Turkey: Grants Awarded To Renewable Energy Sources By Agriculture And Rural Development Support Institution ("ARDSI")

Last Updated: 16 February 2018
Article by Evrim Uygur Yamaner and Fatma Yelda Yelmen

The renewable energy sector is moving fast, new technologies are developed and existing technologies are now more cost effective. Turkey is one of the fastest growing countries in energy demand among European countries. It imports a large proportion of the energy it consumes and the demand for energy is expected to double by the year 2020. Therefore, the renewable energy sector is supported by some policies in energy sector in Turkey.

In this manner, the application and acceptance procedures for projects covering 7 sectors within the scope of "Farm Diversification and Business Development Measure" to be granted with 87,239,811.00 Euros grant by the Agriculture and Rural Development Support Institution ("ARDSI") has been commenced as of the date of 12.02.2018. According to the statement made by ARDSI, within the scope of Instrument for Pre-Accession Assistance in Rural Development Programme II ("IPARD II"), the application call for the third project has been announced on 21.12.2017. Renewable energy sector is one of the sectors to be financially supported under the Farm Diversification and Business Development Measure. The grant rate may be maximum 250,000.00 Euros which is 50% of the proper amount of investment which may be maximum 500,000.00 Euros.

It must be noted that the application may be made until 12.03.2018 at 21:00 via online project application system and the submission of applications may be made until 15.03.2018 at 18:00.

In this sense, the investors in renewable energy sector that fulfills the undermentioned conditions may benefit 50% to 65% grant within the scope of Farm Diversification and Business Development Measure Application Guide published by ARDSI.

  1. Beneficiaries
  1. Farmers or farm household members that diversify their farming or the other activities: They are real persons defined in Article 3 of Agricultural Law numbered 5488.
  2. Real persons in rural area: These real persons have to live in rural areas and carry on a renewable energy sector.  
  3. Legal persons in rural area: These legal persons have to either be established in rural areas or have investments or activities in rural areas.

The beneficiaries may benefit from the grant for their existing or a new operation located at one of the rural areas.

  1. General Compliance Criteria
  1. The applicants are required to no have unpaid taxes and social security debts.
  2. The applicants are required to ensure that their investments will be maintained and not subject to any significant change for 5 years following the last payment made by ARDSI.
  3. The applicants or the authorized persons of the legal entities can not be older than 65 years during application process.
  4. Investments to be made on a leased property are eligible investments. However, the lease term should cover at least five years from the date the investment is completed (the last payment).
  5. The applicants who receive less than 30 points from the ranking criteria will not be evaluated as eligible and will be rejected.

RANKING CRITERIA

POINT

If the applicant is less than 40 years.

15

If investment area is located at mountainside or forest village.

10

If the applicants or the authorized persons of the legal entities are woman.

15

If the applicants or the authorized persons of the legal entities have degree or 3 years' experience in the field of investment.

15

If the investment is based on local development strategy.

10

If the applicants did not sign a contract within the scope of IPARD.

20

If the applicant is a real person or producer organization.

15

 

  1. In accordance with the format to be developed by the ARDSI, a business plan should be submitted. This business plan should prove the economic sustainability of agricultural operation.
  2. It should be a micro/small scale enterprise with less than 50 employees and an annual return of less than 8,000,000.00 TL.
  3. The operation must apply the investment in one of the following cities, otherwise the application shall not be accepted. Also, it must be noted that the location of the investments must be in the rural area.

1. Afyonkarahisar

12. Çankırı

23. Karaman

34. Ordu

2. Ağrı

13. Çorum

24. Kars

35. Samsun

3. Amasya

14. Denizli

25. Kastamonu

36. Şanlıurfa

4. Aksaray

15. Diyarbakır

26. Konya

37. Sivas

5. Ankara

16. Elazığ

27. Kütahya

38. Tokat

6. Ardahan

17. Erzincan

28. Malatya

39. Trabzon

7. Aydın

18. Erzurum

29. Manisa

40. Uşak

8. Balıkesir

19. Giresun

30. Mardin

41. Van

9. Burdur

20. Hatay

31. Mersin

42. Yozgat

10. Bursa

21. Isparta

32. Muş

11. Çanakkale

22. Kahramanmaraş

33. Nevşehir

  1. Compliance Criteria in relation to Renewable Energy Plants
  1. The investment within the scope of this activity shall be in rural areas regardless of the status of the applicants.
  2. All kinds of renewable energy activities (exclusive of hydropower) in order to generation of electrical energy and heat is eligible, inclusive of biofuels, biogas, biomass, concentrated solar energy, geothermal, solar energy, thermal solar energy, photovoltaic, wind pumps, wind turbines and combinations of the same.
  3. Renewable energy investments up to 1 MW capacity (up to 100 kWe for micro-cogeneration investments) shall be supported.
  4. In the event that the investment aims at generating electricity from renewable energy sources, it is necessary to connect to the national grid and the following conditions shall be fulfil:
  • Connection Agreement to the Distribution System for Unlicensed Electricity Generators from Regional Electricity Distribution Companies (This document should be valid for at least 1 year as of the date of application.).
  • In the event that the Connection Agreement is not submitted, Call Letter for the Connection Agreement from Regional Electricity Distribution Companies.
  • The Technical Evaluation Form issued by General Directorate of Renewable Energy should be submitted.
  • Approved single line scheme.
  • The applicant will submit the temporary acceptance certificate issued by the relevant authorities with the final payment request package.

