SOLAR ENERGY: WHAT ARE THE ENVIRONMENTAL AND BUILDING REGULATION BARRIERS TO NEW PROJECTS IN TURKEY?

 

 

Prof. Dr. Firuz Demir YASAMIS

ISTANBUL AYDIN UNIVERSITY

 

 

 

 

 

 

 

 

 

 

This paper is presented to the Symposium on Solar Turkey

December 10-11, 2009

Mövenpick Hotel

Istanbul, Turkey

Introduction

Solar energy as one of the most dependable sources of renewable energy aims at utilizing the radiation coming from the sun into acceptable energy forms to be used in our daily needs. The warmth and the light of the radiation are transformed to energy through specific mechanisms such as solar panels for hot water or photovoltaic batteries. This energy is then used to heat and enlighten the surrounding area depending on the needs of the users. Input is basically free and the output is certainly clean and hence no contribution to the global warming and climate change. These potentialities make the solar energy an inescapable source of energy for tomorrow.

As far as Turkey is concerned the utilization of solar energy is limited vis a vis the potentialities of the country. The main utilization area of solar energy is domestic water heating mainly for kitchen and bathing purposes at home through solar panels constructed at the roofs.

The table given below indicates the potentialities of Turkey in terms of solar energy.

 

SOLAR POWER IN TURKEY POTENTIALS IN TURKEY
Region	Total Solar Energy (kWh/m2/year	Sun duration (h/year)
Southeastern Anatolia	1460	2993
Mediterranean region	1390	2956
Eastern Anatolia	1365	2664
Central Anatolia	1314	2628
Aegean region	1304	2738
Marmara region	1168	2409
Black sea region	1120	1971

 

      

 

 

 

 

 

 

Source: Electricity Administration Survey Department

 

 

Legal Aspects: Legislation

There is no specific legislation on solar energy in Turkey. The system has not yet been regulated in detail. However several laws of Turkey have indirect articles on solar energy. One of these is the law on Build-Operate-Transfer (BOT) Law on several infrastructures (Law no 3996 (4047), dated 1994).

This law regulates the procedure to be employed for BOT system in national infrastructures for electricity production, distribution and trade and also investments to be made for environmental pollution control. Solar energy investments can be considered to be included in the law –although not specifically mentioned- and therefore BOT system can be used for solar investments in Turkey.

Another important law is the Law numbered 3096 which eliminates the monopoly power of the public over the electricity production, distribution and trade and paves the way for private sector investments is this area.

In order to further regulate the procedure two different regulations have been enacted: Electric Energy Fund Regulation and The Regulation on Empowering non-Public Institutions for Electricity Production, Distribution and Trade. The first Regulation in not in force at the moment since the Constitutional Court has annulled the law which authorizes the enactment of such a regulation to the Ministry of Energy and Natural Resources.

The second regulation is still in effect and urges the investors for solar power to prepare a feasibility report, and then apply to the Ministry and ask for permission. The plan of the feasibility report is given in the Annex.

Naturally, the most important piece of legislation is the Law on the establishment of Electricity Market Regulation High Board (EPDK) which has been renamed later as Energy Market Regulation High Board with the enactment of Natural Gas Market Regulation Board Law. The Board is now also authorized to control petroleum market in Turkey. Overall, the High Board is responsible to provide an independent control over the energy market, to insure the supply of sufficient and quality energy in compatible with clean environment requirements. Therefore, EPDK is authorized to regulate the solar energy market in Turkey.

Besides these main laws, there are some regulations put into effect by the central and local governments. One of the important regulations set by the Ministry of Environment and Forestry is the Environmental Impact Assessment (EIA) Regulation. This regulation specifies the investment projects subject to EIA reports. Solar power has not been specifically mentioned in the Regulation but those investments for hot water production are mentioned for the projects to be screened.

Naturally, the urban planning regulations (imar planları ve yönetmelikleri) of the municipalities are important. Unfortunately, even the biggest municipalities’ planning regulations do not include detailed arrangements for solar energy. The only concern so far confronted by these regulations is related to roof alignment.

The last piece of legislation to be mentioned is the Law on Condominium Ownership. This law regulates the relations amongst the flat owners of the buildings. This law envisages that all major modifications will be decided by the qualified majority of the condominium owners, common areas cannot be used for the purposes which have not been accepted by the owners and all owners will pay maximum care to the utilization of common areas.

