Capacity-mechanism rewards remain unchanged despite power plant additions

(Enerji IQ – July 2021) Transmission system operator TEIAS published its capacity-mechanism payment list for May, which includes 51 power plants with a total capacity of 31,125 MW. The capacity-mechanism rewards accounted for 31.86% of the total installed capacity of 97,690 MW. Despite introducing 5,810 MW of additional capacity through the build-operate (BO) model gas-fired power plants, EMRA did not increase the overall budget. The monthly allocated payments were distributed to each power plant.

Based on resources, the highest payment of 152.1 million TL was made to domestic coal power plants, while natural gas power plants received 91.9 million TL. While 16.8 million TL was paid to HEPPs, 9.9 million TL was paid to imported coal power plants. Payments to imported coal power plants remained low in May due to many such plants being under maintenance.

Konya Seker’s Soma-B thermal power plant received 16.25 million TL, the highest payment among coal power plants. Among natural gas power plants, Limak’s 1,220-MW Hamitabat power plant received the highest payment of 11.4 million TL.

ENKA’s 770-MW power plant in Adapazarı, which was included in the capacity mechanism for the first time and started production on May 17, received a payment of 2.55 million TL.

The total amount paid to all power plants in May was 270,743 million TL within the framework of the previously determined budget.

In the context of the capacity mechanism, 278,952 million TL will be paid to power plants for June and 155,012 million TL in July.

YEKDEM FITs and capacity-mechanism rewards cover 55,371 MW of total capacity

According to EMRA’s final YEKDEM list for 2021, the total installed capacity of the renewable power plants that are allowed to benefit from renewable energy supporting mechanism (YEKDEM) was 24,246 MW. The total installed power of the power plants that were entitled to receive monthly payments subject to the capacity mechanism reached 31,125 MW as of July.

These figures reveal that a total installed capacity of 55,371 MW benefits from the advantages provided by YEKDEM and the capacity mechanism. The capacity that has the right to benefit from support and incentives corresponds to 56.7% of the total installed power of 97,690 MW.

The capacity that can generate electricity without being subject to YEKDEM or the capacity mechanism is 42,319 MW, including license-exempt power plants.