In the light up foregoing issues, in the scope of IPARD-II Programme to be implemented in 42 provinces of Turkey as co-financed by the European Union and the Republic of Turkey, recipients will be provided with grants ranging from 50% to %65 for eligible expenditures and renewable energy investments were included as new sectors in the scope of supports with IPARD II. In this manner, the grant rate to be supplied by ARDSI may be maximum 250,000.00 Euros which is 50% of the proper amount of investment which may be maximum 500,000.00 Euros. Therefore, the application of the investors that fulfill the criteria beforementioned may be made until 12.03.2018 at 21:00 via online project application system and the submission of applications may be made until 15.03.2018 at 18:00.

The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.

To print this article, all you need is to be registered on Mondaq.com.

Click to Login as an existing user or Register so you can print this article.

Authors
Similar Articles
Relevancy Powered by MondaqAI
 
Some comments from our readers…
“The articles are extremely timely and highly applicable”
“I often find critical information not available elsewhere”
“As in-house counsel, Mondaq’s service is of great value”

Related Topics
 
Similar Articles
Relevancy Powered by MondaqAI
Related Articles
 
Up-coming Events Search
Tools
Print
Font Size:
Translation
Channels
Mondaq on Twitter
 
Register for Access and our Free Biweekly Alert for
This service is completely free. Access 250,000 archived articles from 100+ countries and get a personalised email twice a week covering developments (and yes, our lawyers like to think you’ve read our Disclaimer).
 
Email Address
Company Name
Password
Confirm Password
Position
Mondaq Topics -- Select your Interests
 Accounting
 Anti-trust
 Commercial
 Compliance
 Consumer
 Criminal
 Employment
 Energy
 Environment
 Family
 Finance
 Government
 Healthcare
 Immigration
 Insolvency
 Insurance
 International
 IP
 Law Performance
 Law Practice
 Litigation
 Media & IT
 Privacy
 Real Estate
 Strategy
 Tax
 Technology
 Transport
 Wealth Mgt
Regions
Africa
Asia
Asia Pacific
Australasia
Canada
Caribbean
Europe
European Union
Latin America
Middle East
U.K.
United States
Worldwide Updates
Registration (you must scroll down to set your data preferences)

Mondaq Ltd requires you to register and provide information that personally identifies you, including your content preferences, for three primary purposes (full details of Mondaq’s use of your personal data can be found in our Privacy and Cookies Notice):

  • To allow you to personalize the Mondaq websites you are visiting to show content ("Content") relevant to your interests.
  • To enable features such as password reminder, news alerts, email a colleague, and linking from Mondaq (and its affiliate sites) to your website.
  • To produce demographic feedback for our content providers ("Contributors") who contribute Content for free for your use.

Mondaq hopes that our registered users will support us in maintaining our free to view business model by consenting to our use of your personal data as described below.

Mondaq has a "free to view" business model. Our services are paid for by Contributors in exchange for Mondaq providing them with access to information about who accesses their content. Once personal data is transferred to our Contributors they become a data controller of this personal data. They use it to measure the response that their articles are receiving, as a form of market research. They may also use it to provide Mondaq users with information about their products and services.

Details of each Contributor to which your personal data will be transferred is clearly stated within the Content that you access. For full details of how this Contributor will use your personal data, you should review the Contributor’s own Privacy Notice.

Please indicate your preference below:

Yes, I am happy to support Mondaq in maintaining its free to view business model by agreeing to allow Mondaq to share my personal data with Contributors whose Content I access
No, I do not want Mondaq to share my personal data with Contributors

Also please let us know whether you are happy to receive communications promoting products and services offered by Mondaq:

Yes, I am happy to received promotional communications from Mondaq
No, please do not send me promotional communications from Mondaq
Terms & Conditions

Mondaq.com (the Website) is owned and managed by Mondaq Ltd (Mondaq). Mondaq grants you a non-exclusive, revocable licence to access the Website and associated services, such as the Mondaq News Alerts (Services), subject to and in consideration of your compliance with the following terms and conditions of use (Terms). Your use of the Website and/or Services constitutes your agreement to the Terms. Mondaq may terminate your use of the Website and Services if you are in breach of these Terms or if Mondaq decides to terminate the licence granted hereunder for any reason whatsoever.

Use of www.mondaq.com

To Use Mondaq.com you must be: eighteen (18) years old or over; legally capable of entering into binding contracts; and not in any way prohibited by the applicable law to enter into these Terms in the jurisdiction which you are currently located.

You may use the Website as an unregistered user, however, you are required to register as a user if you wish to read the full text of the Content or to receive the Services.

