Institutions and Legal Framework Governing Electricity Transmission and Distribution in Turkey

The legal and institutional framework for electricity transmission and distribution in Turkey is principally regulated by Law No. 4628 on the Electricity Market. This legislation outlines the structure, responsibilities, and coordination mechanisms of the institutions involved in the electricity sector. Its primary aim is to establish a transparent, stable, low-cost, competitive, and financially robust electricity market, grounded in private law provisions, ensuring that consumers have access to sufficient, high-quality, and continuous electricity. The law also seeks to establish independent regulatory oversight.

Key Legal Provisions and Institutional Actors

Law No. 4628 covers all stages of the electricity market, including generation, transmission, distribution, wholesale and retail sales, as well as import and export operations. It also lays down the legal basis for the establishment and operation of the Energy Market Regulatory Authority (EMRA – EPDK).

The law defines the following key institutional actors:

1. Ministry: The Ministry of Energy and Natural Resources

2. Minister: The Minister of Energy and Natural Resources

3. TEAŞ (Türkiye Elektrik Üretim ve İletim A.Ş.): Turkish Electricity Generation and Transmission Inc.

4. TEDAŞ (Türkiye Elektrik Dağıtım A.Ş.): Turkish Electricity Distribution Inc.

5. EPDK: Energy Market Regulatory Authority

1. Ministry of Energy and Natural Resources

The Ministry of Energy and Natural Resources was established under Law No. 3154. Article 2(4) of this law assigns the Ministry with the responsibility to set energy policy goals, conduct planning, and ensure the safe, efficient, and sustainable development and use of natural resources and energy, in line with national interests.

Among its duties are:

• Coordinating electricity transmission and distribution;

• Supervising infrastructure and policy implementation;

• Ensuring national energy security.

2. Energy Market Regulatory Authority (EPDK)

The Energy Market Regulatory Authority (EPDK) was established by Law No. 4628 as an independent administrative authority. According to Article 5(6) of the Law:

• EPDK is responsible for adopting regulations to ensure reliable, high-quality, and uninterrupted electricity supply to consumers.

• Under paragraph (e), it sets security and technical standards for electricity generation, transmission, and distribution companies, including autoproducers and their facilities.

• Under paragraph (h), it establishes rules to safeguard commercial confidentiality and competition-sensitive data.

EPDK also monitors supply security and has the authority to take preventive or corrective measures in this regard.

3. TEİAŞ – Turkish Electricity Transmission Corporation

TEİAŞ is responsible for:

• Operating and maintaining the national electricity transmission grid;

• Electricity transmission (defined as transfer of electricity through lines exceeding 36 kV);

• Ensuring transmission system reliability and coordination.

TEİAŞ acts as the central transmission system operator under the supervision of EPDK and the Ministry.

4. TEDAŞ – Turkish Electricity Distribution Corporation

TEDAŞ oversees the electricity distribution system, operating at voltages below 36 kV. Its responsibilities include:

• Delivering electricity from TEİAŞ to regional distribution companies;

• Overseeing the proper functioning of low-voltage networks;

• Managing regional and local distribution operations.

5. Organized Industrial Zones (OIZs)

Under Law No. 4562 on Organized Industrial Zones, OIZs are empowered to carry out both electricity distribution and generation, provided they obtain an EPDK license. These entities:

• Are subject to Turkish Commercial Code No. 6762;

• Are deemed eligible consumers, regardless of their consumption levels;

• May allow their participants to choose electricity providers, provided distribution costs are paid;

• Must comply with pricing regulations set by EPDK, in consultation with the Ministry of Industry and Commerce.

Conclusion

Turkey’s electricity transmission and distribution infrastructure is governed by a hierarchical and regulated model, with clear legal mandates assigned to ministries, public corporations, independent regulators, and private licensed entities. The regulatory regime is grounded in Laws No. 4628, 3154, and 4562, ensuring a balance between state oversight, private sector participation, and consumer protection within a competitive market structure.