The Electricity Market Licensing
Regulation was amended with the Regulation on Amending the Electricity Market
Licensing Regulation published in the Official Gazette dated 24 February 2017
(“Amendment Regulation”). Among
others, the Amendment Regulation introduces changes with regards to renewable
energy resource areas “RERA”, details for which are provided in the Regulation
on Renewable Energy Resource Areas (“RERA
Regulation”). As per the RERA Regulation, RERA will be developed by the
Renewable Energy General Directorate or through a competition process. Such
competition will concern connection capacity allocation. Applicants will
provide bids for the connection area and connection capacity announced by the
energy and Natural Resources Ministry.
For example, the Amendment Regulation
(i) indicates that the duration of pre-licenses and generation licenses granted
for RERA may not exceed 36 months and 30 years respectively; (ii) separates
pre-license applications made by RERA from those made by other entities aiming
to generate electricity; (iii) provides the procedures to be followed for RERA
applications concerning pre-licenses; and (iv) details the mechanism for
changes with regards to pre-licenses granted to RERA and their
cancellation/termination.
The Amendment Regulation also broadens
the exceptions for share transfers of pre-license holding entities.
Accordingly, the share transfer restriction in the Electricity Market Licensing
Regulation will not apply in the following cases:
Direct and indirect shareholding changes
among existing shareholders provided that there is no change of control in the
shareholding structure of the relevant pre-license holder
In pre-license holding entities, where
majority of the shareholding is directly or indirectly owned by public
authorities, direct/indirect shareholding changes due to a share capital
increase or a change in shareholders, provided that there is no new shareholder
aside from public authorities/corporations
Direct and indirect shareholding changes
arising from the pre-license holder’s and its direct/indirect shareholders’ buy
back of their own shares within the scope of the Turkish Commercial Code
Direct and indirect shareholding
acquisitions within the pre-license holding entity, which arise from
foreign sources (by foreign legal entities or legal entities incorporated under
the Turkish Commercial Code and controlled by such foreign legal entities)