition Regulation on Pre-License Applications for Wind and Solar Plants.

The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.

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