Privatization of natural gas grid completed

ANKARA - Hürriyet Daily News

The privatization of Turkey’s second largest natural gas grid, Başkentgaz, was completed yesterday with a signature ceremony of the company’s shares transfer contract.

Food company Torunlar Gıda’s subsidiary, Torunlar Energy, won the tender for Turkey’s second largest natural gas grid, Başkent Doğalgaz, with a $1.16 million offer on Jan. 26. Of the $1.16 billion Torunlar Gıda guaranteed to pay, the Treasury will receive $352 million, the Metropolitan Municipality of Ankara will receive $130 million and the state-run gas pipeline company, BOTAŞ, will take around $620 million. The natural gas provider for Ankara possesses 1.4 million subscribers, with a sales capacity of 2.3 billion cubic meters and a distribution capacity of 3.6 billion cubic meters. Başkentgaz has a license for natural gas distribution until 2037. However, the Energy Market Regulatory Authority’s (EPDK) head, Hasan Köktaş, said the energy privatization portfolio had reached around $14 billion.