Installing 1TW Photovoltaic Systems By 2030
According to foreign media reports, the Turkish government has issued a new feed-in tariff subsidy (FIT) for photovoltaic systems and other types of renewable energy power generation facilities.
According to Decree No. 7189 published in the Official Gazette, the Turkish government has set 1.06 Turkish lira/kWh for PV systems installed by developers between July 1, 2021 and December 31, 2030 (0.0545/kWh) for 10-year feed-in tariff (FIT). In addition, PV projects installed with domestic PV modules in Turkey will receive an additional five-year feed-in tariff subsidy (FIT) of 0.2880 TL/kWh.
The Turkish government has also established a 10-year subsidy policy for wind power and photovoltaic power generation projects that are equipped with battery energy storage systems, with a subsidy amount of 1.25 Turkish lira/kWh; An additional subsidy of 0.3845 TL/kWh is provided for power generation projects using domestically produced equipment for a period of 10 years. The feed-in tariffs for onshore and offshore wind are set at 1.06 TL/kWh and 1.44 TL/kWh, respectively. For other renewable energy sources, including pumped storage, geothermal, biomass and wave energy, feed-in tariffs range from 1.06 Turkish lira/kWh to 2.02 Turkish liras/kWh.
The Turkish government’s plan is to make quarterly adjustments to all feed-in tariffs based on the Producer Price Index, Consumer Price Index, US Dollar Purchase Rate, and Euro Purchase Rate. Eren, board member of the Turkish Photovoltaic Association Engur said that the Turkish Energy Authority (EMRA) hopes to allocate about 20GW of PV systems by 2030 through the scheme, while the Turkish government has not yet revealed whether it will set a size limit on PV systems eligible for the incentive scheme.
Turkey has previously supported the development of large-scale PV projects through the YEKA PV tender scheme and the Unlicensed PV Power Plant Incentive Scheme under 1MW. However, the Turkish PV market is currently driven by self-consumption and net-metered rooftop PV systems. Prior to the introduction of the net metering rule in May 2020, the Turkish PV market was traditionally dominated by grid-scale PV projects.
The Turkish Photovoltaic Association’s PV roadmap report released in 2019 predicted that the country will install a cumulative 38GW of PV systems by 2030. In another study released in May 2018, Istanbul-based Shura Energy Transition Center predicted that the cumulative installation of PV systems in Turkey will exceed 20GW by 2026.