COST OF DOING BUSINESS

Minimum Monthly Wage

Minimum Monthly Wage (gross and net)
 
TRY
Net Minimum Wage
17,002.12​​
Gross Minimum Wage
20,002.50​
  • Social security premium payment (14%)
2,800.35
  • Payment for unemployment insurance fund (1%)​
200.03​​​
Total Deduction
3,000.38​​​
Employer Cost 

  • Gross minimum wage​
20,002.50​
  • Employer’s share of social security premium (15.5%)*
3,100.39​​​
  • Employer's payment for unemployment insurance fund (2%)
400.05​​​
Total Employer Cost 
23,502.94​​
* For premiums that are paid in due time, as an incentive, a five-point reduction is applied (down from 20.5% to 15.5%).

Source: Ministry of Labor and Social Security

Valid for January 01, 2024 – December 31, 2024



Cost of Electricity​

​​​Cost of Electricity

Consumers Purchasing Electricity from Commissioned Supply Companies

Standard

Day-time

Peak-time

Night-time

TRYcent/ kWh

TRYcent/ kWh

TRYcent/ kWh

TRYcent/ kWh

312.4942​

316.4941​

507.6545​

162.2084​

Consumers Using Distribution System

Distribution System Users

Capacity

Active Energy + Distribution

Reactive Energy

Capacity Charge

Over-Capacity Charge

Standard

Day-time

Peak-time

Night-time

TRYcent/kWh

TRYcent/ kWh

TRYcent /kWh

TRYcent /kWh​

TRYcent/kWh

TRYcent/kWh

TRYcent/kWh

Medium Voltage

Double Term

Industry

1,260.1335

2,520.267​

336.3739

340.2373​

524.9342

191.1683​

123.7525

Single Term

Industry

N/A

N/A

351.0279

355.0280​

546.1884​

200.7423​

123.7525​

Low Voltage

Single Term

Industry

N/A

N/A

370.1826

373.9831

555.7035

227.3169

123.7525

System Usage Tariffs for Consumers Purchasing Electricity from Private Suppliers*

 

Capacity

Distribution Cost

Reactive Energy

Capacity Charge

Over-Capacity Charge

TRYcent/kWh

TRYcent/kWh

TRYcent/kWh

TRYcent/kWh

Medium Voltage

Double Term

Industry

1,260.1335

2,520.2670

37.9163

123.7525

Single Term

Industry

N/A

N/A

41.8818

123.7525

Low Voltage

Single Term

Industry

N/A

N/A

64.7998

123.7525​

Application of a multi-tier tariff structure for the meters which are not updated for summer-time is as follows:

​November-March: 07.00-18.00 daytime; 18.00-23.00 peak; 23.00-07.00 nighttime. 

April-October period: 06.00-17.00 daytime, 17.00-22.00 peak; 22.00-06.00 nighttime.

Application of a multi-tier tariff structure for the meters which are updated for summer-time is as follows:

06.00-17.00 daytime; 17.00-22.00 peak; 22.00-06.00 nighttime.

Capacity Charge: Monthly fixed fee calculated per kW based on the “contract power” specified in the connection contract and charged to double-term consumers connected to the distribution system.

Over-Capacity Charge: monthly fee calculated per kW for the amount of power exceeding the “contracted power” specified in the connection contract and charged to double-term consumers connected to the distribution system.

Double-Term tariff: Tariff class charged for “distribution fee over the amount of active energy flow (kWh) received from the distribution system or given to the distribution system”, plus capacity-charge calculated per kW specified in the connection contract, plus over-capacity charge for the power (in kW) exceeding the “contract power.”

Single-term T​ariff: The tariff class charged for distribution fee only through the amount of active energy flow (kWh) received from the distribution system or fed into it.

*The active energy price is not reflected in the table, as the price is co-determined by the consumer and the supplier.​

Electricity Bill Calculation:

[(Consumption (kWh) x Active Energy Price* (TRYcent/kWh)) + (Consumption (kWh) x Distribution Tariff (TRYcent/kWh))] x 1.10***

Active Energy Price*: Consumers can either purchase electricity from the commissioned supply companies at the prices indicated in the table or at the prices determined bilaterally with the private electricity suppliers.

