MEASURES ON DISTRIBUTION AND SUPPLY LICENSES IN THE ELECTRICITY MARKET

In the event of revocation of licenses of authorized legal entities in the electricity market, consumers must be protected and services must not be interrupted. For this reason, the Regulation on Measures Regarding Distribution and Supply Licenses in the Electricity Market has been arranged by EMRA.

The purpose of this Regulation is to determine the measures to be taken to protect the consumers and to prevent the disruption of the services in the event of administrative fines or license cancellation conditions, to terminate the activities of the legal entities holding distribution or supply licenses in the electricity market, and to determine the legal entity that will perform the distribution or last resource procurement activity in the relevant distribution region.

Measures

In the event that the distribution or the assigned supplier company does not properly perform the regulated activities of the distribution activity or the assigned supply company,in case of breach, the quality or the quality of the activities subject to regulation by the distribution activity or the assigned supplier company, the distribution or the assigned supplier company has become a habit of violating the legislation, and in cases where the distribution or the assigned supply company is insolvent or it is determined by the decision of EMRA, EMRA takes a measures decision.

Measures to be implemented by the EMRA;

Dismissing some or all of the members of the board of directors of the licensee and making new appointments in their place; or

Providing financial provisions for the services and investments not provided by the legal entity holding the distribution license within the scope of the tariff, primarily from the revenues obtained from the other activities of the Company, if not enough, from the dividend income of the existing partners and finally from the assets of the shareholders whose shares are registered; or

Revocation of the license of the legal entity holding a distribution or supply license.

If it is decided to terminate the license of the legal entity holding the distribution or supply license, a license is given to TEDAŞ.

Determination of the Legal Entity to be Licensed

Within 3 working days at the latest following the cancellation of the distribution license or the decision to terminate the distribution license, a notification is made to the Ministry of Energy and Natural Resources by EMRA in order to establish a transaction within the scope of privatization. Distribution license is given to the legal entity determined in this context if it fulfills the necessary conditions.

If it is decided to terminate or cancel the supply license by canceling, the last source supplier legal entity to be granted a supply license is determined within the framework of the communiqué to be issued by EMRA.

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