Achieving Electricity Liberalisation in Türkiye

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Neoliberal Transformation of Electricity

Abstract

This chapter covers the introduction of liberalisation period (2001–2015), and revolves around the question of how and why electricity liberalisation, as a foreign-inspired policy and a reflection of global power structures, influenced Türkiye’s domestic energy policy preferences. Major political economic factors affecting the introduction of liberalisation, and their interactions, are revealed in two parts. The first part analyses external political economic factors which affected Türkiye’s domestic energy policy preferences from the perspective of structural power, and the second part clarifies how internal economic and political factors converged with those in the external realm. It explains how a convergence between internal and external political economic factors emerged prior to actual liberalisation, triggered the reform and sustained it. Thus, connections through which power structures influence agents’ preferences and behaviours are explored through the case of Türkiye.

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Notes

  1. 1.

    Data was compiled from the European Investment Bank database: https://www.eib.org/en/projects/loans/index.htm?

  2. 2.

    Letter of Intent, June 1998: https://www.imf.org/external/np/loi/062698.htm.

  3. 3.

    Data was collected from the IMF database: http://www.imf.org/external/np/fin/tad/extarr2.aspx?memberKey1=980&date1key=2018-07-31.

  4. 4.

    Data was collected from http://www.trlibor.org/ for TRLibor, from https://www.emmi-benchmarks.eu/ for Euribor, and from https://www.global-rates.com/ for USD Libor.

  5. 5.

    For some examples: IEA, Electricity Market Reform: An IEA Handbook, OECD Publishing, Paris, 2000; OECD and IEA, Lessons from Liberalised Electricity Markets, OECD Publishing, Paris, 2005; IEA, Regulatory Institutions in Liberalised Electricity Markets, IEA, Paris, 2001; IEA, Distributed Generation in Liberalised Electricity Markets, IEA, Paris, 2002; World Bank, Taking Stock of the Political Economy of Power Sector Reforms in Develo** Countries, Policy Research Working Paper 8518, 2018.

  6. 6.

    For some examples: Turkey’s Energy Transition: Milestones and Challenges, World Bank, Washington DC, 2015; Energy Policies of IEA Countries: Turkey 2009 Review, IEA, 2010; Energy Policies of IEA Countries: Turkey 2016 Review, IEA, 2016; Creating Markets in Turkey’s Power Sector, Note 33, World Bank, 2017; IEA encourages Turkey to deepen energy market reforms, IEA, September 20, 2016, https://www.iea.org/newsroom/news/2016/september/iea-encourages-Türkiye-to-deepen-energy-market-reforms.html.

  7. 7.

    The term ‘norm projection capability’ was adapted from the term ‘power projection capability’, by considering that the EU prefers to perceive itself and to be perceived by the others as a normative power prioritising its values, regardless of the validity of this claim.

  8. 8.

    IB: Public Investment Budget, EIB: Energy Investment Budget, TB: Total Budget.

  9. 9.

    EIB: Energy Investment Budget, TB: Total Budget.

  10. 10.

    The term ancien régime was used to refer to the dominance of royalist bureaucrats in pre-revolution France originally. Here, the term ancien régime was used to refer to the previous periods when bureaucrats who had anti-neoliberal and statist approaches had dominance in sha** the policies.

  11. 11.

    For some examples, see: Chamber of Electrical Engineers (EMO), Elektrik Özelleştirmeleri Raporu, Ankara, 2012; MMO, Türkiye’nin Enerji Görünümü, Ankara, 2010; EMO, Elektrik Piyasaya, Ateş Vatandaşın Cebine Düştü, Ankara, 2010; EMO, Elektrik Piyasası Çöküyor, Kamu İşbaşına, Ankara, 2007.

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Ünal, S. (2023). Achieving Electricity Liberalisation in Türkiye. In: Neoliberal Transformation of Electricity. Palgrave Macmillan, Singapore. https://doi.org/10.1007/978-981-99-0282-8_6

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  • DOI: https://doi.org/10.1007/978-981-99-0282-8_6

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