non licenced electricity production-500 kw

8/2/2019 Non Licenced Electricity Production-500 kW

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-March 10th

2012 SATURDAY Official Gazette Issue Number : 28229

COMMUNIQU

COMMUNIQU ABOUT THE APPLICATION OF THE BY-LAW CONCERNING THE UNLICENSEDGENERATION OF ELECTRICAL POWER IN THE ENERGY MARKET

by Energy Market Regulatory Authority

1. OBJECTIVE1.1. The communiqu hereby has the objective to regulate the applications in the scope of the By-law

Concerning the Unlicensed Generation of Electrical Power in the Energy Market published in the issue280001 of the Official Gazette on July 21 st /2011.

2. LEGAL BASIS2.1. The communiqu hereby has been prepared basing on the grounds in the Paragraph 6 of Article 30 of the by-

law mentioned above.

3. SCOPE3.1. The communiqu hereby covers all the applications in the scope of the By-law Concerning the Unlicensed

Generation of Electrical Power in the Energy Market published in the issue 280001 of the Official Gazetteon July 21st /2011.

3.2. The by-law and the communiqu cover3.2.1. the procedures and principles to be applied to those real or legal persons building/having built a

cogeneration plant in order to meet their needs only, who are exempted from the obligations of getting alicense and establishing a company,

3.2.2. the procedures and principles to be applied to those real or legal persons building/having built plants ofcapacity not exceeding five hundred kilo watts basing on renewable energy resources, as well as theprocedures and principles to be applied to those real or legal persons in case they give the surplus energyto the power distribution system and/or they draw energy from the power distribution system,

3.2.3. the procedures and principles to be applied to those real or legal persons building/having built a micro-cogeneration plant, who are exempted from the obligations of getting a license and establishing acompany, in case they give the surplus energy to the power distribution system provided that they havethe authorization to give the surplus energy to the system,

3.2.4. the procedures and principles concerning consolidation of the consumption and for issue of sourcecertificates in the electrical market.

3.3. The communiqu hereby does not cover special power generation plants to be established in the scope of theCommuniqu Concerning the Issue of Electric Power Consumption Organization Permits to BeEstablished by Emergency Groups and Third Persons, Approval of Projects and Determination ofAuthorized Organizations Regarding Acceptance Transactions coming into force after being published inthe issue 24759 of the Official Gazette on May 18 th 2002.

4. DEFINITIONS4.1 The terms and definitions mentioned in the communiqu hereby have the same meanings and coverage as

in Article 3 of the mentioned by-law.

4.2 The expression By-law mentioned in the communiqu hereby means the By-law Concerning theUnlicensed Generation of Electrical Power in the Energy Market published in the issue 280001 of the

Official Gazette on July 21

st

/2011.4.3 The following terms not being in the scope of 4.1 have the following meanings:4.3.1 Alternating Current (AC): the electric current which amplitude and direction changes periodically,4.3.2 Direct Current (DC): in an electrical circuit the current which current flow or currency of the electrical

charges has a specific and unchanging direction,4.3.3 Under- or overexcited operation: Increasing or decreasing the excitation currents of the synchronous

compensators and / or generators in order to regulate system voltage,4.3.4 Parallel Operation: the operation mode, where the network-connected generator supplies power to the

network or local loads parallel with the network,4.3.5 Communiqu: the communiqu hereby5. EXEMPTIONS5.1 The real or legal persons are exempted from the obligations of getting a license and establishing a company,

who will generate power in micro-cogeneration plants or in power generation plants of capacity not

exceeding 500 kW basing on renewable energy resources.5.2 Those real or legal persons building/having built a cogeneration plant, which total efficiency is greater than


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the value mentioned in the By-law about Increasing the Energy Resources and Efficiency of Energy Usagepublished in the issue 28097 of the Official Gazette on October 27th 2011, in order to meet their needs only,are exempted from the obligations of getting a license and establishing a company.

5.3 In principle only one cogeneration plant or micro-cogeneration plant or generation plant basing onrenewable energy resources may be established in the scope of the by-law and the communiqu hereby.However, in case there is enough capacity in the distribution system, more than one generation plant basing

on renewable energy resources may be permitted for each consumption unit. The total installed capacity ofall these plants may not exceed 500 kW.

5.4 The installed capacity of the energy generation plant or plants basing on renewable energy resources,established for or each consumption unit, may not exceed 500 kW.

5.5 A real or legal person may establish only one micro-cogeneration plant in each consumption unit underhis/her/its responsibility.

6. INTERCONNECTION PRINCIPLES6.1. The power generation plants established in the scope of the by-law and the communiqu hereby may only be

connected to the distribution system.

6.2. Article 6.1 also applies to the power generation plants established in the scope of the by-law and thecommuniqu hereby, not located at the same site as the consumption units, which are directly connected to the

distribution system.6.3. For cogeneration plants maximum 50 kW and for power generation plants basing on renewable energyresources maximum 500 kW are allocated at each connection centre to every person regardless of theconsumption units.

6.4. The distribution companies may make interconnection capacity allocation to the power generation plantsbasing on wind or solar energy, intending to be connected to the distribution system at the HV level in scopeof the by-law and the communiqu hereby, according to the relevant principles and procedures, until the totalpower quantity of wind and solar energy directed to each transformer centre of TE (TE: TrkiyeElektrikletim Anonim irketi / Turkish Electricity Transmission Corporation) amounts to 2 MW.

6.5. The power generation plants and the consumption units of the persons establishing power generation plants inthe scope of the by-law and the communiqu hereby must be located in the same distribution region.

6.6. The power generation plants having the installed capacity not exceeding 5 kW may be connected to thedistribution network at single-phase LV level. The power generation plants having the installed capacity

exceeding 5 kW may only be connected three-phased to the distribution network.7. GENERAL PROVISIONS7.1 In the communiqu hereby all values given in units of kW indicates electric power.7.2 According to the provisions of the by-law and the communiqu hereby the full and complete applications

shall be put into process, otherwise they are rejected. The completion as well as the elimination ofdeficiencies of the application after the putting it in the process is not permitted; in the same way it is notallowed to submit documents to the file after the application.

7.3 The power generation plants established in scope of the by-law and the communiqu hereby can beconnected to the distribution system at the HV or LV voltage levels by considering their technical propertiesand the current capacity of the distribution system with respect to the point of connection. The request forinterconnection application may be rejected primarily due to the provisions of the by-law and thecommuniqu hereby, and secondarily due to the relevant technical provisions as well as the relevant

legislation as far as it is concerned.7.4 The power generation plants to be constructed and operated by real or legal persons in scope of the by-law

and the communiqu hereby shall be designed, built and operated by taking the principles, procedures,conditions and guidelines into consideration primarily as stated in the communiqu hereby and secondarilyin the relevant legislation as well as in the relevant technical legislation.

7.5 The use has the responsibility for designing, building and operating the power generation plant to beconnected to the distribution system in accord with the criteria stated in the by-law, the communiqu hereby,relevant technical legislation and the relevant legislation. The sanctions mentioned in Article 32.5 shall beimposed to the users not complying with the principles, procedures, conditions and guidelines stated in thecommuniqu hereby.

7.6 A power generation plant connected to the electric distribution network may be disconnected from thenetwork by the distribution company in cases as may be required for testing and control, networkmodification, maintenance and repair, or expansion work, or in cases presenting urgency in terms ofproviding safety for life and property, accidents, system failure, system safety or operating conditions, aswell as in cases of force majeure or in similar emergency cases. In these cases, the producer may not claim


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any royalty payment, including the compensation for the positive and negative damages.

7.7 In case the distribution network pass over the operating limits because of the power cut or other similarsituations, the power production plant must automatically be disconnected from the distribution system inthe time slices mentioned in the Table 1 and Table 2 included in Article 17 of the communiqu hereby, inorder to ensure the safety of life and property.

7.8 For the plants generating current not exceeding 16 A per phase theharmonic power fluctuation and flicker

severity characteristics of the electrical power generated at the power plants connected/to be connected to thepower distribution network must comply with the values stated in the Appendix-1.4; for other power plantsthe mentioned characteristics must comply with the relevant norms of the TS EN 61000 series standardsdepending on the capacity, type and interconnection level of the plant. The value of the direct currentinjected to the distribution network by the power plant may not exceed the limit value stated in theAppendix-1.4.

7.9 The necessary conditions for the power generation unit/units to be synchronized with the distributionnetwork connected shall be determined in accordance with Article 19; and these conditions shall be stated inthe interconnection agreement.