 

Legal Aspects: Court Decisions

The court decisions are analyzed on two aspects: decision given by the Constitutional Court (CC) and decisions given by the High Court of Yargitay.

The only decision made by the CC on the subject is related to the establishment of a Fund for Electricity. The provisional article 6 of the Law numbered 3096 indicated that a fund will be created for electricity and the sources of revenues of the Fund will be determined by the administration. The CC found this provision as unconstitutional and contrary to the principle of non-transferability of legislative power to the executive body. Therefore, the Fund has not become operational.

Despite the relatively not well developed status of solar legislation in Turkey, the decisions issued by the High Court (Yargitay) have further clarified the utilization of the solar energy. Almost all of these decisions are related to domestic utilization of solar energy.

The High Court in her stable resolutions predicts that:

-      All investments to be made in the commonly owned condominium apartments should be in line with the construction projects.

-      Despite this principle solar panels can be installed on the roofs by the flat owners provided that

o   The share to be occupied at the roof is not bigger than the share of the condominium in the building

o   The total area of the roof is enough for all condominiums

o   Constructed in line with the acceptable technology

o   No harm will be created for safety of the building

o   Aesthetic (visual) pollution will not be created

o   No harm will be given to other buildings

o   All precautions will be taken for potential nuisances to be caused.

Basing upon the principles mentioned above, it would not be wrong to state that single home owners taking part in specific sites does have the same right to install solar panels on their roofs and site administration has no right to interfere in even if the majority decides so. Simply because, the individual rights cannot be abolished by the majority votes of the single home owners provided that individual rights will not be exploited as foreseen by the “Citizens’ (Medeni) Law”.

 

Conclusion

Solar power is so far taken as a synonym for solar roof panels in Turkey. The theory and practice have not reached any sensible outcome of the today’s solar energy technology as seen abroad. This reflects itself to the legal aspects of the solar energy in Turkey. The high court (Yargitay) decisions are related mainly to the solar roof panels.

However, existing legislation also contains important rules and procedures for solar energy investments in Turkey. In this aspect foreign capitals are encouraged to invest in Turkey. All other relevant legislation also has been modified to satisfy the needs of the foreign investors.

Therefore, there is no barrier for solar energy either in terms of environment or in terms of urban planning. However, those investors who intend to make investments for larger projects have to prepare a pre-feasibility study (see Annex) and to apply to the EPDK for permission. Additionally, if exceeds the threshold limits the project might be subject to full EIA report assessment by the Ministry of Environment and Forestry.

 

Sources

1.      Electricity Administration Survey Department

2.      Gülün Egeli. Energy Policy of Turkey, Legislation of Electricity Energy and its Practice. (Türkiye’nin Enerji Politikası, Elektrik Enerjisi Mevzuatı ve Uygulamaları). Çevre Enerji Kongresi Antalya Sempozyumu 14-15 NİSAN 1997, Antalya – Türkiye’nin Enerji Politikaları Paneli 18 HAZİRAN 1996, ANKARA, MMO. Yayın no: 191.

3.      Firuz D. Yaşamış. Environmental Impact Assessment. (Çevresel Etki Değerlendirmesi). 2003. Improved and updated second edition.  ÇEKÜL Vakfı. Istanbul.

4.      Firuz D. Yaşamış. Turkish Environmental Law: An Overview of Legal Principles. (Türk Çevre Hukuku: Temel İlkelere Genel Bir Bakış). 1999. In memoriam of. Dr. Faruk Erem. Türkiye Barolar Birliği. Ankara. 1999, 879-906.

5.      Firuz D. Yaşamış. Recent Developments in Environmental Penal Law: The New Penal Code and the Code of Misdemeanors. 2005. Türkiye Barolar Birliği Dergisi. Ankara. 58: 137–148.

 

 

 

PROF. DR. FIRUZ DEMIR YASAMIS

B.A. Political Sciences, Ankara University (1968).  Master in Planning (Urban and Regional Environment), University of Southern California, USA (1976). Master in Public Administration, Universi­ty of Southern California, USA (1976). Ph.D., Political Sciences and Public Administration, Ankara University (1991). Assoc. Prof. in Public Administration - Urbanization and Environ­mental Problems (1993).  Completed Subgovernors’ Training Program in Turkey, Mid-Career Professional Development Training Program in the USA, UNEP's Environmental Management Training Program in Italy. Also completed training programs on Environmental Auditing and ISO-14000 International Environmental Management Standards.

