The AKP government has included nuclear power plants and licensed warehousing investments as "priority investments" that benefit from state aid. The decision has been published in the Official Gazette.
Turkish government's decision came just before Turkish President Recep Tayyip Erdoğan and Russian President Vladimir Putin meeting on May 3.
The decision of the Council of Ministers published on May 3 in the Official Gazette states that licensed warehousing and nuclear power plant investments have been designated as "priority investment topics in the decision on state-funded investments".
These investments will be allowed to benefit from certain incentives, such as exemption from customs duty, VAT exemption, allowance for insurance premiums, land allocation allowance and interest rate allowance. Depending on the region to be invested in, 80-90 percent of tax reductions will be provided and these benefits will continue between 7-12 years. With this new regulation, the maximum amount of support will increase.
After Erdoğan's visit to Russia in August 2016, Ankara government had put nuclear projects under "strategic investments".
RUSSIA TO INVEST IN CONSTRUCTION OF AKKUYU NPP $22 BILLION
The total amount of Russian investments in the project with Russia's participation to build the Akkuyu Nuclear Power Plant in Turkey will be $22 billion, Russian President Vladimir Putin said Wednesday.
"The overall amount of Russian investment in it will be $22 billion," Putin said at a news conference after talks with Erdoğan.
Ankara is finalising the preparation of a legal basis to grant the Akkuyu NPP the strategic investment status, according to the documents for the talks of the Russian and Turkish presidents.
Moscow and Ankara signed an intergovernmental agreement on cooperation in the sphere of construction and operation of the Akkuyu NPP in the southern Turkish province of Mersin in May 2010.