**VAT 10%​

Source: Energy Market Regulatory Authority (EMRA)






















Cost of Water for Industrial Use

Cost of Water for Industrial Use

​​Reference Price USD/m3

Organized Industrial Zones (OIZs)

Water

Water VAT (%)

Wastewater

Wastewater VAT (%)

Eskişehir OIZ

0.14

1

0.09

​8

Balıkesir OIZ

0.32

1

0.38

8

Ankara Başkent OIZ

0.53

1

0.27

8

İzmir Aliağa OIZ

0.55

1

0.56

8

Reference Price USD/m3

Free Zones (FZs)

Water

Water VAT (%)

Wastewater

Wastewater Coordination Fee (%)

Aegean Free Zone (ESBAŞ)

2.40

0

1.22

10

İstanbul Industrial and Trade Free Zone (DESBAŞ)

2.40

0

1.22

10

Kayseri Free Zone (KAYSER)

2.40

0

1.22

10

İzmir Free Zone (İZBAŞ)

1.76

0

1.79

0

Reference Price USD/m3

Municipalities

Water + Wastewater

Water + Wastewater VAT (%)

İstanbul

2.09

8

Ankara

2.05

8

Bursa

2.01

8

USD 1 = TRY 18.80 as of February 21, 2023

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Cost of Natural Gas

Cost of Natural Gas

Gas Sales Tariff for Customers Purchasing Gas from BOTAŞ


TRY/kWh

TRY/Sm³

Grade-1 (Less than 300,000 ​Sm³/a) in or outside of OIZ​

0,80357086

8,549994

Grade-2 (More than 300,001 Sm³/a) in or outside of OIZ

1,06899521

11,374109

Regardless of where the industrial user operates (in Free Trade Zone, OIZ, or any other individual site), tariffs and pricing calculations vary solely depending on the consumption level (Grade-1 or Grade-2).

 

Grade-1 Gas Bill Calculation:

 

For the Grade-1 consumption level, the tariff above applies based on the following formula:

 

[Consumption (Sm³) x + 0.0747 TRY*] x 1.20***

 

Grade-2 Gas Bill Calculation:

1For industrial users operating in the gold, aluminum, copper, boron, zinc, iron, steel, silver, chromium, lead, magnesium production, petrochemicals sector, and oil refineries, 100% of the total consumption is calculated based on the Daily Gas Reference Price, announced by EPIAS, the organized wholesale gas market operator. The final gas bill is formulated as follows:

 

[Consumption (Sm³) x (Arithmetic Mean of the Daily Reference Prices announced by EPIAS or the first 25 days of the previous month) + 0.0747 TRY*] x 1,20***

2For the remaining Grade-2 users, 40% of the total consumption is calculated based on the Daily Gas Reference Price, announced by EPIAS, the organized wholesale gas market operator. The final gas bill calculation is formulated as follows:

 

[0.6* [Consumption (Sm³) x (Tariff per Sm³ + 0.0747 TRY* + Transport Tariff per Sm³**(If the distribution company delivers the gas)) + 0.4* (Arithmetic Mean of the Daily Reference Prices announced by EPIAS or the first 25 days of the previous month)] x 1.20***

3For the industrial users in Free Trade Zones, the gas bill calculation is formulated as follows:

 

[0.6* [Consumption (Sm³) x ((Tariff per Sm³ + 0.0747 TRY* + Transport Tariff per Sm³**(If the distribution company delivers the gas)] + 0.4* (Arithmetic Mean of the Daily Reference Prices announced by EPIAS or the first 25 days of the previous month)] x 1.20***

 

*0.0747 TRY/Sm³: Special Consumption Tax

**Transport Tariff/System Usage Tariff (See the websites of the relevant gas distribution companies)

*** 20% VAT

 

Source: Petroleum Pipeline Corporation (BOTAŞ)​

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