Caspian Report - Issue 06 - Winter 2014

Turkish Petroleum
Corporation.
AYHAN ERDEM
74
tions, subsidies and dealer stations.
(Art.7) According to the new draft,
these limitations will remain in force.
CHANGES TO DISTANCE
RESTRICTION
Under the current law (Art.8), distances
between petroleum and LPG
stations are regulated by the directive
adopted by the Council that
entered into force on 1.1.2005. According
to this directive, the distance
between petroleum and LPG stations
should be at least ten kilometers on
inter-city roads, and at least one kilometer
on inner-city roads. According
to the new draft, there should
not be more than one petroleum
station in areas with a radius of at
least 500 meters on inner-city roads,
and the distance between stations
shall be more than 10 kilometers
on inter-city roads in the same direction.
Before 01.01.2005, according
to the provisions of the Urban
Improvement Law No. 3194 dated
03.05.1985, there is no distance restriction
on petroleum sector dealership
applications for places with
valid construction permits, building
use permits, or for places which are
registered as petroleum or LPG stations
in the master plan.
FREEDOM OF PROMOTION
RETURNS
Under the current law, distributors
will clearly and transparently inform
dealers about promotion campaigns
which they organize with the participation
of dealers. They shall also
submit the documents related to the
cost of the campaign. Participation
of dealers is optional (Art.9). However,
the promotion practice was
terminated by a Board decision. The
new draft brings back freedom of
promotion.
LICENCES FROM THE MINISTRY
In the current law, the Energy Market
Regulatory Board has the authority to
grant licences, update, suspend and