You may not modify, publish, transmit, transfer or sell, reproduce, create derivative works from, distribute, perform, link, display, or in any way exploit any of the Content, in whole or in part, except as expressly permitted in these Terms or with the prior written consent of Mondaq. You may not use electronic or other means to extract details or information from the Content. Nor shall you extract information about users or Contributors in order to offer them any services or products.

In your use of the Website and/or Services you shall: comply with all applicable laws, regulations, directives and legislations which apply to your Use of the Website and/or Services in whatever country you are physically located including without limitation any and all consumer law, export control laws and regulations; provide to us true, correct and accurate information and promptly inform us in the event that any information that you have provided to us changes or becomes inaccurate; notify Mondaq immediately of any circumstances where you have reason to believe that any Intellectual Property Rights or any other rights of any third party may have been infringed; co-operate with reasonable security or other checks or requests for information made by Mondaq from time to time; and at all times be fully liable for the breach of any of these Terms by a third party using your login details to access the Website and/or Services

however, you shall not: do anything likely to impair, interfere with or damage or cause harm or distress to any persons, or the network; do anything that will infringe any Intellectual Property Rights or other rights of Mondaq or any third party; or use the Website, Services and/or Content otherwise than in accordance with these Terms; use any trade marks or service marks of Mondaq or the Contributors, or do anything which may be seen to take unfair advantage of the reputation and goodwill of Mondaq or the Contributors, or the Website, Services and/or Content.

Mondaq reserves the right, in its sole discretion, to take any action that it deems necessary and appropriate in the event it considers that there is a breach or threatened breach of the Terms.

Mondaq’s Rights and Obligations

Unless otherwise expressly set out to the contrary, nothing in these Terms shall serve to transfer from Mondaq to you, any Intellectual Property Rights owned by and/or licensed to Mondaq and all rights, title and interest in and to such Intellectual Property Rights will remain exclusively with Mondaq and/or its licensors.

Mondaq shall use its reasonable endeavours to make the Website and Services available to you at all times, but we cannot guarantee an uninterrupted and fault free service.

Mondaq reserves the right to make changes to the services and/or the Website or part thereof, from time to time, and we may add, remove, modify and/or vary any elements of features and functionalities of the Website or the services.

Mondaq also reserves the right from time to time to monitor your Use of the Website and/or services.

Disclaimer

The Content is general information only. It is not intended to constitute legal advice or seek to be the complete and comprehensive statement of the law, nor is it intended to address your specific requirements or provide advice on which reliance should be placed. Mondaq and/or its Contributors and other suppliers make no representations about the suitability of the information contained in the Content for any purpose. All Content provided "as is" without warranty of any kind. Mondaq and/or its Contributors and other suppliers hereby exclude and disclaim all representations, warranties or guarantees with regard to the Content, including all implied warranties and conditions of merchantability, fitness for a particular purpose, title and non-infringement. To the maximum extent permitted by law, Mondaq expressly excludes all representations, warranties, obligations, and liabilities arising out of or in connection with all Content. In no event shall Mondaq and/or its respective suppliers be liable for any special, indirect or consequential damages or any damages whatsoever resulting from loss of use, data or profits, whether in an action of contract, negligence or other tortious action, arising out of or in connection with the use of the Content or performance of Mondaq’s Services.

General

Mondaq may alter or amend these Terms by amending them on the Website. By continuing to Use the Services and/or the Website after such amendment, you will be deemed to have accepted any amendment to these Terms.

These Terms shall be governed by and construed in accordance with the laws of England and Wales and you irrevocably submit to the exclusive jurisdiction of the courts of England and Wales to settle any dispute which may arise out of or in connection with these Terms. If you live outside the United Kingdom, English law shall apply only to the extent that English law shall not deprive you of any legal protection accorded in accordance with the law of the place where you are habitually resident ("Local Law"). In the event English law deprives you of any legal protection which is accorded to you under Local Law, then these terms shall be governed by Local Law and any dispute or claim arising out of or in connection with these Terms shall be subject to the non-exclusive jurisdiction of the courts where you are habitually resident.

You may print and keep a copy of these Terms, which form the entire agreement between you and Mondaq and supersede any other communications or advertising in respect of the Service and/or the Website.

No delay in exercising or non-exercise by you and/or Mondaq of any of its rights under or in connection with these Terms shall operate as a waiver or release of each of your or Mondaq’s right. Rather, any such waiver or release must be specifically granted in writing signed by the party granting it.

If any part of these Terms is held unenforceable, that part shall be enforced to the maximum extent permissible so as to give effect to the intent of the parties, and the Terms shall continue in full force and effect.

Mondaq shall not incur any liability to you on account of any loss or damage resulting from any delay or failure to perform all or any part of these Terms if such delay or failure is caused, in whole or in part, by events, occurrences, or causes beyond the control of Mondaq. Such events, occurrences or causes will include, without limitation, acts of God, strikes, lockouts, server and network failure, riots, acts of war, earthquakes, fire and explosions.

By clicking Register you state you have read and agree to our Terms and Conditions