Distinguished Customers, Business Partners, and Valuable Employees,
Turkish electric power industry has undergone substantial structural developments in the last 15 years, and became one of the most dynamic industries in our country. Turkey gained a competitive market structure as a result of privatization, and the improvements in efficiency and customer satisfaction accompanied with massive energy projects made it one of the most important markets in the world, and a key regional player.
Following the privatization process, which also helped our Group to grow, the dynamism and resources of the private sector strengthened the energy industry. The national installed power, which was 32 GW in 2002, reached 88 GW as of August 2018. Almost all of this increase was provided by the private sector. All the distribution areas were privatized, and private sector invested heavily in renewing the existing electricity network, and expanding even further to meet the fast growing demand. The private sector assumed the entire risk associated with investments, from production to retail stage, and invested 60-70 billion USD in the industry, relying on the trust it has in the country as well as in the energy market.
The privatization process created a significant value, not only with investments but also with the increase in efficiency, customer satisfaction and innovations. The decline in the ratio of lost-illegal use of electricity from 25% to single digits in all distribution areas, excluding a few, is the most striking example of privatization. Turkey has witnessed one of the largest structural transformations in renewables. Our country is rich in terms of diversity and potential of its renewable energy sources, and investments made in these resources that were not used before, reduced our dependency on energy imports.
Turkish Ministry of Energy and Natural Resources estimates that 40% of the installed power of Turkey will come from renewables by 2023. Supports given for renewables, and incentives provided for domestic power generation, offer great opportunities to make significant developments in renewable energy.
There is a need to make heavy investments in the electricity industry to ensure that Turkey achieves its targets in the next 5 years. There is no doubt that a major part of these investments will be made possible by the private sector, with the support of the state. The energy industry has to make enormous strides to change and develop in the next 5 years, which will define its future.
When we first started in 1980, our target and vision was to perform unprecedented work, to use domestic and renewable sources in the most efficient manner, to protect the best interest of the public, to develop, and pioneer transformation. We have been loyal to this vision, and today, we are pleased to be the pioneering integrated energy company in the industry.
Bereket Energy Group, is one of the top three integrated electric power energy groups in Turkey, with its 32 power plants with an installed power of 2,063 MW in total, 4,9 million customers, and 9 thousand employees distributing 23,5 billion kWh, and selling 20.36 billion kWh electricity.
Bereket Energy Group owes its success to playing an active role in liberalization, structuring and developing the national energy industry for over 30 years, and monitoring the transformation closely. Our valuable employees sharing our vision, and our suppliers, who is a part of our family made our success possible.
Bereket Energy Group is going to continue its development in the coming period, by focusing on domestic and renewable resources, and conducting forerunning technology projects on the retail side.
Chairman of Board of Directors
Bereket Energy Group