NEWSLETTER-2020-metin

442 NEWSLETTER 2020 Major Amendments Regarding Geothermal Resources The amendment regarding the administration share regulated within the scope of Law on Geothermal Resources and Natural Miner- al Waters numbered 5686 is significant. In line with this regulation, an administrative share of 1% of the gross revenue of the facilities will be paid where the fluid is used directly and/or indirectly in greenhouses, electricity generation, and residential heating. In the facilities where the fluid is used directly and/or indirectly in thermal springs and other areas, an administrative share will be paid in such a way that one cubic meter of water used does not exceed 1.5 Turkish Liras. One-fifth of the collected administrative share will be paid by the administration to the relevant municipality or village legal entity, including the district municipality in the metropolitan cities where the resource is located, and within ten working days. Therefore, it will be possible for local administrations to be a part of investments to be made. Conclusion New regulations were necessary in line with technical and eco- nomic developments in the energy market. The future will tell whether Law No. 7257 totally addresses these necessities or not. With these new regulations, it is expected that investors and consumers in the sector will receive and provide higher quality services in a predict- able energy market. Within the remarkable and favorable amendments reviewed briefly, certain subjects, such as incentivizing renewable en- ergy, clarification of uncertainties in unlicensed electricity generation activities, expansion of natural gas usage within the entire country, and facilitation of the transactions are subject to the approval of the Board. However, some of the newly introduced regulations are found to bring uncertainties into practice, as well. Some of these are the uncertainties regarding the YEKDEM practices, and the subjects that are expected to be clarified via Presidential decrees. The reflections of the compre- hensive set of regulations brought with Law No. 7257 to the practices will be observed in the following days.