7.10 The power generation plant may not be operated at a higher power than the agreed power stated in theinterconnection agreement. Otherwise the sanctions shall be imposed, which are mentioned in Article 32.5 ofthe communiqu hereby.

7.11 In the scope of the by-law and the communiqu hereby no power generation plants may be established bythe real or legal persons for the consumption units within the temporary and/or mobile subscriber group.7.12 The materials used in the power generation plant and interconnection equipment to be established by the

user must be manufactured in accordance with relevant standards, must be covered under warranty and mustbe produced in the last five years.

7.13 The enjoyment of the incentive application, regulated in Article 23 of the by-law, by the user can bepermitted on the condition that the user submits the document concerning the support price of the machinesand/or electro-mechanical equipment used in the power generation plant to the distribution company, inwhich region the user intends to operate, as specified according to the by-law released by the Ministry,namely the By-law about Domestic Manufacturing of the Components Used in Plants Generating ElectricalEnergy from Renewable Energy Resources published in the issue 27696 of the Official Gazette on June 19th2011. The user may enjoy the incentive beginning at the date of provisional acceptance, in case thedocument has been submitted before the date of provisional acceptance; if the document is submitted during

the operation, the user may enjoy the incentive as of the next month following calendar month of thesubmission date of the document.

7.14 The short circuit current, that may occur together with short-circuit current contribution of the powergeneration plant, may not exceed the value of endurance at short-circuits current of the distribution systemequipment and the specified limits for the distribution system.

7.15 The owner of the plant is responsible for the damages that may occur in equipment during the trial runsbefore the provisional acceptance as well as for the safety of life and property concerning the facilities (likeoverhead lines, etc.) to be energetized.

7.16 The power generator may not charge any fee for electrical energy delivered to the distribution systembefore the provisional acceptance and during the trial runs for the provisional acceptance procedures.

7.17 The tests to be performed and their durations shall be notified to the distribution company by the plantowner.

7.18 The applications by real or legal persons intending to generate power shall be accepted during each calendarmonth within the scope of the by-law and the communiqu hereby and shall be evaluated and brought to aconclusion collectively in the first 20 days of the following month.

7.19 The possession limit of the unlicensed power generation plant is included in the special provisions sectionof the Interconnection Agreement, in such a way that it covers the limits for the consumers as mentioned inArticle 9 of Communiqu Concerning the Interconnection to the Transmission and Distribution Systems andthe System Usage in the Energy Market, titled as Possession Limits of the Distribution System.

7.20 Each year in August all kinds of information, which is needed by the distribution licensee to fill the formsto submit to the Authority, shall be delivered by the owner of the power generation plant to the legal personhaving the distribution license by means of pre-printed forms published at the website by the legal personhaving the distribution license in the last three days of July.

7.21 TE(TE: Trkiye Elektrikletim Anonim irketi / Turkish Electricity Transmission Corporation) shalldefine and notify the relevant distribution company about the total permissible connecting power for eachtransformer centre belonging to TE, where the generation plants are to be connected, excluding thosewith the connecting capacity of 2 MW as per Article 6.4 of the Communiqu hereby , but including the


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cogeneration plants, the power generation plants basing on renewable power resources and the microcogeneration plants with the installed capacity up to 500 kW to be installed within the scope of the by-lawand the communiqu hereby as of the date of the publication of the communiqu hereby. The final decisionfor the cogeneration plants with the installed capacity higher than 500 kW shall be notified to the applicantin writing form basing upon view of the TE on the fault current limit.

7.22 A non-recurring distribution interconnection fee for interconnection of the power generation plants, which

are going to be established, to the system will be collected at the conclusion date of the interconnectionagreement and will not be refunded. The payment of the distribution interconnection fee for theconsumption unit, which is located at the same or another site as the power generation plant, does notpreclude the collection of this charge for the power generation plant.

7.23 The application to the distribution company for modification of the installed capacity of the existing powergeneration plant shall be evaluated by the distribution company as a new application.

7.24 As a result of changes at the interconnection point of the power generation plant, the interconnectionagreement shall be amended according to the provisions of theCommuniqu Concerning the Interconnectionto the Transmission and Distribution Systems and the System Usage in the Energy Market published in theissue 25061 of the Official Gazette on March 27 th 2003, in case of the absence of the relevant provision inthe communiqu hereby.

7.25 The most recent editions of the standards referred to in the communiqu hereby are considered to be valid

and actions are taken accordingly.8. SUBMITTING AND ASSESSMENT INTERCONNECTION APPLICATIONS8.1 The real or legal persons intending to generate electric power by means of hydroelectric power generation

plants within the scope of the by-law shall submit their applications to the special provincial administration,where the power generation plant is going to be established. For application the following documents arerequired;

8.1.1 Application Form as can be seen in Appendix-2 of the by-law,8.1.2 Application Form for Interconnection of Unlicensed Power Generation as can be seen in Appendix-1 of the

by-law,8.1.3 The original or notarized copy of the land registration certificate or the rental contract for the land where

the power generation plant is going to be established,8.1.3.1 In case the original land registration certificate and a copy are submitted to the official of the

relevant special provincial administration, the official may accept the copy after comparing the

original with the copy. In this case, the official of the special provincial administration must putthe remark "SAME AS ORIGINAL" on the copy, write his/her complete name clearly and put thesignature.

8.1.3.2 In case the power generation plant is intended to be established on public or treasury land, or onareas considered to be forest land, the document confirming the acquisition of the usage right forthis land according to the relevant legislation must be submitted. This document must contain thestatement "THE PERMISSION FOR THE ESTABLISHMENT OF POWER GENERATIONPLANT IS GIVEN" explicitly. In case a permission was granted for establishment of a facilityhaving the characteristics of a consumption unit in terms of the by-law and the communiquhereby on public or treasury land, or on areas considered to be forest land according to the relevantlegislation, the electricity subscription of the mentioned facility has to be established already andcurrently active and the facility has also to document the actual electrical power consumption. The

construction of the facility does not imply that the facility already active.8.1.3.3 The power generation plants to be established on rural or urban drinking water network may only

be established/be made to establish by the relevant local administration or drinking waterassociation. The power generation plants to be established on theagricultural irrigation networkmay only be established/be made to establish by the agricultural irrigation association orcooperative.

8.1.4 Single Line Diagram, also including the technical properties of the plant,8.1.5 The rental contract must be made in written form and the circulars of signature of the parties must be

appended to the contract,8.1.6 If a document is not acquired for the power generation plant, which is going to be established on public or

treasury land, or on areas considered to be forest land, confirming the usage right for this land according tothe relevant legislation, and if this land has not been allocated to another in accord with the provisionsabove, an official letter obtained from the relevant organization, which is authorized to allocate the plantland/location like General Directorate of Forestry, General Directorate of State Hydraulic Works, GeneralDirectorate of National Estate or Special Provincial Administration, stating that the land has not been


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allocated to another and an allocation application has been submitted by the concerned person, shall beconsidered sufficient at the application phase.

8.2 The real or legal persons intending to generate electric power by means of power generation plants exceptthe hydroelectric ones within the scope of the by-law shall submit their applications to the relevantdistribution company operating at the location, where the power generation plant is going to be established.For application the following documents are required;

8.2.1 Appendix-1 Application Form for Connection of Unlicensed Power Generation as can be seen in Appendix-1 of the by-law,

8.2.2 The original or notarized copy of the land registration certificate or the rental contract for the land wherethe power generation plant is going to be established,8.2.2.1 In case the original land registration certificate and a copy are submitted to the official of the

relevant distribution company, the company official may accept the copy after comparing theoriginal with the copy. In this case, the company official must put the remark "SAME ASORIGINAL" on the copy, write his/her complete name clearly and put the signature.

8.2.2.2 In case the power generation plant is intended to be established on public or treasury land, or onareas considered to be forest land, the document confirming the acquisition of the usage right forthis land according to the relevant legislation must be submitted. This document must contain thestatement "THE PERMISSION FOR THE ESTABLISHMENT OF POWER GENERATION

PLANT IS GIVEN" explicitly. In case a permission was granted for establishment of a facility having the characteristics of a consumption unit in terms of the by-law and the communiquhereby on public or treasury land, or on areas considered to be forest land according to therelevant legislation, the mentioned facility has to be currently operative and its electricitysubscription has to be established already and the facility has also to document the actualelectrical power consumption. The construction of the facility does not imply that the facilityalready active.

