The Turkish geothermal sector is requesting that the YEKDEM incentive scheme be prolonged till 2040, according to longer growth of geothermal tasks.
The geothermal vitality sector, highlighting points arising from the Renewable Vitality Help Mechanism (YEKDEM) schedule, is requesting an extension of the motivation interval till 2040. Ali Kindap, Chairman of the Board of the Geothermal Vitality Affiliation (JED), emphasised that the present laws usually are not aligned with funding processes and said that extending the interval is essential for the event of geothermal tasks.
Kindap recalled that, in line with Presidential Decree No. 7189 revealed within the Official Gazette on Might 1, 2023, electrical energy era amenities with a Renewable Vitality Certificates (YEK) that begin operations by December 31, 2030, shall be eligible for YEKDEM. He identified that this regulation poses a serious impediment to geothermal investments.
“We request that the deadline for geothermal vitality investments to learn from YEKDEM be prolonged from 2030 to 2040,” mentioned Ok?ndap, stressing that the regulation is crucial for the belief of ongoing funding plans within the sector.
Geothermal has totally different dynamics from wind and photo voltaic
Kindap famous that geothermal vitality has totally different dynamics in comparison with different renewable vitality sources like wind and photo voltaic. He reminded that within the course of referred to as the Third YEKDEM, the motivation interval was prolonged from 10 to fifteen years. Nevertheless, for energy vegetation to learn from this incentive, they should be operational by December 31, 2030. As a result of lengthy funding means of geothermal vitality, Kindap emphasised that this timeline will not be appropriate for the sector:
“A geothermal funding course of, which incorporates levels akin to licensing, permits, website acquisition, environmental influence evaluation (EIA), drilling, useful resource effectivity evaluation, energy plant building, and commissioning, takes at the least 5 years underneath the very best circumstances. Many firms trying to make investments as we speak face the danger of not with the ability to full their tasks by 2030 as a consequence of present laws. This disrupts geothermal investments.”
By the top of 2025, 36% of put in geothermal capability shall be outdoors YEKDEM
Kindap said that the sector has shared its issues with the related public authorities and emphasised the necessity to stability energy vegetation which have accomplished their YEKDEM durations with new investments. He additionally highlighted the important thing function of geothermal vitality in Turkey’s 2053 Internet Zero imaginative and prescient and careworn that it’s important to fee new investments of at the least the identical capability to switch vegetation whose incentive durations have expired.
This demand was beforehand raised by the Geothermal Energy Plant Buyers Affiliation (JESDER), with business representatives emphasizing the necessity to take away structural obstacles to geothermal investments. In previous statements, JESDER argued that extending YEKDEM incentives wouldn’t solely assist present tasks but additionally assist Turkey obtain its renewable vitality targets.
Geothermal sector representatives said that extending the interval would each enhance curiosity within the sector and be a essential step for Turkey’s vitality safety. They urged for the regulation to be applied as quickly as doable.
Supply: Ekonomim through our Turkish language platform JeotermalHaberler
