Turkey revises ship scrapping incentives, mandating three months registration for eligibility and tonnage criteria for new constructions.
With the regulation change published in the Official Gazette, the conditions for the scrap ship incentive have been reorganized. A requirement for at least three months of registration in the Turkish ship registry has been introduced for ships that will benefit from the scrap incentive, while a minimum tonnage criterion will also be applied to new ships to be constructed.
The regulation regarding the scrap ship incentive has been amended. The 'Regulation on the Amendment of the Regulation on the Incentive for the Construction of New Ships in Place of Turkish Flagged Ships Sent to Scrap,' prepared by the Ministry of Transport and Infrastructure, has been published in the Official Gazette and has come into effect.
With the mentioned change, adjustments have been made to the general rules of the regulation. Accordingly, the ship to be scrapped must be registered in the national ship registry or the Turkish international ship registry in the name of the beneficiary for at least three months as of the application date.
Coastal facility operating permits will not be required from contractors belonging to real or legal persons who have obtained an operating license under the Free Zones Law.
Additionally, for a commercial ship, marine, and inland waterway vessel that is applied for the scrap incentive, the new vehicle to be constructed in place of the scrapped vessel must have at least half of the tonnage if the scrapped vessel is 12,000 gross tons or more, or at least one-third if it is less than 12,000 gross tons.
With the regulation, coastal facilities belonging to real or legal persons that have obtained an operating license under the Free Zones Law have also been added to the definition of contractors.
Source: SeaNews Türkiye
