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Regulatory reform in Turkish energy industry: An analysis

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  • Erdogdu, Erkan

Abstract

The Republic of Turkey has initiated an ambitious reform program in the most important segments of her energy market; which requires privatization, liberalization as well as a radical restructuring of these industries. However, there is no consensus that the measures introduced are optimal. The present article attempts, first, to evaluate the regulatory framework created by the laws of 2001 in terms of economic efficiency considerations; and second, to determine what still needs to be done to improve the current situation. The paper not only provides an analysis of these reforms but also lists some policy suggestions. The study concludes that despite relatively good legislative framework, in practice, the reforms in Turkey are far from ideal as they are mainly in the form of “textbook reforms”; and therefore a significant amount of work still lies ahead of Turkey to set up a fully fledged energy market.
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Suggested Citation

  • Erdogdu, Erkan, 2007. "Regulatory reform in Turkish energy industry: An analysis," Energy Policy, Elsevier, vol. 35(2), pages 984-993, February.
  • Handle: RePEc:eee:enepol:v:35:y:2007:i:2:p:984-993
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    References listed on IDEAS

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    1. Erdogdu, Erkan, 2002. "Turkey and Europe: Undivided but not united," MPRA Paper 26928, University Library of Munich, Germany.
    2. World Bank, 2004. "Turkey : Gas Sector Strategy Note," World Bank Other Operational Studies 14386, The World Bank.
    3. Hepbasli, Arif, 2005. "Development and restructuring of Turkey's electricity sector: a review," Renewable and Sustainable Energy Reviews, Elsevier, vol. 9(4), pages 311-343, August.
    4. Tonci Bakovic & Bernard Tenenbaum & Fiona Woolf, 2003. "Regulation by Contract : A New Way to Privatize Electricity Distribution?," World Bank Publications, The World Bank, number 15078.
    5. Ozturk, Harun Kemal & Ceylan, Halim & Canyurt, Olcay Ersel & Hepbasli, Arif, 2005. "Electricity estimation using genetic algorithm approach: a case study of Turkey," Energy, Elsevier, vol. 30(7), pages 1003-1012.
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    More about this item

    JEL classification:

    • O13 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Agriculture; Natural Resources; Environment; Other Primary Products
    • Q4 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Energy

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