Legislation needed to realize Turkey’s solar potential

 But sector players say the government needs to move quickly on legislative incentives to enable the promising sector to thrive. From hospitals to homes to telecommunications, solar energy has a wide variety of efficient applications. Sunday's Zaman spoke with a number of solar energy players on the state of the sector last week, and the resounding consensus was that the government needs to complete and pass renewable energy legislation changes that have been in the works for some time in order to pave the way for the sector's progress.

Süleyman Boşça, head of the Ankara-based Energy Law Research Institute, explained that there is a lack of knowledge and awareness as regards solar power in Turkey. “Many do not even know about the existence of a law regulating the renewable energy sector in Turkey, but it has been around since 2005,” he said. He underlined the shortcomings of current law on renewable energy, calling on the government to update the legislation. Drawing attention to the prices that according to the law the government pledges to pay for electricity if it is produced by renewable energy sources, Boşça highlighted the importance of increasing the prices. “The electricity generated from renewable energy sources is compensated by a margin of 5-5.50 euros. However this number can reach even 40 euros in some European countries, such as Germany, where the value of sun radiation is remarkably lower that that of Turkey,” said Boşça and noted that the prices should be determined according to the value of sun radiation in the country. Evaluating the prices, Boşça compared Germany and Turkey, saying that Turkey has higher values and that it is thus understandably profitable to set lower prices in Turkey than in Germany.

Boşça also touched upon the importance of sustainability in state policy and criticized the immediate changes in the laws. He noted that the changes after the laws are set up are damaging the confidence of foreign investors who are seeking a chance to invest in Turkey's renewable energy sector. “It is unfair if you change the rules during the game. Turkey did this to investors in the solar power sector. I personally know European businessmen who are very ambitious to invest in Turkey's potential for solar power but are discouraged by the prices and tax incentives on the one hand and the government's attitudes to change the related laws leading to a lack of confidence on the other,” he said.

Boşça's concerns over Turkey's renewable energy policy were echoed by the Association of Solar Electricity Producers and Photovoltaic Industrialists and Businessmen (Güneşe Derneği) President Mehmet Özer, who, noting that Turkey relies on foreign countries for about 70 percent of its energy needs, said the nation was unprepared for possible increases in energy demand following the resolution of the global financial crisis. Özer, whose association works in partnership with the European PhotoVoltaic Industry Association (EPIA) with the aim of increasing the use of solar electricity production in Turkey, said, “Those who hold political power must pass the necessary laws and amendments as soon as possible and pave the way for investors in renewable energy, which will ensure the taking advantage of the environmentally friendly energy production methods that would both contribute to the solution of the energy problem.”

‘Construction clauses in draft legislation will invigorate domestic market’

Faruk Dağ, vice president of Konya-based Solimpeks Solar Energy Systems Co. -- Turkey's top exporter of solar technologies in 2008 -- told Sunday's Zaman that they are counting on Parliament to pass the renewable energy legislation changes this fall to give them reason to expand their domestic activities. The legislation would mandate the inclusion of renewable energy systems for heating water and providing electricity in all major new buildings to be constructed. “Until now, we haven't been active in the domestic market because what sells here are cheaply made, poor quality solar products,” Dağ, whose company exports to 45 countries, said. Now, Solimpeks is conducting preliminary research and preparation for expansion into the domestic solar energy sector if Parliament gives its approval to legislative changes in the fall. “You cannot ignore the Turkish market,” Dağ said. “It's the second largest solar market after China, with 2 million square meters of solar panels installed in the country.”

Solimpeks emphasizes innovation in solar technologies and is hoping in particular to market hybrid PV-T collector solar panels (Solimpeks is the second-largest global manufacturer of the technology) to the Turkish market if the new legislation passes. “Schools, hospitals, other large buildings -- this [legislation] will create demand for high quality solar panels and technologies,” Dağ said, remarking also that his company has continued to grow despite the crisis and that he believes the outlook is getting brighter for the realization of the domestic market's solar potential.

Many factors make solar solutions ideal

In recent days, the Turkish government has been accused of more interest in attaining nuclear power than making the necessary legislative and infrastructural changes that would allow more widespread usage of other sustainable energy sources, like solar and wind power, in Turkey.

Greenpeace nuclear plant program coordinator Korol Diker told Sunday's Zaman that a major difference between solar and nuclear energies -- in solar energy's favor -- lay in the types of energy sources they can produce. “Nuclear plants can help you only with generating electricity, while posing many risks. But renewable energy sources, particularly solar power, can be used to produce energy for heating, transportation and warm water,” Diker said. “In the long run it is a fact that solar power and other renewable energy sources are much more profitable compared to nuclear power. We should also take into account the dangers of nuclear plants in terms of catastrophic effects on the environment and the health of living creatures. That aside, the transportation of nuclear waste involves risk,” he said. Referring to recent figures published in America, Diker said the energy produced by renewable energy is more than that by nuclear energy, which is 11.6 percent of total energy consumption in the United States.

Commenting on the initiatives necessary to further solar power in Turkey, Diker said rather than NGOs, the government is primarily able to generalize the use of solar power by encouraging investors. “The renewable energy sector actually stands at a disadvantage when compared to nuclear power because the latter is quite new. What the government should do is to provide a lucrative investment environment -- yet for years the nuclear power and coal sectors have been receiving support through tax incentives,” he added.