Private-public partnership projects reach $88 billion
▻http://www.hurriyetdailynews.com/private-public-partnership-projects-reach-88-billion.aspx?pageID=
Instead of the state putting on an investor cap for public infrastructure investments that are mostly in the energy, transportation and port sectors, the state has been championing public-private partnership (PPP) projects undertaken by local-international consortiums. These PPP projects totaled 167 at the end of 2013, with the value of the projects reaching $88 billion.
With this PPP model which is particularly supported by the World Bank, many projects in several countries have been completed and are ongoing. In the PPP system, three basic aspects of support are sought from the state. 1) The allocation of public land as well as public assets such as coasts, forests and water resources. 2) The guarantee to buy the produced energy or other services for a period of 25-30 years. 3) Assurances to international banks that debts will be covered jointly during the building of projects as necessary.
A $9 billion tranche of Turkey’s $88 billion projects were planned before the AKP period, while the remaining $79 billion was planned during the party’s rule. Around $46 billion of the projects, including the “mega project” slated for the northern section of Istanbul, were planned between 2010 and 2013.