Incentives on coal mining expanded
The scope of state incentives for coal mining investments has been expanded with a decision of the Cabinet, the Official Gazette announced yesterday. The investments for coal extraction were excluded from the list of “investment subjects which will not be incentivized,” according to the decision. The investments for coal extraction in manufacturing, energy and mining are now able to benefit from incentives. Economy Minister Zafer Caglayan said in a written statement that the scope of incentives for coal manufacturing had been enlarged with this change taking into consideration the sector’s investment needs, the security of energy supply and matters like current account deficit. The recent incentive system, which came into force on June 20, 2012, had allocated incentives to only low-calorie coal (low C class), but this decision will allow for incentives to be given also to high-calorie coal, said Caglayan. “Our underground resources will be redounded to the economy in a fast way. The change allows the investments in coal mining to be incentivized independently from calorie classification,” he said. Caglayan noted that the new regulation would encourage to new investors in the sector.