Category: Business

Turkey’s $5 Billion Smart-Grid Plan Seen Boosting Ties With U.S.

By Ercan Ersoy – Feb 11, 2013 4:43 PM GMT+0100

Turkey will spend $5 billion on smart power grids by 2015 to boost network efficiency, allowing North American companies to expand, the U.S. government said.

The U.S. sees “substantial opportunities for closer cooperation between the Turkish government and energy companies and U.S. companies that provide smart-grid technologies,” according to a statement from the consulate in Istanbul, which will hold a conference in the city tomorrow on grid investments.

Turkey, forecasting annual power-demand growth of 6.3 percent in the next two decades, has already lured investors including General Electric Co. as its energy industry expands. The country is bucking the trend of most emerging European nations, where retail electricity use trails growth in incomes.

The jump in demand increases the need for smart grids, which allow power generators and users to monitor consumption and reduce costs by saving energy in transmission. Turkey is seeking to boost efficiency of supply after demand grew 5.1 percent last year, while generation expanded only 4.2 percent, according to data from Turkish Electricity Transmission Co.

“If the utilities want to take advantage of this, the accurate metering and billing that smart grids can provide will be vital,” said Chris Rogers, a utilities analyst for Bloomberg Industries in London. “As Turkey becomes richer, more air- conditioning, solar power and electric vehicles will be bought, which also need smart grids to function properly.”

Smart meters installed across Europe will increase by an average 18 percent a year through 2020, peaking in 2018, according to projections from Bloomberg Industries. GE, Germany’s Siemens AG and Denmark’s Vestas Wind Systems A/S are among providers of power-generation equipment in Turkey, where the government is selling off operating rights for distribution grids to boost investment and reduce debt.

via Turkey’s $5 Billion Smart-Grid Plan Seen Boosting Ties With U.S. – Bloomberg.

February 13, 2013
Fiat Joint Venture Tofas Gains on New Model Plan

Tofas Turk Otomobil Fabrikasi AS headed for the biggest gain in almost three weeks after the joint venture of Fiat SpA and Turkey’s Koc Holding AS unveiled plans for two new car models.

The shares rose 1.9 percent, the most on a closing basis since Jan. 24, to 10.55 liras at 4:07 p.m in Istanbul. The benchmark index fell 1.1 percent.

Tofas in July will disclose details of two models set to go on sale after 2015, which may carry the company to full production of 400,000 vehicles a year, Chief Executive Officer Kamil Basaran told a news conference Feb. 8. The joint venture also plans to sell its “Doblo” van in the U.S. starting from the end of next year, Basaran said.

“There was previous mention of a new model, but this is the first time a time frame is mentioned,” Esra Suner, vice president of research at Is Investment in Istanbul, said by phone today. The models should have a positive effect on the stock over the long term, she said.

Tofas was also raised to overweight from neutral at HSBC by analyst Cenk Orcan today, raising the price target to 12.7 liras from 10.1 liras, according to data compiled by Bloomberg. Eleven analysts have a buy rating on the stock, 15 say hold and one recommends selling it, the data show.

The automaker has a 13.2 percent domestic market share with the Fiat brand as of the end of 2012, according to a presentation on its website. The “Linea” model is the best- selling sedan in Turkey, while “Doblo” is the best-selling light commercial vehicle, the company says in the presentation.

Tofas reported 2012 net income of 448.3 million liras ($252.6 million) after markets closed on Feb. 6, above the 445.6 million liras average estimate of 21 analysts on Bloomberg.

via Fiat Joint Venture Tofas Gains on New Model Plan: Istanbul Mover – Bloomberg.

February 12, 2013
Foreign Residential Property: Turkey or Montenegro?

Business And Politics News

Foreign Residential Property: Turkey or Montenegro?

09 February 05:04 PM

These days more and more investors tend to investors in foreign residential property. Wealthy people purchase apartments, villas and townhouses in Spain , Great Britain, Switzerland etc.

At the same time, those people who cannot afford to buy expensive homes, strive to invest in the residential property of other countries. Turkey and Montenegro are especially popular with them.

Turkey and Montenegro

Most foreign investors know little about those countries and their housing markets. The key fact is that both the countries are tourist centers with high-quality services and relatively low prices.

Montenegro has an outlet to the Adriatic sea, which is colder but much cleaner than the Mediterranean and Black seas. Montenegro offers tourists a wide range of leisure opportunities from sunbathing on the beach and swimming in the sea to skiing and snowboarding in the mountains. Beautiful nature, fresh air low prices and high-quality services make Montenegro a perfect place for vacation. Loyal legislation is another factor speaking in favor of investing in Montenegro .

However, there is a certain percent of uncertified residential property left after the disintegration of Yugoslavia.

As for Turkey, there are no such legal issues. Turkey can boast a well-developed and efficient cadastral system. The local legislation defends an individual’s right if he/she has a TAPU – the certificate of property rights. Moreover, it is impossible to purchase residential property in Turkey without the Turkish Ministry of Defense as there are special zones in Turkey where property sales contradict the country’s military doctrine.

