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May 27, 2012
 
 
 
 
 
 

‘Energy privatizations bring better service’

Hasan Köktaş
23 March 2010 / İSMAIL ALTUNSOY, ANKARA
The privatization of energy distribution systems in Turkey is seeing radical changes, putting the focus on the satisfaction of millions of consumers of electricity and natural gas throughout Turkey while also lowering prices in the long run, Hasan Köktaş, president of the Energy Market Regulatory Agency (EPDK), has said.

In an interview with Today’s Zaman, Köktaş noted that the EPDK is still keeping watch over energy distribution companies even though many of them have been privatized. He stated that distribution firms are kept under close scrutiny so consumers do not become victims when the companies’ services go awry.

According to Köktaş, electricity distribution companies will have to reimburse consumers if voltage changes and brownouts on the electricity infrastructure damage home electronics.

Consumers will have to document the damage by an authorized electronic service specialist and then apply to the distribution company to receive a payment for the damages sustained. “If the company refuses to pay, then consumers should let us know, and we will step in,” Köktaş said. Köktaş stressed that electricity and natural gas distributors are required by the EPDK to have a customer support line by 2011. If they do not comply, they will be fined TL 350,000, Köktaş says.

Long-term decreases in prices on the way

Regarding the rapid pace of privatizations in Turkey, Köktaş stated that in the medium and long term, privatizations will lead to price decreases in both electricity and natural gas distribution as well as improve the response time for problems in the infrastructure. “We’re meticulously tracking various performance criteria such as response time and how long it takes to fix issues on the network. Based on this we are assigning grades to distribution companies,” Köktaş said. He added that if distribution companies show a poor performance, they will be fined a hefty TL 350,000.

“The quality of distribution services is improving quickly, illegal use of the electricity network is decreasing and receipts are increasing. This will help lower the per kilowatt-hour prices. The lowering effect of privatization on prices will therefore be seen in the medium to long term,” Köktaş stated.

Regarding the requirement that distribution companies cover the costs of damages to electronics stemming from brownouts and blackouts, Köktaş stated that many firms have now started to insure themselves for these possible damages.

 
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