8.2.2.3 In case the power generation plant going to be established on public or treasury land, or on areasconsidered to be forest land, is based on geothermal energy resource the exploration licenseobtained according to the relevant legislation must be submitted.

8.2.2.4 In case the power generation plant going to be established on public or treasury land or on areasconsidered to be forest land is a power generation plant basing on wind or solar energy, thearea/site must be allocated according to the relevant legislation. The letter of allotment shall

contain the statement "THE PERMISSION FOR THE ESTABLISHMENT OF POWERGENERATION PLANT IS GIVEN" explicitly.

8.2.2.5 The rental contract must be made in written form and the circulars of signature of the partiesmust be appended to the contract.

8.2.3 Single Line Diagram, also including the technical properties of the plant to be established.8.3 The real or legal persons intending to generate electric power by means of power generation plants except

the hydroelectric ones within the scope of the by-law shall submit their applications to the relevant OSB(OSB: Organize Sanayi Blgesi / Organized Industrial Zone) having the OSB distribution license, in casethe area/site, where the power generation plant is going to be established, is located within the boundaries ofan OSB having the OSB distribution license. The legal personality of the Organized Industrial Zone havingthe OSB distribution license shall perform all the activities simultaneously, which are defined for thedistribution company in the by-law and the communiqu hereby, unless otherwise stated in the by-law and

the communiqu hereby.8.4 In case the applicant intends to establish a hydroelectric power generation plant, he must also append the

documents to the application, which are specified in the relevant provisions of the By-law about theProcedures and Principles Regarding the Conclusion of Agreement for Water-Usage Rights for PerformingPower Generation Activities in the Electricity Market published by General Directorate of State HydraulicWorks in the issue 25150 of the Official Gazette on June 26 th 2003.

8.5 for cogeneration units, the document/documents declaring the efficiency value to be achieved as stated inArticle-29 of the By-law about Enhancing the Energy Resources and Increasing the Efficiency of EnergyUsage published in the issue 28097 of the Official Gazette on October 27th 2011,

8.6 Document indicating that the usage right of the renewable energy resources has been granted,8.6.1 not required for the power generation plants to be established basing on wind or solar energy,8.6.2 operating license granted according to the Law on Geothermal Resources and Mineral Waters dated June

03rd 2007 and numbered 5686 as well as to secondary legislation concerning the application of the law forthe power generation plants to be established basing on geothermal energy resources, which are alreadybeing operated; and exploration license for those geothermal resources, which are not at the operational


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phase yet,8.6.3 not required for the power generation plants to be established basing on biomass or gases (including landfill

gas) obtained from biomass,8.6.4 In case the power generation plant going to be established on public or treasury land or on areas considered

to be forest land is a hydroelectric power generation plant, the documentation of the application made tothe relevant authority shall be sufficient at this stage. Within this framework, the applications shall be

made to General Directorate of Forestry, General Directorate of State Hydraulic Works, GeneralDirectorate of National Estate, Special Provincial Administration or to the relevant authorities.

8.7 A power generating plant may only be established for an existing consumer unit subscription. In this case,electricity consumption bills confirming the electricity consumption of the consumption unit or anydocument issued by the distribution company displaying the power consumption amounts to serve thesame purpose or the subscription/customer number(s) of the mentioned consumption units shall besubmitted by the application.

8.8 A copy of the receipt confirming the deposit of application fee, which has been determined by the board forthe relevant year, into the account announced by the distribution company, or to the pay desks going to beauthorized by the distribution.

9. COLLECTION AND ANNOUNCEMENT OF THE APPLICATIONS9.1. The special provincial administration compiles the applications submitted to itin the scope of the by-law

and the communiqu hereby within each calendar month, and starts the preliminary evaluation by means ofa commission going to be constituted. The commission shall consist of at least three members and decideby majority of votes. At the end of the preliminary evaluation the applications having missing and/orincorrect documents shall be rejected. The Commission shall submit its reasoned assessment to theauthorized signatory. The preliminary evaluation result list regarding the accepted and rejectedapplications shall be announced by the authorized signatory on the bulletin board and on the web-site, ifthere is any, of the special provincial administration on the fifth day of the following month. The reasonsregarding the rejected applications shall be submitted to the respective applicants in writing upon request.

9.2. On the fifth day of each month the special provincial administration notifies the relevant distributioncompany and the authorized regional directorate of State Hydraulic Works about the admitted applicationsby a writing appended to the announcement list. The boundaries of the regions of authority determine towhich regional directorate the notification is to be sent.

9.3. The distribution company compiles the applications submitted to it in the scope of the by-law and the

communiqu hereby within each calendar month, and starts the preliminary evaluation by means of acommission going to be constituted. The commission shall consist of at least three members and decide bymajority of votes. At the end of the preliminary evaluation the applications having missing and/or incorrectdocuments shall be rejected. The Commission shall submit its reasoned assessment to the authorizedsignatory. The preliminary evaluation result list regarding the accepted and rejected applications shall beannounced by the authorized signatory on the bulletin board and on the web-site of the distributioncompany on the fifth day of the following month. The reasons regarding the rejected applications shall besubmitted to the respective applicants in writing without waiting for a request.

10. ASSESSMENT OF WATER-USAGE-RIGHT APPLICATIONS10.1. The regional directorates of State Hydraulic Works shall make a preliminary examination for the application

files delivered within the framework of Article 8.1 in terms of wholeness and completeness of thedocuments as specified in the relevant provisions of the By-law about the Procedures and Principles

Regarding the Conclusion of Agreement for Water-Usage Rights for Performing Power GenerationActivities in the Electricity Market.

10.2. The applications, which documents have confirmed to be full and complete at the end of the preliminaryexamination, are taken to the water regime conformity assessment subject to the principles and proceduresstated in the relevant provisions of the By-law about the Procedures and Principles Regarding theConclusion of Agreement for Water-Usage Rights for Performing Power Generation Activities in theElectricity Market.

10.3. As a result of the water regime conformity assessment the conclusion shall be reached to accept or rejectthe application. No alternative usage regime may be recommended. However, the acceptance decision maybe bound to certain conditions.

10.4. For the applications submitted in a calendar month the water regime conformity assessment shall be broughtto conclusion on the 20th day of the following month and shall be announced on the bulletin board in theservice building and on the web-site, if there is any, of regional directorate of DSI (DSI: Devlet Su leriGenel Mdrl / General Directorate of State Hydraulic Works). The relevant special provincialadministration shall also be notified about the decision in writing on the same day. In this writing the


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accepted and rejected applications shall be listed down along with the justifications.

10.5. The applications for the hydroelectric power generation plant, which water regime conformity assessmentsare notified to be accepted, shall be announced by the special provincial administration on its bulletinboard and on the web-site, if there is any, on the dame day.

11. ASSESSMENT OF INTERCONNECTION APPLICATIONS11.1. The distribution company gathers the applicants, who have been announced by itself on the fifth day of

each month, and the applications directed for the technical assessment to it by the special provincialadministration in its region.

11.2. The applications shall be classified with regard to the common connection centres. In this classification, thedistribution feeder located at the transmission transformer centre shall be used as criterion for powergeneration plants going to be connected at HV level, and the distribution transformer shall be used ascriterion for power generation plants going to be connected at LV level. Alternatively, a distribution feedermay be taken as basis, which is connected to another TE (TE: Trkiye Elektrikletim Anonimirketi / Turkish Electricity Transmission Corporation) transformer centre and a distribution feeder in openring network on normal operating conditions of the network.

11.3. Every application shall be assessed independently from the others with respect to interconnection andsystem usage. The technical assessment shall be accomplished on the basis of the conformity of theapplication with the legislation in order of the by-law, the communiqu hereby, the relevant technical

legislation and the relevant legislation.11.4. The results of the technical assessment are open for inspection. The results of the interconnectionapplications may be delivered to the applicants in writing upon their request after they have beenannounced on the bulletin boards of the distribution companies in the provinces and on their web-sites.

11.5. Applications, which can potentially be connected to the distribution system according to the results oftechnical assessment, are taken to the priority evaluation. In the priority evaluation the restrictions of theconnection centre with respect of the connection point are considered as the basic criterion. In priorityevaluation the prioritization is made with respect to the following criteria in the respective order:

11.5.1. The power generation plant subject to the application basing on renewable energy resources,11.5.2. The power generation plant subject to the application being a cogeneration plant,11.5.3. The power generation plant subject to the application being at the same location as the consumption unit,11.5.4. The application being in the scope of demand combination provisions,11.5.5. The applicant having no approved application before,

11.5.6. The applicant having a higher the amount of consumption than the other applicants in the course of thepreceding year, if there is any,

11.5.7. Application date and protocol number of the incoming application. In case the application is (applicationsare) submitted to the distribution company and to the special provincial administration on the same date. Ifthere is more than one such application, the priority is determined according to the protocol number ofincoming applications.

