PAOSB Chairman Aslan Reacts to New Regulation

The Energy Market Regulatory Authority (EPDK) has put forward a "Draft Notification on the Regulation of Last Resort Supply Tariff" which, if implemented as written, would place manufacturers in a difficult position. According to the draft, the industrial tariff that enables Organized Industrial Zones to purchase electricity at discounted rates and the associated ceiling price mechanism would be eliminated. The draft notification, which forces manufacturers to purchase electricity from intermediary companies, would condemn firms to expensive energy purchases if no agreement is reached. PAOSB Chairman Fidan Aslan Eroğlu, noting that the notification covering OSBs would negatively affect not only manufacturers but also the economy, production and exports, stated: "EPDK's latest tariff draft must definitely be withdrawn." Manufacturers' energy problems continue. With EPDK's latest last resort supply tariff draft notification, manufacturers unable to reach agreements with electricity supplier companies are forced to purchase expensive energy. Until now, OSBs that could not purchase electricity from the private sector obtained the tariff of TRY 0.2052/kWh, which was set by EPDK, from distribution companies. According to the latest draft, in the new period, manufacturers unable to reach agreements with the private sector will purchase their electricity from distribution companies, but there is no set price. Manufacturers agree that the removal of the ceiling price will bring price increases with it. PAGDER&ASLAN Plastics Specialized OSB Board Chairman Fidan Aslan Eroğlu said the following regarding the matter: "As Organized Industrial Zones, we encourage our manufacturers to produce under the most favorable conditions. Providing our companies with cheap electricity is one of our priorities. However, EPDK's latest draft notification proposes the removal of the electricity ceiling price. This confronts the manufacturer with higher electricity prices. Rising electricity costs mean increased production costs and naturally their reflection in the product price. Because our manufacturers determined the price of the products they produce and sell by taking into account the current energy unit prices. The implementation of this notification, which goes no further than containing provisions providing direct advantages to supply companies, could bring the machinery of industry to a standstill. We believe this notification, which would create difficulties for industry and OSBs, must definitely not be published."