Azerbaijan, Baku, Dec. 6 /Trend E.Ismayilov/
The total investment of State Oil Company of Azerbaijan (SOCAR) in the Turkish economy from 2008 to 2018 will reach $17 billion, SOCAR said.
This portfolio also includes investments that will be invested in the construction of a Trans Anatolian pipeline which allows the transport of Azerbaijani gas through Turkey to the borders of Europe, head of SOCAR-Turkey Enerji A.Ş. Kenan Yavuz said in Istanbul during the licensing ceremony for SOCAR. These licenses are granted in the frame of a law on economic stimulus adopted by the Turkish Parliament.
During the ceremony, the Minister of Economy Zafer Caglayan announced that the first license is granted to SOCAR, after which it was handed to the head of SOCAR Rovnag Abdullayev.
In the frame of the license, the Ministry of Economy of Turkey provides tax incentives for SOCAR project of Star refinery in Izmir
Exemptions from value added tax and customs duties are provided as part of the project agreement. Overall, a tax simplification up to 90 percent is planned, and the government will ensure VAT return during plant construction.
Turkey will also pay the minimum amount of insurance to employees of refinery during seven years and will allocate $50 million (five percent of the total) as an aid in the payment of interest.