The support pledge for the natural gas bills in Turkiye initiated following the developments regarding the country’s extraction of its discovered gas in the Black Sea will cost approximately TL 37 billion ($1.9 billion), an expenditure that will directly benefit its citizen’s wallets, according to a sector official.
Yaşar Arslan, head of the Turkish Natural Gas Distributors Association, has stated that households and places of worship will not be required to pay for natural gas for one month and that 25 cubic meters will be provided free of charge to citizens for the following 11 months. This will result in an estimated savings of up to TL 2,000 on average per household for natural gas bills.
Arslan noted that this program would provide approximately 35% support toward annual natural gas expenses. The total cost of both support schemes is around TL 37 billion.
Arslan told Anadolu Agency (AA) that the Energy and Natural Resources Ministry, the Energy Market Regulatory Authority (EPDK) and natural gas distribution companies had completed the necessary preparations. Therefore, the practice of not collecting natural gas fees from residences and places of worship, as part of the Presidential Decree, will be in effect from April 24, 2023,to May 31, 2023.
This will apply to natural gas bills corresponding to one month’s consumption in the past.
Beginning in June, citizens will be able to use up to 25 cubic meters of natural gas per month free of charge for the following 11 months, according to Arslan. This initiative will significantly reduce natural gas expenses for many consumers during the summer months.
President Recep Tayyip Erdoğan announced the support during the recent ceremony held as Turkiye started natural gas production from the vast reserve – a total of 710 billion cubic meters – discovered in the Black Sea.
Erdoğan, on April 20, signaled the first delivery to an onshore plant, which will begin with 10 million cubic meters (mcm) of gas daily in the first phase.
The president said that production would increase to 40 mcm of gas per day in the coming period after other wells go into operation.
“When we reach full capacity, we will meet 30% of our country’s gas needs” from the Black Sea reserves, he said at the time.
According to Arslan, households that utilized natural gas for heating, cooking and hot water in 2022 paid approximately TL 6,000 in bills. In contrast, those who used domestic coal for heating and hot water and LPG for cooking paid around TL 12,000 in bills. For households using imported coal with high calorific value, the bill was over TL 18,000.
Arslan stressed that households opting for natural gas could meet their heating, cooking and hot water needs at a rate at least two times cheaper than with other fuels. With the support of the new initiatives, this rate is expected to increase even more.