Energy and mining represent one of the hardest areas of work for energy lawyers and mining lawyers and businessmen in Turkey. Turkish legal framework on energy and mining is continuously revised, changed and reformed over the years.

An overview

Energy and mining law in Turkey is considered as being ever evolving and complex area of practice, regulated by a robust legal framework. Besides regulatory system has been frequently updated and reformed. According to the Turkish Constitution, the State holds full authority over the exploration and exploitation of natural resources. This principle is reiterated in Article 3 of the Turkish Petroleum Law (No. 6491), reinforcing the State’s control as stipulated in Article 168 of the Constitution, which declares that natural wealth and resources are under the State’s authority and at its disposal.

What is the scope of energy and mining law in Turkey?

In accordance with the Turkish Constitution, the State exercises full authority upon exploration and exploitation of natural resources. Article 3 of the Turkish Petroleum Law (Numbered 6491) reiterates the same principle. According to Article 168 of the Turkish Constitution, natural wealth and resources shall be under the authority and at the disposal of the State.

Energy law aims at governing the production and use of energy, both renewable and non-renewable. More broadly, energy law is a branch of law regulating a wide variety of subjects including the production, transmission, trade, storage, use of energy resources and taxation of all these transactions.

Energy law governs the production and use of energy resources, encompassing both renewable and non-renewable sources. This branch of law covers various aspects, including search for the energy source, production, transmission, trade, storage, usage of energy sources. The comprehensive nature of energy law ensures that all stages of energy management are regulated to meet national and international standards.

What is the national energy and mining policy of Turkey?

It is significant to observe that Turkey becomes one of the fastest growing energy markets over the world. Indeed, the energy supply and demand increase very fast in Turkey. Turkish policy for energy and mining is intended to boost exploration and production of main energy sources including oil and gas. Turkish policy makers also aim at reducing energy consumption based on austerity measures. Turkey’s energy and mining policy reflects its status as one of the fastest-growing energy markets worldwide. The nation’s policy aims to increase the exploration and production of key energy sources, such as oil and gas, while adopting measures to reduce energy consumption through efficient and sustainable practices. This approach aligns with broader goals to enhance energy security, reduce reliance on imports, and promote economic stability.

What are the main legal instruments to oil exploration licenses and exploratory drilling activities in Turkey?

There are two basic opportunities for oil exploration and related activities in Turkey: first, the acquisition of a license from the General Directorate of Mining and Petroleum Affairs (Ministry of Energy); second, working as a subcontractor within the framework of the state-owned Turkish Petroleum Corporation. It is very useful to keep in mind at the outset that both options require long-lasting legal procedures and very powerful political power.

License or tender procedures for oil-based activities including oil exploration activities in Turkey are performed on the basis of an application to the General Directorate of Mining and Petroleum Affairs and TPAO. Under Article 6 of the Turkish Petroleum Law, an exploration license is issued with the aim of performing exploration activities within the land that the exploration license covers, undertaking investigations around the land covered by the exploration license, developing the land where petroleum is found and to produce petroleum in this land and making an application of exploration.

The role of energy and mining consultancy is pivotal in facilitating investments and ensuring compliance with complex legal and regulatory frameworks. These consultancies provide comprehensive support, including guidance on corporate governance, assistance with license and permit applications, and strategic advice to navigate potential administrative hurdles.

For more observations take a look at our article on Oil Market Activities in Turkey

What is the role of energy and mining consultancy?

Based on a detailed overview of our client profiles, our service quality, the satisfying nature of our articles and papers together with our marketing and branding efforts, we have been recently chosen by the London-based Prestige Awards Group as one of the top international law firms of 2023.

A law-centric mining consultancy and energy consultancy can have a crucial impact upon all energy and mining investments.

What is the significance of energy lawyers in Turkey?

Pi Legal Consultancy energy and mining lawyers provides a mining consultancy and energy-based advice to our clients particularly engaging in mineral exploration, extraction and production, infrastructure, power generation, pipeline and similar projects for mining.

Energy lawyers play a critical role in advising particularly foreign clients engaged in projects for energy and mining exploration, extraction, power generation, and infrastructure development and transfer of any production. Services provided by energy lawyers include navigating the Energy Market Regulatory Authority’s regulations, addressing taxation issues, and handling nationalization, privatization, and build-operate-transfer (BOT) projects.

A full-fledged consultation for energy and mining requires an embracing consultation for corporate governance. For instance relevant foreign investors may need Formation of Liaison Offices in Turkey

Additionally, Turkey-located activities may involve significant Tax Guide. In this context, 2024 Changes to Turkish Tax Procedural Law should be critically analyzed for all businessmen and individuals.

Additionally particularly applications for necessary licenses and permits may end up with rejection decisions of the relevant administrative authority. It requires a proper management of administrative cases in Turkey. Take a look at our article for more information:

Administrative Cases in Turkey

What is the role of Pi Legal Consultancy for energy and mining?

We have Turkish renewable energy lawyers in Istanbul and energy and mining consultants in Ankara to overcome every single legal procedure on time and in an appropriate manner. Legal support offered by our law specialists contains, among others, following subjects together with all their legal requirements: