32 Million People Covered Under Natural Gas Grid
Yaşar Arslan, Executive Council Chairman of the “Natural Gas Distributors Association of Turkey” (“GAZBİR”) revealed that the aggregate number of people benefiting from the natural gas network spanning across the country has reached 32 million, as of recently.
In statement he has released, Arslan noted that approximately 25% of the total 45.2 billion cubic meters of natural gas consumed in Turkey last year was traceable to subscriber usage, and when the portion of 4 billion cubic meters of consumption belonging to the free/eligible consumers are consolidated in the stated figure, it would be evident that about one-third of the overall consumption in the country was accomplished through the distribution companies.
Drawing attention to the economies-of-scale by stating that an individual subscriber would record accumulated savings to the tune of nearly 1,150 TL a year by conversion from coal-based heating or the use of canister-type gas for ovens, furnaces or water-heaters, Arslan stated that Turkey has amassed savings of some 80 billion TL merely by taking such measures in residential energy expenditures, adding also that a market worth over an estimated 20 billion TL was created in the installation and machinery-equipment conversion functions and associated, peripheral works.
Expressing that the total potential that the distribution network has reached amounted to 45 million, on a population basis, Arslan explained that “under the present conditions, the number of populace benefiting from the natural gas across the country has topped the figure of 32 million. As for the penetration aspect, on the basis of gas user, it hovers at around 71%.”
“Supply-demand balance achieved for 2013”
Underscoring the necessity for evaluating the demand for natural gas within the context of the supply security, Arslan gave the following background information and facts on this topic: “For the present tense, the supply resources of our country consist of the long-term natural-gas sale-and-purchase agreements and contracts concluded by BOTAŞ and, in addition to this, the resources that have been conveniently transferred to the private-sector entities, implying a grand total of 51.8 billion cubic meters, all combined. The natural gas consumption estimation and forecast of the EPDK, the regulator, pertaining to the year of 2013, is 47.6 billion cubic meters. Taking into account the evolutionary process and the development saga of the natural gas sector, it would be justifiable to purport that the supply-demand balance has been successfully accomplished for the year 2013.” Furthermore, Arslan divulged that natural-gas based power stations featuring a combined capacity of 50,000 MW would be established until 2015, asserting that this number corresponds to a requirement of nearly 5 billion cubic meters of natural gas.
“Investment bottom-line has exceeded 8 billion TL”
Reminding that a total of 57 natural-gas distribution licenses had been tendered off and eventually delivered up until today, and that natural-gas usage had commenced in 65 major urban centers, embodying 64 distribution-license regions, Arslan continued: “The corresponding and equivalent amount of network investment of the stated figure, as of 2012-end, and taking into account the tendered companies, is 36,500 kilometers of polyethylene and steel pipeline. The aggregate value of investments undertaken by the tendered companies has surpassed 3.3 billion liras, creating an overall employment for about 48,400 workers. When the investments are glanced at and studied, in the general context of the distribution companies involved, it will be noticed that the total network size has attained the level of 70,000 kilometers, that the investment portfolio amounted to the excess of 8 billion TL and gradually generated employment opportunities for over 77,000 persons, all in all.”
Nabucco & TANAP
On a separate subject, Arslan underlined the necessity to evaluate and assess the strategic and economic impact, effects and ramifications of the Trans Anatolian Natural-Gas Pipeline Project (“TANAP”) and the Trans-Adriatic Natural-Gas Pipeline Project (“TAP”) , with a particular focus on the range of concrete benefits that would be derived from the mentioned project, on a priority basis. Arslan completed his statement by providing the following summation: “The benefits and advantages that could be induced by the Nabucco project could be realized probably in the medium term or more realistically in the long-term, acting on the assumption that there is no let-up in the entire process and the blueprint is fostered with unflinching resolve. However, it is only natural and inevitable for our country, within a general framework, to reap the tangible benefits and advantages of the realization of any and all transit pipeline projects, owing to its unique territorial stature as enjoying a vantage point. The fundamental element and pre-condition of harvesting such benefits and advantages is pursuing the accurate country policies and implementing the right decisions at the right time. The circumstances that are warranted for evolving our country into a major hubbub of commerce and energy, while enforcing such projects, must also be secured synchronously. And this, in the most essential context, is feasible solely through enabling the country exits that would invariably create the potential of our country to become a commercial center and also contributing to the country’s supply security, while carrying out transit projects.”
