ELDER: Investments of electricity distribution companies will reach ₺17 billion this year

Electricity Distribution Services Association (ELDER) President Kivanc Zaimler stated that electricity distribution companies will invest ₺75 billion for the 2021-2025 period, “The amount of our investments will reach approximately ₺17 billion this year, with the current index.”

Electricity Distribution Services Association (ELDER) President Kivanc Zaimler said that distribution companies have determined a route to increase investments and improve quality.

Expressing that they focused on service quality and consumer satisfaction, Zaimler noted that they started the first year of the 2021-2025 period as planned.

Emphasizing that electricity distribution companies will invest a total of ₺75 billion for the 2021-2025 period, Zaimler said, “This corresponds to an average of ₺15 billion annually. The amount of our investments will reach approximately ₺17 billion this year, with the current index. In the 2011-2015 tariff period, the total investment was ₺25 billion with the same currency index. In the 5 years covering the 2016-2020 period, this figure has reached ₺50 billion. In fact, we are talking about a network investment that has tripled when you look at it.”

Noting that due to the increasing population, urbanization and demographic structure of cities, a great deal of money is spent on network investments, Zaimler said, “70% of our investments went to the network this year. In 2021, we focused on our investments in rural areas as an industry. Our investments here were very important for the needs of the grid in the countryside, to bring electricity there, and to avoid any interruptions there.”

Pointing out that renewable energy is a rising energy source in Turkey, Zaimler said, “Here, the fact that distribution companies need to make more investments and their responsibilities in their own regions will increase. Distribution companies are ready for the transformation and change to be experienced with renewable energy in terms of both technical infrastructure and qualified human resources.”

“Green transformation is important in electric vehicles”

Touching on the electric vehicle transformation, Zaimler stated that the primary goal here is to reduce fuel consumption based on crude oil.

Zaimler stated that if the fuel consumption is eliminated and the electricity needed in vehicles is produced from a hydrocarbon such as coal, this step would be meaningless and said:

“This transformation should definitely be supported by green energy within the energy transformation approach. The faster increase in clean energy resources in our country will support the electric vehicle transformation. It is very important that there is an initiative in Turkey regarding the technology, production and cost of batteries for electric vehicles. I can say that I attach great importance to using the highest technology, focusing on the lowest cost and even becoming an international player.”

On the other hand, giving information about the items that make up the electricity bills, Zaimler said:

“₺60 of a ₺100 bill is energy production cost. This figure can vary according to consumption volumes and profiles. ₺18 of this is taxes and funds, ₺4 transmission costs. The cost of technical and non-technical losses is ₺3. The investments of distribution companies are also ₺9. ₺6 for breakdown, maintenance, repair, meter reading and human resources. In fact, these fees are fixed for 5 years. The biggest variable is the change in the production of electricity. Distribution companies or supply companies cannot request a change in electricity tariffs, nor can they change the invoice.”

Source: Sabah / Translated by Irem Yildiz

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