TEPAV Analyst Ozan Acar discussed Turkey’s 2023 goals from the energy perspective.
PARIS – TEPAV Economic Policy Analyst Ozan Acar delivered a presentation at a seminar titled “Turkey's Energy Strategy Under Pressure : Domestic Bets and Regional Constraints” organized by the French Institute of International Relations (Institut Français Des Relations Internationales - IFRI) in Paris on Tuesday, 2 July 2013. Acar drew attention to the report of the 10th Development Plan Ad-hoc Commission for Manufacturing Sector Transformation in which TEPAV took place as reporter. He stressed that it was important to combine a well-designed industrial strategy with steps in the fields of renewable energy and energy efficiency as they are central to the “green growth” perspective, one of the priority areas highlighted in the commission report.
Speaking at the session chaired by Cécile Maisonneuve, Director of IFRI’s Center for Energy, Acar evaluated Turkey’s 2023 goals from the energy perspective.
Private sector investment of $130 billion needed
Acar stated that Turkey’s energy demand increased rapidly in the last decade along with economic growth and would definitely scale up further as the country moves close to its 2023 targets. He said, “Energy demand increased in cumulative by 50 percent in the 2000-2011 period and is expected to grow by 91 percent from 114 million to 218 million tons of oil equivalent between 2011 and 2023.” He stressed that Turkey needs an additional private sector investment of $130 billion in order to build the additional production capacity to meet this demand.
Emphasizing the need for an energy strategy harmonious with Turkey’s 2023 targets, he added:
“Energy production and distribution should be completely liberalized as soon as possible. It is of critical importance to improve competitiveness and strengthen the legal framework to facilitate foreign investment in Turkey’s energy sector. Moving towards its 2023 targets, Turkey should thoroughly address the issue of energy security.”
Indigenous sources and energy efficiency
Acar said that diversifying oil and natural gas import sources and utilizing indigenous sources and improving energy efficiency via indigenous sources were critical for energy efficiency. He added, “Turkey has a substantial capacity for improving energy efficiency in buildings as well as in industrial and services sectors. In order to realize the steps required to fulfill the targets of the Energy Efficiency Strategy Document dated 2012, Turkey has to complete the works regarding the secondary legislation immediately.”
Other panelists of the meeting were Dorothée Schmid, Head of the IFRI Contemporary Turkey Programme, Mithat Rende, Director General for Multilateral Economic Affairs of Turkish Ministry of Foreign Affairs, Sohbet Karbuz, Hydrocarbons Division Director at Observatoire Méditerranéen de l'Énergie, and Denis Simonneau, GDF Suez Diplomatic Adviser.