11.6. As a result of the priority assessment carried out in accordance with the provisions of Article 11.5 theapplications to be accepted are determined by taking the restrictions of the connection centre intoconsideration and the applications shall be concluded ultimately.

11.7. The results of the technical assessment achieved for the applications not subject to the constraints of theconnection centre with respect of the connection point shall be considered to be ultimate without anypriority evaluation.

11.8. The applications concluded in accordance with the provisions of Article 11.6 and Article 11.7 shall beannounced on the bulletin boards of the distribution companies in the provinces and on their web-sites intwo lists, namely the accepted and the rejected interconnection applications on the 20 th day of each month.On the same day the relevant special provincial administration shall be notified about the accepted andrejected interconnection applications basing on hydroelectric resources along with their justification.

11.9. The alternative connection suggestions by the distribution companies shall be considered as positiveopinion. In case the applicant, to whom an alternative connection suggestion is made, has applied for apower generation plant except the hydroelectric ones, the applicant shall submit the acceptance declarationof the alternative connection opinion to the distribution company in writing within one month from thedate of the announcement of the situation on the bulletin boards of the distribution companies in theprovinces and on their web-sites; and shall commit to fulfil the conditions concerning the interconnection.Otherwise, the alternative interconnection opinion shall become automatically invalid.

11.10. The applicants announced in the Accepted Interconnection Applications List in accordance with theprovisions of Article 11.8 and those applicants, which application is concluded as an alternativeconnection suggestion in the same list and which has submitted the declaration proposed in the provisions


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of Article 11.9 in time,shall be notified about the Call Letter for Conclusion of Interconnection Agreementeither in person or by procuration and the mentioned letter shall be handed over, in case they apply inwriting within one monthfrom the date of the announcement of the list by the distribution company. Thepositive interconnection opinion shall become automatically invalid for those applicants, whichapplications have been announced in the Accepted Interconnection Applications List, and which has notapplied to the distribution company within one monthfrom the date of the announcement of the list either

in person or by procuration in order to get the Call Letter for Conclusion of Interconnection Agreement.The list will be announced for a month.

11.11. During the technical assessment phase the applications shall be considered to be suspended for which theopinion of TE (TE: Trkiye Elektrikletim Anonim irketi / Turkish Electricity TransmissionCorporation) should be asked with regard to connection centres. The technical assessment of theseapplications shall be resumed according to the relevant technical opinion of TE on the month, when therelevant opinion regarding the examination is delivered to the distribution company . In case the solicitedopinion of TE for a connection centre affects other applications made to the same connection point inthe same or following months, the technical assessment and the priority evaluation are brought to aconclusion according to the priorities regarding the calendar month of the.

11.12. The sample for Call Letter for Conclusion of Interconnection Agreement shall be prepared as templatewriting by the distribution companies.

12. ACTIONS OF SPECIAL PROVINCIAL ADMINISTRATION12.1. The special provincial administration shall announce the applicants, whose applications have been acceptedand rejected by the relevant organizations and which are notified to the administration in accordance with theprovisions of Article 10.4 and Article 11.8, on the bulletin board of its service building and on the web-site, ifthere is any, for a period of one month.

12.2. The special provincial administration shall announce the lists of accepted applicants, whose water regimeconformity and interconnection applications have been accepted, as single list, separately. By forming the l istof accepted applicants, the applications with alternative connection suggestions shall be considered as positiveopinion. The applications shall also be considered as positive opinion, which have been imposedcondition/conditions by DSI (DSI: Devlet Su leri Genel Mdrl / General Directorate of StateHydraulic Works)regional directorate in the water regime conformity assessment.

12.3. In case an alternative connection opinion is given by the distribution company to the interconnectionapplication made for a hydroelectric power generation plant, to be established by applicants being in the

acceptance list, the applicant shall submit the acceptance declaration for the alternative connection opinion tothe special provincial administration in writing within one month from the date of the announcement of thelist by the special provincial administration; and shall commit to fulfil the conditions. Otherwise, thealternative connection opinion shall become automatically invalid. The distribution company shall be notifiedabout the declaration by the relevant special provincial administration in writing on the same day.

12.4. In case condition/conditions is/are imposed by DSI (DSI: Devlet Su leri Genel Mdrl / GeneralDirectorate of State Hydraulic Works) regional directorate to the water regime conformity application madefor a hydroelectric power generation plant, to be established by applicants, whose application being in theacceptance list, the applicant shall submit the acceptance declaration of the conditions imposed in the waterregime conformity opinion to the special provincial administration in writing within one month from the dateof the announcement of the list by the special provincial administration; and shall commit to fulfil theconditions. Otherwise, the water regime conformity opinion shall become automatically invalid. The relevant

DSI regional directorate shall be notified about the declaration by the special provincial administration on thesame day.

12.5. The special provincial administration, which the application has been submitted to, is authorized to issue thewater-usage right license with regard to hydroelectric power generation plants according to the sample in theAppendix-3 of the by-law. The special provincial administration may issue the water-usage right license, ifthere is a positive opinion for the application by the DSI regional directorate stating the suitability of theestablishment of the power generating plant from the point of view of water regime and the approval for theinterconnection by the distribution company. In case these opinions include condition or these opinions are inthe form of an alternative connection suggestion, the water-usage right license shall be issued if the applicantmakes declaration according to the provisions in Article 12.3 and Article 12.4.

12.6. The special provincial administration shall issue a water-usage right license according to the sample in theAppendix-3 of the by-law for the persons announced to be in the approval-list, and submit it to the real orlegal persons having made the application or to their authorized representatives in writing. The positiveconnection opinions as well as the positive water regime conformity opinions shall become automaticallyinvalid, in case the persons do not apply within a month after the announcement of the approved applications


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list.

13. CALL FOR CONCLUSION OF INTERCONNECTION AND SYSTEM USAGE AGREEMENTS13.1. The applicants, who have received the Call Letter for Conclusion of Interconnection Agreement according to

the provisions of the Article 11.10 or the water-usage right license according to the provisions of the Article12.6, shall apply to the distribution company within 180 days from the date of being notified of thesedocuments by compiling the following information and documents, in order to conclude the interconnection

or system usage agreements.13.1.1. The power generation plant projects of the power generation plants to be established according to the

provisions of the by-law and the communiqu hereby approved by the ministry or by the organizations and/orlegal persons authorized by the ministry pursuant to the By-law about Electric Power Generation PlantProjects published in the issue 27434 of the Official Gazette on December 16th 2009,

13.1.2. Permits, approvals, licenses and other documents of the same kind to be granted by the relevant authorities.13.1.3. Without making any distinction for the type and area/site of the power generation plant, the applicants shall

get either a positive environmental impact assessment decision, or a decision stating the unnecessity ofenvironmental impact assessment or a decision stating the application being outside of the scope of the By-law Concerning Environmental Impact Assessment, pursuant to the provisions of Environment Law datedAugust 09th 1983 and numbered 2872 and the By-law Concerning Environmental Impact Assessmentpublished in the issue 26939 of the Official Gazette on July 17th 2008 according to its relevancy. In addition

to the preceding documents, the applicants shall also obtain the necessary documents pursuant to thefollowing legislation, which shall be determined by the relevant special provincial administration for thehydroelectric power generation plants, and by the distribution companies being applied for the other types ofpower generation plants, without being restricted by the legislation mentioned on the table in the Appendix-2according to the area/site of the power generation plant. According to the Environment Law and the By-lawConcerning Environmental Impact Assessment, no certificate shall be required for the power generationplants basing on solar energy, which installed capacity are not going to exceed 5 kW and, which are to beestablished at the same location as the consumption unit. The applicants may not be required to bring anyofficial letters from the organizations, which are authorized with the legislation mentioned on the table in theAppendix-2, without making any reference.

13.1.4. Applicants must obtain all kinds of documents, like preliminary permission, permission,license, certificateor all other kinds of documents, which are required in order to establish a power generation plant on the siteof the plant pursuant to the relevant legislation,and submit them to the distribution company. Any legislation

mentioned in the provisions of the Article 13.1.3 may not be proposed as the justification for not obtainingsuch a document.

