LAW ON POTABLE, UTILITY AND INDUSTRIAL WATER SUPPLY IN

ANKARA, ISTANBUL AND CITIES WITH A POPULATION

OVER ONE HUNDRED THOUSAND

July 3 , 1968

 (Publication and Declaration on Official Gazette: July16    , 1968 – Issue : 12951)

5. t. Düstur, c. 7 – s. 2603

ARTICLE 1.       General Directorate of State Hydraulic Works is authorized to invite tenders for the undertakings extended over the years within the limits set forth in Article 37 of Law no 6200 in order to supply potable, utility and industrial water of Ankara and Istanbul.

                          Howover, contract price of such tenders can not exceed TL 350 000 000 for Ankara city and TL 540 000 000 for Istanbul city.

ARTICLE 2.        Dams, supply lines and treatment facilities which form water resources, shall be constructed by the State Hydraulic Works and storage and extension thereof by the municipalities.

ARTICLE 3.      For that portion of the works provided in Article 2, which shall be performed or caused by the Ankara and Istanbul municipalities to be performed, such municipalities receive financial assisstance to the extent of the allocated to budget of General Directorate of State Hydraulic Works for purpose provided that such funds do not exceed TL 170 000 000 for Ankara Municipality and TL 190 000 000 for Istanbul Municipality.

ARTICLE 4.      For all amounts incurred for the works performed by General Ddirectorate of State Hydraulic Works as well as financial assistance made according to Article 3, Municipalities borrow such amounts from General Directorate of State Hydraulic Works, Howover, Amount that Municipalities shall borrow in relation to the payments made in State Hydraulic Works for multipurpose dams, shall at 85  & for Çubuk II Dam, 87,5 & FOR Kayaş – Bayındır Dam, 90 & for Kurtboğazı Dam in Ankara, 89 & for Alibey Dam, 90 & for Ömerli Dam in Istanbul.

                          Conditions of the borrowing and other issues related to amounts and duration of the installments, and performance and operation of the works shall be determined by the protocols to be made and entered by and between General Directorate of State Hydraulic Works and Municipalities provided that opinions of the Ministries of Interior Affairs and Finance must be obtained.

                         In case works, which are provided to be performed by the Municipalities in Article 2, are not conducted in compliance with provisions of such protocol (s), the financial assistance provided by the General Directorate of State Hydraulic Works, is ceased.

                         Period of installments, date of the first repayment is 30 years from initial startup of the facilities.

                         Payments to be made by the Municipalities in accordance with the protocol, is added to budget of the General Directorate of State Hydraulic Works.

ARTICLE 5.        Water transmission lines and treatment facilities to be constructed and installed by the General Directorate of State Hydraulic Works are transferred to and operated by the Municipalities with a protocol.

                         Municipalities take partnership from the dams pro rata their respective shares. The dams are operated by the General Directorate of State Hydraulic Works.

                         Municipalities make contributions to operating expenses of the dams at the rates specified in Article 4.

ARTICLE 6.      Costs of Çubuk II, Kurtboğazı and Kayaş – Bayındır dams which are currently being constructed around Ankara as of the effective date of this law, shall be paid by Ankara Municipality according to principles provided in Article 4 hereof.

ARTICLE 7.       No interest is accrued on the allowances to be allocated from the budget, Howover, interests and expenses of those loans to be secured from private sources shall be collected from the municipalities by adding such amounts to loans to be borrowed by the Municipalities.

ARTICLE 8.      That portion of the prices which shall be implemented by the Municipalities in order to meet the amount that they shall borrow according hereto, corresponding of the facilities to be constructed, shall be deposited to a special fund. This fund shall be exclusively used for repayment of the loans of the Municipalities borrowed in accordance herewith, to the General Directorate of State Hydraulic Works.

                         Water prices of these cities shall be implemented after the same are approved by the Ministry of Energy and Natural Resources.

ARTICLE 9.       In the matters related hereto, no provisions hereof which is in violation, in infringe or in tort of Articles 71 and 72 and relevant provisions of the other law, can be implemented.

ARTICLE 10.    Provided that a resolution of the Council of Minister is drawn and possibilities of the budget are suitable, the General Directorate of State Hydraulic Works, which is an affiliate of the Ministry of Energy and Natural Resources, is authorized to invite bids for the works related to supply of potable, utility and industrial water in the cities with a population exceeding 100 000 and extended to the years in accordance with Article 37 of Law no 6200.

                     In this case, provisions of paragraphs 1 and 3 of Article 4 and Articles 1, 3 and 6 shall not apply.

                         For the works which are provided to be performed by the Municipalities in Article 2 hereof municipalities are given financial assistance according to amount of the allocated funds of the annual budget of the General Directorate of State Hydraulic Works, In case the works provided to be performed in accordance with the provisions of the relevant protocols, are not perfomed by the same, such financial assistance is not given.

                         The municipalities borrws all amounts incurred for the works performed by the General Directorate of State Hydraulic Works and financial assistance given to them, from the General Directorate of State Hydraulic Works.

ARTICLE 11.      This law shall be effective on the date of publication.

ARTICLE 12.      This law is conducted by the Ministers of  Finance  and Energy and Natural Resources.

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