Energy

Energy

Türkiye, not rich in oil or natural gas, pursues a policy of diversifying its energy resources, focusing on renewable energy projects and nuclear plants to meet rising energy demands. Thanks to the opportunities created by this policy, Türkiye has become an attractive market for foreign energy investors. At the same time, Turkish companies are increasingly leveraging their experience in Türkiye to invest in energy markets in other jurisdictions. 

Our esteemed energy team leader, Mehmet Suat Kayıkçı, has two decades of specialization in energy law, including over a decade at the Energy Market Regulation Authority (“EMRA”). Under Mr. Kayıkçı's guidance, our distinguished energy team provides high-quality legal services to both local and foreign clients across all aspects of energy law, while also assisting Turkish companies in their strategic energy investments abroad. 

Regulatory Permits and Licensing 

Our energy team provides end-to-end services to clients throughout the process of obtaining necessary permits or licenses specific to each energy sector (oil, natural gas, or electricity) from the EMRA or other governmental bodies. The services we provide in this respect include: 

• guiding clients on identifying the required permits or licenses, advising on necessary documentation, and outlining technical requirements; 
• handling the complete application process for clients before the EMRA and other relevant governmental bodies; 
• drafting, reviewing, and negotiating agreements with third-party service providers that are necessary for compliance with the technical requirements of the licenses.  

In Türkiye, there has recently been a significant increase in the number of firms operating electric vehicle (EV) charging networks. We have already assisted several clients in successfully securing licenses from the EMRA and establishing the necessary technical infrastructure to operate as EV charging network operators. 

Many Turkish companies seek to establish renewable energy (solar or wind power) facilities to meet their electricity needs and sell any surplus without a license to operate in the electricity market. We also guide and assist these companies in planning their projects and obtaining necessary permits from the EMRA and other governmental bodies. 

Regulatory Compliance 

The Turkish legal framework governing energy markets is highly dynamic, driven by rapid technological advancements and shifts in governmental policies. Given the risk of being fined by the EMRA for non-compliance, Sector players must therefore maintain ongoing compliance efforts to keep pace with frequent changes in the relevant legislation. We continuously monitor updates in energy legislation for our clients, inform them accordingly, and advise them on adhering to the legal and technical requirements imposed by these changes. 

Project Finance 

For sustainability reasons, credit institutions prioritize financing renewable energy projects in Türkiye. We frequently assist sector companies in structuring renewable energy projects to secure loans from banks and in reviewing and negotiating loan agreements. We also advise banks on the compliance of the loan applicant's project with energy legislation and potential legal risks arising therefrom, as well as the feasibility of restructuring existing loans from the perspective of energy law. 

Sector-Specific Contracts 

Our energy team also distinguishes itself through its extensive expertise in commercial contracts specific to the energy industry. The contracts we advise clients about include: 

• EPC (Engineering, Procurement, and Construction) Contracts: These contracts are commonly utilized in solar energy projects in Türkiye. Our team represents investors, constructors, or suppliers in drafting, reviewing, and negotiating those agreements. 
• Electricity Trade Contracts: We advise our clients on various types of electricity-specific contracts, including but not limited to EFET (European Federation of Energy Traders) contracts, PPAs (power purchase agreements), ESCO (energy service companies) contracts. 
• Distribution Contracts: We assist fuel distribution companies and EV charging network operators in structuring their distribution channels, as well as drafting, reviewing, and negotiating dealership agreements or similar contracts with gas stations and other sales points. 

Mergers & Acquisitions (M&A) 

Thanks to our extensive legal and industrial expertise, we are regularly chosen by clients in the energy industry for legal assistance regarding their M&A or joint venture transactions.  

For our clients, we conduct energy law due diligence to assess the compliance of the energy assets or operations of the counterparty, identify legal risks associated therewith, and advise on how to mitigate those risks to protect their best interests. 

Our energy team is also involved in drafting, reviewing, or negotiating transaction-related agreements, including shareholder agreements, share purchase (subscription) agreements, or joint venture agreements, to effectively address energy law matters. 

Energy mergers and acquisitions or joint ventures may require obtaining specific approvals from the EMRA, particularly to ensure the ongoing validity of licenses. Therefore, in addition to notifying the Turkish Competition Authority for merger clearance, we handle the approval process before the EMRA on behalf of our clients.  

Dispute Resolution 

Our energy team possesses exceptional expertise in handling energy-related legal disputes. We have acted for numerous clients before administrative courts and occasionally before the Constitutional Court of Türkiye, particularly in challenging fine decisions or regulations issued by the EMRA.  

Additionally, we have represented clients in civil disputes across various forums, including courts and arbitral tribunals, arising from contracts with other industry players. Our experience in this regard includes representing multinational and local clients seeking compensation claims against the Turkish electricity transmission and distribution system operators before civil courts.