It should be noted that most foreign investors buy Turkish property to make profits. The local housing market grows by 10% a year on average, which means you can make decent profits as the market is still undervalued.

On the other hand, the territory of Turkey is relatively big. So, it is necessary to examine closely the current situation in the local housing market of any region where you want to purchase residential property. The closer the area is to the borders with Syria, Iraq or Iran and the farther it is from the sea, the lower the housing prices in this area are.

Turkey, Antalya. An apartment – €70 000, 75 square meters — (€933 /m²). 100 meters to the sea.

Montenegro is another story. Its territory is relatively small. However, the transportation and tourist infrastructure is highly developed and is being improved.

However, there are problems with constructing new buildings in coastal areas. So, it is better to purchase ready-made housing units or those that are under construction.

Montenegro , Бар, Dobra Voda. A villa – €250 000. 170 square meters.

Expenses

When buying residential property in Montenegro , you will have to pay a 3% budget tax and an annual maintenance tax – form 0.08% to 0.8%. In turkey, you will have to pay a 4% tax plus 0.01% a year per maintenance.

Obviously, the cost of a certain housing unit depends on several factors, including the location, living space, infrastructure and others. A square meter of residential property in Montenegro and turkey starts from €500. However, the cost of most housing units available for sale is within the range of €1.500-€3.500 per square meter.

Experts recommend buying residential property in Montenegro if you want to lead a calm and slow-paced lifestyle. However, if you are planning to purchase foreign residential property for investment or commercial purposes, Turkey is a better option.

You are free to discuss this article here: forum for traders and investors

via Market Leader : News :: Foreign Residential Property: Turkey or Montenegro?.

February 12, 2013
Pakistan opens Turkey-helped rapid bus lane system

Lahor Metrobus system will carry 100K passengers daily.

World Bulletin / News Desk

Lahor’s rapid bus lane system was inaugurated on Sunday in a ceremony attended by Turkish Deputy Prime Minister Bekir Bozdag.

Bozdag and and Pakistan main opposition leader Nawaz Sharif inaugurated the Metrobus system, a rapid public transit network similar to Istanbul’s fleet operating on dedicated bus lanes.

“This is an important example of the cooperation between Turkey and Pakistan. Our two brotherly countries should further improve cooperation in commerce, education, health and social life,” Bozdag told the ceremony.

The bus lane project was prepared by the Istanbul Metropolitan Municipality and part of the lane was constructed by Albayrak Holding, a Turkish contractor, which also won operating rights of the system for 8 years.

The 27-kilometer lane will carry 100,000 passengers a day.

via Pakistan opens Turkey-helped rapid bus lane system | Asia-Pasific | World Bulletin.

February 11, 2013
Turkey warns Eni about consequences of cooperation with Cyprus

Azerbaijan, Baku, Feb. 8 / Trend, A. Taghiyeva /

Italian company Eni’s cooperation with Cyprus in the field of hydrocarbon exploration in the eastern part of Mediterranean may negatively affect the company’s projects in Turkey, Turkish Minister of Energy and Natural Resources Taner Yildiz said today, Anadolu agency reported.

He added that holding such operations in a special economic zone is contrary to international law, so Turkey is ready to impose sanctions against companies cooperating with Cyprus in the area.

After Nicosia started working to develop the shelf off the coast of the island divided into Greek and Turkish parts in September 2011, Prime Minister Recep Tayyip Erdogan said that Ankara along with the Turkish Republic of Northern Cyprus will begin exploring oil and gas in a special economic zone of Northern Cyprus.

Turkey has repeatedly expressed its categorical protest against operations, demanding the cancelation of plans to develop hydrocarbons by Cyprus.

Ankara does not recognize the Republic of Cyprus, maintaining relations only with the Turkish Republic of Northern Cyprus. A corps of Turkish troops has been there since 1974.

via Turkey warns Eni about consequences of cooperation with Cyprus – Trend.Az.

February 11, 2013
Turkey’s transportation project costs to reach $60 billion in 2013

Azerbaijan, Baku, Feb. 8 /Trend A.Taghiyeva/

The total cost of transportation projects in Turkey, be it the start or completion planned for 2013, will reach $60 billion, Turkish Transport Minister Binali Yildirim said, Star newspaper reported.

The minister said the Marmaray railway tunnel project is amongst the major projects to be completed this year. Also the largest project, construction of which will begin in 2013, is the third airport in Istanbul.

In general this year, it is expected to put into operation 11 projects and start construction on 102.

Yildirim noted that the tender for construction of the third airport will be held on May 3. Some 14 local and foreign companies have already expressed willingness to participate in the tender, he said.

The third airport in Istanbul will be built on the area near Lake Terkos in the north of the city. The airport’s transportation capacity will reach 150 million passengers a year.

Earlier, the Air Transport Department under the Turkish Ministry of Transport, Shipping and Communications told Trend that the construction of the third airport in Istanbul will cost 10 billion lira.

The ministry also noted that the first phase of the airport will be able to serve 90 million people a year. In the future, this figure will rise to 150 million a year.

via Turkey’s transportation project costs to reach $60 billion in 2013 – Trend.Az.

February 11, 2013