13.1.5. All kinds of liabilities resulting from the fact, that the applicant has not / has not been able to obtain anydocument specified in Article 13.1.3, rest with the applicant. Any extension of the 180-day period may not berequested for such a reason. It may also not put forward as a justification for the deferral or cancellation orpostponement or even termination of the sanctions to be imposed and measures to be taken because of theinability to take the power plant into operation within the period specified in the by-law and the communiquhereby. The provisions of the Article 51 of the By-law about Electricity Market Licenses published in theissue 24836 of the Official Gazette on August 04 th 2002 shall be predicated for determination of forcemajeure.

13.2. If the applicants could not obtain the documents required in the provisions of Article 13.1 in due time, theyappend the writings obtained from the relevant governmental institutions or organizations, stating that there

is no fault at the party of the applicants in the fact that applications have not been brought to a conclusion, totheir applications. In this case, the distribution company may wait the submission of the mentioned documentfor three months. However the distribution company may not give this extra time because of the great numberof applications in scope of the by-law and the communiqu hereby. This case shall be announced on thebulletin boards in the provinces and on the web-site in the last five days of the 180-day period.

13.3. The interconnection and system usage agreements shall be concluded within 30 days with the applicants, whohave submitted the documents mentionedin the provisions of Article 13.1 in due time.The applicants, whocould not submit the documents required in the scope of the provisions of the Article 13.1 to the distributioncompany in due time or who could not fulfil the requirements for provisions of the Article 13.2, lose therightto conclude the interconnection and system usage agreements; and the documents already submitted shall bereturned to them. In case the applicants, who benefits from the provisions in Article 13.2, cannot submit therelevant documents requiredto the distribution company in three months, they lose the right to conclude theinterconnection and system usage agreements; and the documents already submitted shall be returned to them.In this matter the distribution company has no discretionary power.


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14. BASIC STANDARDS TO COMPLY(1) The power generation plants to be established in the scope of the by-law and the communiqu hereby

must be designed, built, tested, taken into operation and operated according to the following standards:- TS EN 50438 for the power generation plants to be connected by single-phase or by three-phase with

the current not exceeding 16 A per phase;- CLC/FprTS 50549-1:2011 for the power generation plants to be connected to the distribution system at

LV level with the current over 16 A per phase;- CLC/FprTS 50549-2:2011 for the power generation plants to be connected to the distribution system at

HV level with the current over 16 A per phase.

15. INTERCONNECTION PROJECTS15.1. The interconnection projects of the power generation plants to be established in the scope of the by-law and

the communiqu hereby shall be prepared in conformity with the following legislation, in compliance withthe standards specified in Article 14.1 and with the protection, measurement and interconnection conditionsspecified in the scope of the communiqu.- By-law about Electric Power Generation Plant Projects published in the issue 27434 of the Official Gazette

on December 16th 2009,- By-law about Internal Electrical Facilities published in the issue 18565 of the Official Gazette on

November 04th 1984,

- By-law about Grounding in Electric Power Generation Plants published in the issue 24500 of the OfficialGazette on August 21st 2001,- By-law about High Electrical Current Facilities published in the issue 24246 of the Official Gazette on

November 30th 200015.2. The connection project convening the interconnection of the power generation plant to operate in the scope

of the by-law, with the distribution facility shall be approved by the Ministry or legal persons authorized bythe Ministry.

15.3. In case of any need the approval authoritymay request additional information and documents from the real orlegal person, who is going to establish the power generation plant.

16. REMOTE MONITORING AND CONTROL SYSTEMS16.1. The power generation plants having the installed capacity exceeding 11 kW must be suitable for installation

of remote monitoring and control system.

16.2. The real or legal persons being engaged in power generation activities in the scope of the by-law procure and

installonly those infrastructure elements and equipments required for remote monitoring and control, whichare to be installed in their own property area, which boundaries have been determined in the interconnectionagreement.

16.3. The distribution company has to possess the necessary infrastructure in itself, in order to request theestablishment of communication infrastructure for remote monitoring and remote control system in the powergeneration plants with installed power capacity exceeding 11 kW.

16.4. The scope of the remote control system consists of the reception of the stop and start-up signals, which havebeen sent from the distribution company, by the power generation plant and taking the necessary actions.

16.5. With remote monitoring, the status of the communication as well as the status of the operation and thenetwork connection of the generator can be monitored as a minimum; in addition to these, the values for active and reactive power, power factor, current, voltage, frequency, harmonics and total harmonic distortioncan be obtained.

16.6. The expenses related to data communication shall be accrued according to the relevant legislation.17. PROTECTION SYSTEM17.1. The grounding system of the power generation plant has to be compatible with the grounding system of the

distribution network and has to be installed according to the conditions specified in the By-law aboutGrounding in Electric Power Generation Plants.

17.2. The settings of the protection systems at the connection port by the power generation plant must comply withthe limit values in the tables below. These values have to be confirmed by test reports.

17.3.Table1: Limiting values of protection settings for power generation plants connected at LV level;

Parameter Maximum Clearing Time a Opening Setup

Overvoltage (ANSI 59) 0,2 sec 230 V + %15

Undervoltage Stage 1 (ANSI 27) 1,5 sec 230 V (%15%20) b

Undervoltage Stage 2 (ANSI 27) 0,2 sec 230 V ( %50%75) b


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Overfrequency (ANSI 81/O) 0,5 sec 51 Hz

Underfrequency (ANSI 81/U) 0,5 sec 47 Hz

Vector Shift c 0,2 sec (6o9o) b

ROCOF (df/dt) (ANSI 81R) c 0,2 sec (12,5) b Hz/seca) Time needed for detection of fault and for actuating the circuit breaker is included.b) An appropriate value in the given range may be requested and adjusted by the distribution company.c) If the power generator has the technical characteristics suitable for operation in case of the islanding, at least oneof the protection relay has to be used additionally.

Remark: Voltage values are active (RMS) values and given as phase-to-neutral voltage.

Table2: Limiting values of protection settings for power generation plants connected at HV level;

Parameter Clearing Time Opening Setup a

Overvoltage (ANSI 59) Tap 1 0,2 sec 120

Overvoltage (ANSI 59) Tap 2 1,0 sec 110 < V < 120

Undervoltage Tap 1 (ANSI 27) 2,0 sec 50 V < 88

Undervoltage Tap 2 (ANSI 27) 0,2 sec V< 50

Overfrequency (ANSI 81/O) 0,2 sec 51 Hz

Underfrequency (ANSI 81/U) 0,2 sec 47 Hz

Underfrequency (ANSI 81/U)

Can be adjusted in the range 0, 2 300 sec in accord with theopinion of the distributioncompany.

Can be adjusted in the range 47 49, 5 Hz in accord with theopinion of the distributioncompany.

Vector Shift c 0,2 sec (6o9o) b

Rate of change of frequency (ROCOF)(df/dt) (ANSI 81R) c

0,2 sec (0,52,5) b Hz/sec

Residual voltage (ANSI 59N)

d

d da) Voltage adjustments are specified as the percentage of the nominal voltageb) An appropriate value in the given range may be adjusted by the distribution company.c) According to the study by the distribution company one of these protections may be asked by the distributioncompany, if deemed necessary.d) It may be required by the distribution company depending on the grounding system, if deemed necessary. Notapplicable for static generators. The values of clearing time and opening setup shall be specified by thedistribution company, in case this protection is requested.

18. MEASURING SYSTEM18.1. In case the consumption unit being located at the same site as the power generation plant, which connection is

projected at LV level, two measuring systems shall be installed. One of the measuring systems shall beinstalled between facilities on the site and the distribution system in such a way that it can measure thebidirectional energy exchange between them in terms of time, and the other shall be installed in the powergeneration plant to measure the energy generated there.

18.2. In case the consumption unit not being located at the same site as the power generation plant, whichconnection is projected at LV level, the measuring system shall be installed in such a way to measure theenergy exchange between the power generation plant and the distribution system.

18.3. At the power generation plants, which connections are projected at HV level, action will be taken inaccordance with relevant legislation.

18.4. The meters shall be installed within reach of the distribution company.18.5. Meter positions shall be determined according to the articles 18.1, 18.2, 18.3 and 18.4 and recorded in the

project.

18.6. In case of any need the distribution company determines the final location of the meter; and the measuring

system shall be established accordingly.18.7. At the stage of the final acceptance of the power generation plant the measurement system shall be checked,


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sealed and recorded by the representative of the distribution company.

