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Invest in Çanakkale

Energy

Ministry of Economy

The Ministry of Economy provides support for investments in order to reduce regional development disparities, and aims to increase high added value investments through incentives. It aims also to improve production and employment figures, and to expand research and development activities that contribute to international competitiveness.

5 th  Region incentives are applied for investments into the production of turbines, generators and blades in support of renewable energy production. Regional incentives are implemented.

Regional Incentive Implementations

  • Customs Duty Exemption

No  customs  duties  are  paid  for  imported machinery  and  equipment  to  be  provided for the investment that is made by using the incentive.

  • Social Security Premium Support  (Employer’s Share)

The Ministry shall pay the employer’s national contributions  that  are  due  for  additional employment  falling  within  the  scope  of  the incentive.  The  amount  to  be  paid  shall  be  a proportion of the minimum wage.

  • Land Allocation

For investments made using an incentive certificate,  land  allocations  are  carried  out  free of charge in order to speed up the investment process in certain cases.

  • VAT Exemption

VAT is not paid on machinery and equipment purchased as part of the investment to be made by using the incentive.

  • Tax Reduction

Income  and  corporate  tax  are  paid  at discounted  rates  for  a  period  of  time, considering  rates  applicable  for  the invested  regions  within  the  scope  of  the incentive.

  • Interest Rate Support

Interest  rate  support  is  provided  on investment  loans  with  a  maturity  of  at least one year as part of the incentives to encourage regional investments.

 

The Ministry of Energy and Natural Resources

Electricity generated using renewable energy resources is considered within the scope of a high-priced public procurement commitment. This purchase commitment extends up to 10 years.

In addition, when using domestic technologies, machinery and equipment in renewable energy investments, amounts higher than the unit price for purchase commitment are applied.

 

Agriculture and Rural Development Support Institution (ARDSI)

ARDSI supports the renewable energy sector as part of its investment program.

Within the scope of the program, ARDSI provides financial support for solar, wind, biomass energy and geothermal energy production. Grants are provided for unlicensed investments of up to 1 MW installed power.

At the same time, ARDSI provides support to real and legal persons with the purpose of establishing renewable energy facilities for electricity generation and sales purposes within the scope of its “Diversification of Economic Activities and Business Development” support.

  • Support for solar energy systems, wind energy, geothermal energy and biomass systems
  • Support is provided for renewable energy investments to enable businesses to meet their internal energy requirements
  • Support for the installation of independent renewable energy facilities

 

World Bank

The World Bank offers loans to private companies operating in the renewable energy sector in energy generation and energy efficiency projects. The provided loan covers 75 percent of the investment rate. The maturity term of the loan is determined following an efficiency analysis of the project. In order to benefit from such a loan, investors must comply with the minimum requirements set by the World Bank and must have completed the relevant permit and licensing procedures for the related investment.

 

South Marmara Development Agency

South Marmara Development Agency provides grants to SMEs, registered in Balıkesir and Çanakkale, to help them improve their competitiveness.

In a Project Call for Proposals, a SME can submit project proposals in accordance with the subjects and conditions set for the program as part of a specific support program. For the support programs that can be applied during certain periods of the year, SME support has been  given to producers of machinery and equipment for renewable energy production and to meet  their own energy needs until now. The subject and sectors to be supported may change every  year for each specific program.

The submitted projects are are then ranked according to the points received, and become  eligible for grants depending on the program budget. Successful projects are given a grant  of 50 percent. A portion of the grants is prepaid to firms in advance to help overcome initial
financing problems. Further information on the active grant programs that you can apply for  and current information on all grant programs is available at www.gmka.gov.tr/destekler.