The evaluation of feed-in tariff regulation of Turkey for onshore wind energy based on the economic analysis

Mehmet Ertürk

Energy Policy, 2012, vol. 45, issue C, 359-367

Abstract: Renewable energy sources have become popular with the technological developments, the increase in the price of fossil fuels and the environmental concerns. These factors have also prompted Turkey to utilize her rich renewable energy sources to meet her increasing electricity demand which is around 7% annually. Therefore, the Renewable Energy Law was enacted in 2005 to incentivize the utilization of domestic renewable sources with feed-in tariffs. In this study, onshore wind energy potential of Turkey is analyzed to find out whether these regulations and incentives will help the utilization of onshore wind energy potential. To that end, some background information about technology and cost of onshore wind power plants, the wind energy potential of Turkey and the current regulatory framework related to wind energy are explained. Then, a model is set up to conduct economic analysis by calculating NPV for the base case scenario and under the uncertain environment. The results show that an onshore wind energy potential of about 13GW having a wind speed of 7.5m/s or higher can be utilized profitably with the current feed-in tariff as the wind capacity of more than 100GW cannot be utilized economically.

Keywords: Wind energy; Economic analysis; Uncertainty analysis (search for similar items in EconPapers)
Date: 2012
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (1)

Downloads: (external link)
http://www.sciencedirect.com/science/article/pii/S0301421512001619
Full text for ScienceDirect subscribers only

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:eee:enepol:v:45:y:2012:i:c:p:359-367

DOI: 10.1016/j.enpol.2012.02.044

Access Statistics for this article

Energy Policy is currently edited by N. France

More articles in Energy Policy from Elsevier
Bibliographic data for series maintained by Catherine Liu ().