18.8. The installed meters may be a component of the measurement and communication monitoring system.19. APPROVAL FOR THE CONNECTION TO THE SYSTEM AND COMMISSIONING CONDITIONS19.1. The acceptance of the power generation plants shall be made within the conditions specified Article 12 of the

by-law in accordance with the By-law about Acceptance Electrical Facilities published in the issue 22280 ofthe Official Gazette on May 07th 1995.

19.2. The voltage fluctuation caused by the power generation plant may not exceed 3.3 %, when it starts theparallel operation with the network, and the power generation plant may not cause a flicker effect exceedingthe flicker limits specified in Appendix 1.4.

19.3. Starting parallel operation of the synchronous generators up to 500 kW shall be accomplished by usingsynchronization devices. The value of voltage tolerance of the synchronization devices shall be U%10Un,frequency tolerance f 0, 5 Hz, and phase angle tolerance 10. The requirements for the units, havingthe capacity exceeding 500 kW, to get synchronized with the distribution bus or the distribution system shallbe arranged in the connection agreement.

19.4. The conditions of commissioning for synchronous generators are applicable for the self-excited asynchronous(induction) generators. Mains excited asynchronous generators (induction) shall be taken into paralleloperation when the rate of the synchronous cycle numbers is in the range of 95% - 105%.

19.5. The conditions of commissioning for synchronous generators are applicable for the inverter based coupling

systems, which produces the basic voltage before paralleling with the mains voltage.20. OPERATION20.1. The protection, coupling and other parts of the power generation plant shall be checked and recorded

periodically (monthly, quarterly, semi-annually or annually depending on the nature of equipment) by theoperator of the plant. These records must be numbered chronologically for consideration by the distributioncompany during inspections; and they must be submitted to the distribution company in this order. A copy ofthe records shall be kept by the plant owner.

20.2. The distribution company may request a check of the coupling equipments, protection devices and other partsof the plant at any time. The distribution company shall provide information to the plant operator in advance,in case of major changes such as increased short circuit current in the network, or about the effects concerningthe current parallel operation.

20.3. The power generation plant shall get isolated from the distribution system at the coupling point and no energyshall be supplied to the network, in case of short-circuit failure or in case the distribution system is de-

energetized, in order to ensure the security of life and property. Islanding to include a portion of thedistribution system is not permitted. In this case, the power generation plant, getting isolated from thedistribution system, can supply power to the region being at the user side of the coupling port independent ofthe distribution network.

20.4. The operator of the power generation plant is obliged to disconnect the plant from the distribution systemwhen it is necessary from the point of network management. In such cases, the distribution company may alsodisconnect the power generation plant from the distribution network by means of ever accessible circuitbreakers or via remote control system, if there is any. The power generation plant may not be operated overthe agreed capacity. In case the power generation plant is detected to work over the agreed capacity, thedistribution company may exercise the same power.

20.5. The power generation plant, which is disconnected from the distribution network according to the provisionsin Article 20.3 and/or Article 20.4, shall be recommissioned after removal of the conditions of the compulsory

case causing the separation from the distribution network in a reasonable time, upon notification by thedistributor as soon as possible.

20.6. The distribution company may require additional protection measures to be taken by notifying the reasonsthereof, in order to reduce the flicker effect caused by the power generation plant and not to go beyond theoperating conditions with respect to the status of the distribution system at the interconnection port. Otherwisethe sanctions mentioned in Article 32.5 shall be imposed.

20.7. The owner of the power generation plant shall get the permission by applying the distribution company inadvance according to the procedures described in the by-law and the communiqu hereby, in order to increaseor decrease of the installed capacity of the plant, to change the protection layout or compensation or to makeother modifications.

20.8. In case of increase of installed capacity of the power plant according to the provisions in Article 20.7 theinterconnection agreement having been concluded shall be amended, and the owner of the plant shall becharged a reconnection fee. However, if the increase of the installed power capacity of power generationplants basing on solar energy does not exceed 5 kW in one year, no fee shall be charged.


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21. TECHNICAL RESPONSIBILITY21.1. The construction, commissioning, operation and work safety of the power generation plants to be connected

to the distribution system at LV and HV levels are under the responsibility of the real or legal personengaging in the power production. In this context the real or legal person is obliged to employ an authorizedoperation manager, who will serve according to the relevant technical regulations, and/or to get the necessaryservices in this regard;

21.1.1. until provisional acceptance of the power generation plant for the interconnections at LV level, 21.1.2. throughout the operation, beginning at the design stage of the power generation plant, for the interconnections

at HV level.

21.2. The operation manager is severally liable from the equipment and operation of the power generation plant and its complementary parts in accordance with relevant legislation and the relevant technical regulations aswell as from the damages arising as a result of the violence of these regulations, together with the owner ofthe plant.

22. PRINCIPLES CONCERNING THE CONSUMPTION OF ENERGY22.1. The persons, who are going to establish power generation plants in the scope of the by-law and the

communiqu hereby, shall mainly produce electrical power to meet their own needs.

22.2. Among the persons, who are going to establish power generation plants in the scope of the by-law and thecommuniqu hereby;

22.2.1. The real or legal persons, who establish cogeneration units in the scope of the by-law and the communiquhereby, shall simultaneously consume so much energy as they produce. No payment, under the name ofsupport payment or under another name, shall be rendered for the amount of energy transferred from thecogeneration units to the system, which is not consumed / not able to be consumed by the person engaged inproduction.

22.2.1.1. Natural and legal persons establishing cogeneration units may consume the amount of energy, which hasbeen produced by the cogeneration unit and has not been consumed by the consumption unit at the samelocation, at any other consumption unit or units under their responsibility, not located at the same site asthe generation plant. Even in this case, they shall mainly inject so much energy into the system as theyconsume at the same time. Those persons pay an extra distribution system utilization fee for the amountof energy they consume at the consumption units under their responsibility not located at the same siteas the power generation plant.

22.2.2. The real persons, who establish micro-cogeneration units,shall simultaneously consume so much energy as

they produce. No payment, under the name of support payment or under another name, shall be rendered forthe amount of energy transferred from the micro-cogeneration units to the system, which is not consumed /not able to be consumed by the real person engaged in production. However, necessary sanctions and/or feescan be imposed/charged in accordance with relevant legislation.

22.2.3. The legal persons, who establish micro-cogeneration units, shall simultaneously consume so much energy asthey produce. A support payment at the amount of the least incentive amount as specified at the Table-Iappended to the Law on Renewable Energy Resources shall be rendered for each unit kWh amount of energy,transferred from the micro-cogeneration units to the system, which is not consumed / not able to be consumedby the legal person engaged in production.

22.2.4. The persons, who establish power generation plants basing on renewable energy resources, shallsimultaneously consume so much energy as they produce. A support payment at the amount of the incentiveas specified in terms of resources at the Table-I appended to the Law on Renewable Energy Resources shall

be rendered for each unit kWh amount of energy, transferred from the power generation plants basing onrenewable energy resources to the system, which is not consumed / not able to be consumed by the personsengaged in production.

22.2.4.1. Natural and legal persons establishing power generation plants basing on renewable energy resourcesmay consume the amount of energy, which could not been consumed by the consumption unit at thesame location as the power generation plant basing on renewable energy resources, at any otherconsumption unit or units under their responsibility, not located at the same site as the generation plant.Even in this case, they shall principally produce and inject so much energy into the system as theyconsume at the same time. Those persons pay an extra distribution system utilization fee for the amountof energy they consume at the consumption units under their responsibility not located at the same siteas the power generation plant.

23. DETERMINATION OF THE POWER AMOUNT GENERATED23.1. The amount of electrical energy produced by the power generation plants in the scope of the by-law and the

communiqu hereby and transferred to the system is determined by the distribution company as follows:23.1.1. In case the power generation plant being at the same location as the consumption unit, the power amount


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generated is determined with the readings of meter, which can measure bi-directionally in terms of time,installed at the coupling point of the power generation plant with the distribution system according to theprovisions of the Article 18.1 of the by-law. Furthermore, the accuracy of these readings shall be checkedwith the daily data obtained from the meter installed according to the provisions of the Article 18.3 of the by-law, in order to measure the energy production of the power generation plant.

23.1.2. In case the power generation plant not being at the same location as the consumption unit, the power amount

generated is determined with the readings of meter, installed at the coupling point of the power generationplant with the distribution system according to the provisions of the Article 18.2 of the by-law.