 

Joined the Ministry of Interior (1968). Secretary General and acting Undersecretary of Environmental Undersecreteriat (1978-80). UNICEF representative in Turkey (1983-5). Institutional development consultant at Çukurova Urban Development Project, World Bank (1985-7). Consultant of Council of Europe, OECD and WHO and several domestic institutions. Chairman of the Environmental Special Advisory Committee for  the  7th Development Plan.  Chairman of the National Structural Reform Committee on Environmental Management in Turkey. Reporter of the President's State Inspectorates Council on the State Reform Project.

 

Undersecretary of the Ministry of Environment (February 1998 and August 1999).

 

Now full time member of the faculty at the Istanbul Aydin University and is the Head of Global Perspectives Program.

 

Wrote 11 books and more than 100 articles in international and national periodicals.

 

 

Annex: 

CONTENT OF INVESTMENT PLAN

SECTION - 1.   THE NATURE AND TYPE OF THE INVESTMENT 

        1.1. General information                                                     

        1.2. The Reasons for the Project 

SECTION - 2. INTRODUCTION OF THE SITE                                        

        2.1. Natural Conditions 

        2.2. Social Conditions 

        2.3. Economic Conditions 

        2.4. If exists, summary of previous reports                    

SECTION - 3.   DEVELOPMENT PLAN                                                      

        3.1. Reasons to develop                                      

        3.2. Existing facilities                                                    

        3.3. Forecasting energy demand                                              

        3.4. Proposed facilities                                             

        3.5. Effectiveness of the plan                                                   

SECTION - 4.   SOLAR ENERGY POTENTIALS                                         

        4.1. Solar radiation values                                          

        4.2. Sun duration                      

        4.3. Solar energy utilization data                                  

SECTION - 5.   DATA ON THE SITE                           

        5.1. Meteorology 

        5.2. Geology                                                      

        5.3. Ground surveys 

        5.4. Earthquakes                                                      

        5.5. Transportation                                                        

SECTION - 6.   FACILITY TO BE CONSTRUCTED                                                    

        6.1. General                                                              

        6.1. Capacity                                                    

        6.2. Optimum power, units, capacities                    

        6.3. Transformers: number, types                                           

        6.4. Connection                                     

        6.5. Annual energy production                                              

        6.6. Integrated heat-electricity alternatives                          

        6.7. Management policies                                               

        6.8. Problems related to construction                                                 

        6.9. Power station

        6.2. IF FACILITY IS A THERMODYNAMIC TRANFORMING SYSTEM                

        6.2. Generator type and capacity                                       

        6.3. Turbines type and capacity                                            

        6.4. Fluids to be used                          

        6.5. Cooling water                                

        6.6. Sun monitoring and control systems                         

        6.7. Heliostats                 

        6.8. Tower                                                         

        6.9. Reflection and condensation ratios of heliostats

        6.10. Productivity of heat transformation at central receptor      

        6.3. IF FACILITY IS A SUN BATTERY

        6.4. Deposition and conservation systems                                               

        6.5. Productivity of panels                                                   

        6.6. Structure of solar battery 

        6.4. IF FACILITY IS A SUN POOL                       

        6.5. Specifications of sun pool

        6.6. Heat transformation type and ratios

SECTION - 7.    THE DURATION OF THE PROJECT                                       

        7.1. Duration for final project    

SECTION - 8.    COST                                                    

        8.1. Principles used for cost calculation                             

        8.2. Principal costs                                                 

        8.3. Annual expenditures                                                   

        8.4. Need for foreign currency                                                    

        8.5. Cost of investment

SECTION - 9.    COST SHARING FOR MULTI PURPOSE PROJECTS       

SECTION - 10.   SENSITIVITY ANALYSIS       

SECTION - 11.   INVESTMENT PLANNING AND ECONOMIC ANALYSIS                     

        11.1. Investments by years                                 

        11.2. Interest rates                                           

        11.3. Financing plans                                                   

        11.4. Operational capital                                                 

        11.5. Expenditures forecasted                                          

        11.6. Credit installments and interest rates                       

        11.7. Cash flow analysis 

        11.8. Cost effectiveness 

        11.9. Profitability                                                 

SECTION - 12.   ALTERNATIVE SOLUTIONS