Turkey Europe’s leader in public-private partnership projects

Turkey became Europe’s leading country in public-private partnerships in 2018 with 248 ongoing projects and a total investment of $63.8 billion, left-wing news website Sol reported on Wednesday. The projects, which have blossomed under the governing Justice and Development Party (AKP), have been criticised for allowing the party to favour contractors affiliated with itself. According to a 2018 World Bank Report, five Turkish companies -- Limak Holding, Cengiz Holding, Kolin, Kalyon and MNG Holding -- were among the world’s top 10 private sponsors of public infrastructure projects. A report prepared by the Turkish presidency on public-private partnerships in 2018 showed that the number of projects increased to 242 from 225 in one year, Sol said. Total investment increased to $63.8 billion in 2018 from $61.7 billion in 2017, while the total contract value of projects rose to $140 billion from $135 billion, Sol said, without specifying when the projects began Turkey also has three projects which are among the top eight public-private partnerships in Europe, Sol said. 109 of 242 projects in 2018 were implemented via build-operate-transfer (BOT) models, whereby the state delegates to a private sector entity the power to design and build infrastructure and to operate and maintain the facilities for a certain period. In 108 projects, the Turkish authorities used this “transfer of operational rights” model. In Turkey, public-private partnerships were used last year for the construction of 91 power plants, 41 highways and service facilities, 23 ports, 20 health facilities, 19 airports, 18 border gates, 17 marine terminals and tourism facilities, as well as eight mining, two industrial, one railway, and one culture and tourism facilities, according to Sol. Source: Ahvalnews