24. DETERMINATION OF THE EXCESS POWER AMOUNT24.1. The excess amount of electrical energy produced by the power generation plants in the scope of the by-law

and the communiqu hereby and transferred to the system is determined by the distribution company asfollows:

24.1.1. In case the power generation plant being at the same location as the consumption unit, the excess poweramount is determined with the readings of meter, which can measure bi-directionally in terms of time,installed at the coupling point of the power generation plant with the distribution system according to theprovisions of the Article 18.1 of the by-law.By determining the excess amount of electrical energy thereadings of the meter, installed according to the provisions of the Article 18.3 of the by-law, in order tomeasure the energy production of the power generation plant, shall also be taken into consideration. During

this process, the total daily delivery and the total daily draft amounts shall be compared and the offsetting ofthe daily amounts shall be done. In case the amount delivered is more, the mentioned excess delivery amountshall be recorded as the daily and monthly excess energy amount.In case the draft amount is more, actionsshall be taken in accordance with the provisions of relevant legislation. For those consumers, where theconsumption of the consumption unit is calculated in 3-time-slots, the offsetting of the daily production andconsumption amounts shall also be done on 3-time-slot basis instead of total daily basis. For those producers,where the consumption of the consumption unit is calculated in 3-time-slots, the offsetting of the dailyproduction and consumption amounts shall also be done on 3-time-slot basis instead of total daily basis.

24.1.2. If the power generation plant is at the same location as the consumption unit and if there is(are) anotherconsumption unit (some other consumption units) not being at the same location as the power generationplant under the responsibility of the person, who is responsible for the power generation plant, thedetermination of excess energy shall be done by comparing the daily excess delivery amount to bedetermined according to the Article 22.2 with the daily draft amount (amounts) of the consumption unit

(consumption units). After comparing the total daily delivery amount determined according to the provisionsin Article 22.2 with the total draft amount (amounts) of theconsumption unit (consumption units) under theresponsibility of the person, who is responsible for the power generation plant, the excess delivery amountshall be recorded as the daily and monthly excess energy amount in case the delivery amount is greater . Incase the draft amount is more, actions shall be taken in accordance with the provisions of relevant legislation.For those producers, where the consumption of the consumption unit is calculated in 3-time-slots, theoffsetting of the daily production and consumption amounts shall also be done on 3-time-slot basis instead oftotal daily basis.

24.1.3. The distribution system usage fee shall be calculated separately for the draft amounts of the consumptionunits, not located at the same site as the power production plant under the responsibility of the same personby using the procedures explained in the Article 22.2.

24.1.4. If the power generation plant is not at the same location as the consumption unit, the determination of excess

energy shall be done on daily basis by comparing the readings of meter, installed at the coupling point of thepower generation plant with the distribution system according to the provisions of the Article 18.2 of the by-law, with the readings of meter, in order to measure the energy production of the power generation plant interms of time. In case the meter installed in order to measure the energy consumption of the consumption unitin terms of time, a profile application approved by provisions of DUY (DUY : Dengeleme ve UzlarmaYnetmelii / Balancing and Settlement By-law) shall be performed, and the consumption data in terms oftime shall be used. In both cases, the amounts of total daily delivery and total daily draft shall be taken intoconsideration by determining the amount of excess energy.

24.1.5. If the power generation plant is not at the same location as the consumption unit, the consumption data of theconsumption units under the responsibility of the person being responsible for the power generation plantshall be collected an hourly basis and shall be compared with production data in accordance with theprovisions of Article 22.2.1 and Article 22.2.4. Even in this case, the determination of the amount of excessenergy shall be based on the amounts of total daily delivery and total daily draft.

24.2. All the actions and activities defined for a distribution company in the article 23.1 shall be performed by aOSB (OSB: Organize Sanayi Blgesi / Organized Industrial Zone) having OSB distribution license exactly in


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the same way for the power generation plant(s) and consumption unit(s) in its region of authority and dailyand monthly excess energy amount found out shall be notified to the distribution company supposed topurchase this energy.

24.3. The energy, injected to the system from the power generation plants to be established in the OSB (OSB:Organize Sanayi Blgesi / Organized Industrial Zone) distribution network, can only be consumed by theconsumption unit(s) connected to the OSB distribution network. Accordingly;

24.3.1. A power generating plant, which is connected to an OSB (OSB: Organize Sanayi Blgesi / OrganizedIndustrial Zone) network having OSB distribution license, may generate power and inject it to the systemonly then, if there is at least one consumption unit connected to the OSB distribution network.

24.3.2. An OSB (OSB: Organize Sanayi Blgesi / Organized Industrial Zone), having OSB distribution license,determines the excess amount of energy produced by a power generation plant connected to the distributionnetwork in the scope of its license and injected to the system, according to the provisions in the Article 24.1;and it shall inform the interconnected distribution companyaccording to the provisions in the Article 24.2.The distribution company records the amount of excess energy notified to it as the amount of excess energy.

24.4. The distribution company informs PMUM (PMUM: Piyasa Mali Uzlarma Merkezi / Market FinancialSettlement Centre) separatelyabout the amounts of energy determined for each producer possessing a powergeneration plant basing on renewable energy resources, from the amounts of excess energy determinedaccording to the provisions in the Article 24.1, 24.2 and 24.3, until the 04th of the following month in terms

of resources, hours, summed up on daily and monthly basis.24.5. The transformer loss shall be taken into consideration for the generation and consumption separatelyaccording to the relevant legislation for customers having a private transformer and the measurement system,which the consumption is based upon, is located at the LV side.

24.6. The energy supplied by the power generation plants to be established outside of the OSB distribution networkmay also be consumed by consumption unit(s) connected to the OSB distribution. In this case the OSB (OSB:Organize Sanayi Blgesi / Organized Industrial Zone), having an OSB distribution license must report thedaily consumption amounts to the connected distribution company on a certain date each month. In case ofbreaching this obligation the consumption value is assumed to be zero; and the damages arising shall becompensated by the OSB, possessing an OSB distribution license.

25. VALORIZING THE EXCESS POWER AMOUNT25.1. A distribution company licensed for retail sales has to purchase the amount of excess energy determined in

accordance with the provisions in Article 24.1, 24.2, and 24.3 for a period of 10 years from the date of

commissioning of the power generation plant.25.2. As of the amount of excess energy the distribution company licensed for retail sales has to purchase;25.2.1. The portion, which is produced in micro cogeneration plants and supplied to the system by legal persons,

shall be considered to be a part of the electricity sold to its customers, which are supplied energy in the scopeof the retail tariff.

25.2.2. The portion, which is produced in power generation plants basing on renewable energy resource and suppliedto the system by real or legal persons,shall be considered to be produced and injected to the system by itself.This amount of energy shall be considered in the scope of YEKDEM (YEKDEM: Yenilenebilir EnerjiKaynaklar Destekleme Mekanizmas / Renewable Energy Resources Supporting Mechanism).

25.3. The producers, who generate / will generate power in the scope of the by-law and the communiqu hereby,may not conclude bilateral agreements for the portion of the energy, which is generated / will be generated bythem, but is not / cannot be consumed in the facilities under their responsibility.

25.4. The amount of excess energy, which is injected to the system during operation of micro cogeneration plantsestablished by real persons, or during operation of cogeneration plants established by real or legal persons inthe scope of the by-law and the communiqu hereby, shall be considered in the scope of YEKDEM(YEKDEM: Yenilenebilir Enerji Kaynaklar Destekleme Mekanizmas / Renewable Energy ResourcesSupporting Mechanism) pursuant to the relevant legislation. However no charge shall be paid for this amountof energy by PMUM (PMUM: Piyasa Mali Uzlarma Merkezi / Market Financial Settlement Centre) or bythe distribution company having the license for retail sales.

25.5. If multiple power generation plants basing on various renewable energy resources are established for oneconsumption unit, in case the power plant generating the excess energy injected to the system cannot bedetermined, the payment for the mentioned amount shall be based on the lowest support amount as specifiedin the Table-I appended to the Law on Renewable Energy Resources.

25.6. If one or more power generation plants basing on renewable energy resources and a micro cogeneration unitare established for one consumption unit, and if the person responsible for these production plants is a legalperson, in case the power plant generating the excess energy injected to the system cannot be determined, thepayment for the mentioned amount shall be based on the lowest support amount as specified in the Table-I


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appended to the Law on Renewable Energy Resources.

