Amendments Dated 27/03/2018 Regarding The Energy Sector

In accordance with the Electricity Market Law no 6446, within the scope of the activities that can be carried out without license, persons who produce unlicensed electricity on their roofs and facades are included in the scope of exemption. With this clause added to the law article, It is ensured that people who have as an upper limit 10 KW the amount of installed power in the generation electricity based on solar energy on the houses, roofs and facades where they are owned or rented can sell their surplus electricity to supply companies and at the same time exempt from Value Added Tax. The related persons have no obligations of declaration, document editing and book-keeping,

It was added the expression of ‘’the edited documents regarding transactions within EXIST or/and its shareholder in respect to emission trading and other energy market transactions including Natural Gas to extent of business of EXIST are exempt from revenue stamps. ’’With the regulation, the transactions which is exempted from stamp tax were increased and transactions of energy market including to extent of business of EXIST and emission trade exempted from stamp tax.

Market transactions which is carried out in scope of attending of demand-side and storing electric were added to first paragraph of article 14 of Law. No. 6446 With added this clause to the Code, it was added the in scope of occurring transactions of attending of demand-side and storing electricity and the necessity of taking the ministry’s opinion to the activity which is exempted from the obligation of obtaining a license and establishing a company.

In accordance with the Provisional Article 4 of Law no 6446, it was made an exception to some activities within conducted activities on condition that obtaining licence. Production facility which is established within the scope of pre-licence will be exempt from fees on occurred transactions in the context of this pre-licence and Stamp tax will not be taken from the papers issued after these transactions.

Within the framework of the fourth paragraph of the provisional article 2 of the Natural Gas Market Law No. 4646, the decision which is not ask for determinated condition is regulated the importing LNG as well as on importing spot pipeline gas. By via of this code, importing amount of spot pipeline gas and also implementation procedure is left to Minister’s opinion

It was appended to Liquefied Petroleum Gas (LPG) Market Law No. 5307 and The fourth paragraph of article 5 of the Law on the Amendment of the Electricity Market Law and stock obligation was imposed an obligation to distributors however this obligation is not set aside for Liquefied Petroleum Gases license holders who have less than two percent market share in the domestic market on the baseline term in calculating stock.

Article 16 of the Turkish Petroleum Law No. 6491 was issued and the clause ‘’ natural disasters or war evenly postpone the rights and responsibilities of the petroleum right holder in proportion to the effects on the petroleum operation’’ have been expanded adding the clause ‘’ partial or general mobilization, general epidemic disease, preventing the fulfilment of activities and obligations and other similar cases arising from reasons save obligator.

With the additional article of the Energy Efficiency Law No. 5627, Provisions regarding landing EPC contracts of public institutions and organizations have been made. With this article added to the law. In order to save energy, public institutions and organizations may sign EPC contract in the manner that not to be more than the annual savings of payments on condition that not exceeding 15 years of payment.

With the added statements to Article 36 of the Law on Privatization Applications numbered 4046, increasing the utilization rate in privatization practices is aimed. Productivity increase, by way of calculating of real estate belongs to treasure also the aim of the reduction of public expenditures the aim of public revenue is included in the privatization justifications.

With the added clause to Article 30 of the Mining Law No. 3213; licensing processes and field searches were organized on non-recourse areas. If a site has been auctioned twice but no application has been obtained, in the authority of the General Directorate, the site is made open for searches. Applications are collected and re-tender for 1 month for the opened field but if the application cannot be taken again, the licensing process is made from the tender base price.

With the additional article 15 added to the Law no. 3213, regulations regarding illegal activities is regulated at mining sites and criminal sanctions have been introduced. Sanctions which is not engaged in mining activities were imposed during 10 years after completion of execution and administrative fines and sanctions of jail sentence to persons who carry out the activities of the emergence of the offense as a result of the studies carried out in addition to the correction of the penalty given in the quarries, whose activity is decided to be stopped for a certain reason

With the addendum to Article 5 of the Motor Vehicles Tax Law No. 197; in motor vehicles to title of taxes, automobiles, cap stacks, land vehicles and so on has been added to the phrase of motor power from only electric motor vehicles and taxation amounts are determined.