25.7. If a micro cogeneration unit and/or one or more power generation plants basing on renewable energyresources are established in addition to a cogeneration unit for one consumption unit, in case the power plantthe system cannot be determined, the mentioned amount shall be considered in the scope of YEKDEM(YEKDEM: Yenilenebilir Enerji Kaynaklar Destekleme Mekanizmas / Renewable Energy ResourcesSupporting Mechanism) pursuant to the relevant legislation. However no charge shall be paid for this amount

of energy by PMUM (PMUM: Piyasa Mali Uzlarma Merkezi / Market Financial Settlement Centre) or bythe distribution company having the license for retail sales.

26. PURCHASING THE EXCESS POWER AMOUNT26.1. The distribution company having the retail sales license shall pay the lowest incentive amount as specified in

the Table-I appended to the Law on Renewable Energy Resources for each unit kWh of the excess amount ofenergy purchased in accordance with the provisions of the Article 25.2.1. Payment shall be made in TurkishLiras. The currency buying rate, which is announced by the Central Bank of the Republic of Turkey for thedate of energy supply to the system, is used to convert the currency specified in Table-I into TL. In order tomake the payment;

26.1.1. The distribution company determines the amount to be paid by multiplying the daily amount of excessproduction specified for each manufacturer with the TL equivalent of the lowest price specified in the Table-Iappended to the Law on Renewable Energy Resources.

26.1.2. According to the provisions in Article 26.1.1, the relevant legal person shall be notified about the amount ofexcess energy supplied to the distribution system and the unit price for energy purchase within six daysfollowing the date of determination.

26.1.3. Within ten working days following the date of notification to the distribution company, the invoice issued bythe relevant legal person,the invoice amount shall be transferred to the bank account, which details has beeninformed by the relevant legal person.

26.2. The distribution company having the retail sales license shall pay the incentive amountas specified in theTable-I in terms of the resources appended to the Law on Renewable Energy Resources for each unit kWh ofthe excess amount of energy obliged to purchase in accordance with the provisions of the Article 25.2.2.Payment shall be made in Turkish Liras. The currency buying rate, which is announced by the Central Bankof the Republic of Turkey for the date of energy supply to the system, is used to convert the currencyspecified in Table-I into TL. In order to make the payment;

26.2.1. The distribution company determines the daily amount to be paid by multiplying the daily amount of

excess production specified for each manufacturer with the TL equivalent of the price specified in theTable-I in terms of the resources appended to the Law on Renewable Energy,

26.2.2. The distribution company determines the equipment support amount by multiplying the daily amount ofexcess production specified for each manufacturer with the support price specified in the Table-IIappended to the Law on Renewable Energy and announced to the distribution company after beingdetermined pursuant to the relevant legislation,

26.2.2.1. If multiple power generation plants basing on various renewable energy resources are established for oneconsumption unit, the domestic product usage support can be calculated by applyingthe provisions in theArticle 26.2.2 to the daily amount of excess energy injected into the system by each power generation plantindividually.

26.2.3. The total amount to be paid in the relevant billing period shall be found by adding the amounts calculated inaccord with the provisions of the Article 26.2.1 and/or 26.2.2,

26.2.4. The payments to be made in terms of the resources shall be determined by adding the amounts calculatedfor each producer on the basis of the resources, which are computed according to the provisions of theArticle 26.2.3,

26.2.5. LYTOP (LYTOP: Lisanssz reticilere denecek Toplam Bedel / Total Amount to be Paid to theUnlicensed Producers) to be notified to PMUM (PMUM: Piyasa Mali Uzlarma Merkezi / MarketFinancial Settlement Centre) for the relevant billing period shall be determined by adding the paymentamounts in terms of resources, which are calculated according to the provisions of the Article 26.2.4,

26.2.6. PMUM (PMUM: Piyasa Mali Uzlarma Merkezi / Market Financial Settlement Centre) shall be notifiedabout the amount of LYTOB (LYTOP: Lisanssz reticilere denecek Toplam Bedel / Total Amount tobe Paid to the Unlicensed Producers), calculated according to the provisions of the Article 26.2.5, in thefirst six days of each month by means of the market management system,

26.2.7. The amount determined according to the provisions in the Article 26.2.3 shall be paid to the producersdepending on the payment rendered by PMUM (PMUM: Piyasa Mali Uzlarma Merkezi / MarketFinancial Settlement Centre).

26.3. If the amount, which is notified by the distribution company to PMUM (PMUM: Piyasa Mali Uzlarma


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Merkezi / Market Financial Settlement Centre) according to the provisions of the Article 26.2.5, is not paidfully to the company, the distribution company, having the retail sales license, shall make the payments in thescope of the Article 26.2.7 to each person less in the same rate. If PMUM makes excess payment in thegenerating the excess energy injected to relevant billing period in order to cover the less payments of theformer billing periods, the excess payment shall be transferred to the producers, who have been paid less inthe former billing period, at the rate of their claims.

26.4. If the distribution company fails to meet its financial obligations except the case specified in the provisions ofthe Article 26.3, default interest rate specified in accordance with Article 51 of the Law on the Procedure forthe Collection of Public Receivables dated July 21st 1953 and numbered 6183 shall apply.

27. APPEALS27.1. The real and legal persons engaged in production within the scope of the by-law and the communiqu hereby,

may appeal against the actions and activities specified in the articles 19, 20 22 and 23 of the by-law as well asin the articles 22, 23, 24 and 25 of the communiqu hereby, identified to be performed by the distributioncompany and the distribution company having the retail sales license, within three working days from the dateof notification of the transaction and in case of the lack of notification, within three working days from thedate of payment and/or notification of the consumption bill.

27.2. The distribution company and the distribution company having the retail sales license, shall re-examine theaction subject to appeal within seven days from the date of the appeal, shall make the correction if necessary

and shall inform the appellee about the result.27.3. In case of any change in the quantities and payment amounts, the difference is corrected in the next billingperiod.

28. COMBINING OF THE CONSUMPTIONS28.1. One or more real and/or legal persons of the same tariff group may combine their consumptions of electrical

energy in the facilities under their responsibility in order to establish a power generation plant within thescope of the by-law and the communiqu hereby. The consumptions of a consumption unit /of consumptionunitsestablished in a distribution region may not be combined with the consumption of a consumption unitinan OSB (OSB: Organize Sanayi Blgesi / Organized Industrial Zone). However a real or legal person havingconsumption inside and outside of OSB distribution network may combine the consumptions of more thanone consumption units, provided that The power generation plant will be established outside of an OSBdistribution network. The persons having combined their consumptions may not establish cogeneration unitsalong with one or more power generation plants basing on renewable energy resources. One or more power

generation plants may be established for the combined consumption in the scope of the by-law and thecommuniqu hereby. In a consumption combination request by a real and/or legal person the consumptionsare not supposed necessarily to belong to the same tariff group.

28.2. The consumption units, which consumptions are going to be combined, must be located in the samedistribution region as the power generation plant.

28.3. The real and/or legal persons, who have combined their consumptions, may not leave the application in thesame year. Another person may join the group, who combine their consumptions, if and only if he starts theoperation at the first day of the year. In this case, the applications of the persons intending to join an existingconsumption combination application must be submitted to the distribution company at least two monthsbefore the beginning of the year by an authorized person. In the same way, the applications of the personsintending to leave an existing consumption combination application must be submitted to the distributioncompany at least one month before the beginning of the year by an authorized person.

28.4. The real and/or legal persons, who have combined their consumptions, shall authorize a person among themwith the full and unlimited power of attorney in order to take advantage of the provisions of the by-law andthe communiqu hereby.

28.5. The consumption combination application shall be submitted to the distribution company in writing. Thenames of the owners, subscription information and the annual consumption data of the facilities, whichconsumptions are requested to be combined, shall be submitted as an alonge with the written application tothe distribution company.

28.6. The electrical energy consumed in the consumption units of the real and/or legal persons, who have combinedtheir consumptions in order to apply the by-law and the communiqu hereby, shall be deemed to be theelectrical energy consumption of the person, they have authorized among them.

28.7. The electrical energy to be produced in the power generation plant(s) to be established in scope of the by-lawand the communiqu hereby, in order to apply the by-law and the communiqu hereby, shall be deemed to bethe electrical energy production of the person, authorized by the persons who have combined theirconsumptions.

28.8. The actions and activities, which are carried out in order to apply the provisions of the by-law and the


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communiqu hereby, shall be done on behalf

non licenced electricity production-500 kw

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