Turkey's state-owned TP Distribution Corporation aims to increase the total number of retailing stations to 400 across the country until the end of 2015, said Mutlu Gul, general director of the TP Fuel Distribution Corporation.
TP had 284 retailing stations by the end of 2014 and increased this number by50 stations per year over the last 3 years, Gul told Anadolu Agency on Wednesday in Ankara.
"We have currently 315 licenced retailing stations and also signed contracts with 35 other stations, and in total we have 350 stations now," Gul said.
Gul told that utilization agreements, due to be renewed in September in the whole fuel distribution sector, between fuel distribution companies and retailing stations is a renewal process for retailing stations and a challenge for the distribution companies.
In Turkey, fuel distribution companies and retailing stations signs utilization agreements for a period of 5 years. After this period, parties have to renew those agreements with same partners or with a new one. The renewal period will start on September 18.
According to Gul the process is one of the most important reasons behind the rise of the number of TP's retailing stations recently, because TP utilize the process as an opportunity to attract new business partners.
- Privatization of company's distribution unit
Turkish Privatization Administration, PA, took a decision in June to privatize the distribution unit of TP by the end of 2020.
General Director Gul said TP has a five year period before the privatization to be finalized but it will be privatized when the necessary conditions are at its optimal point.
According to Gul, there are several methods for the privatization such as a public offering, a block sales and all the possibilites are on the table.
After the PA thoroughly surveyed the company's assets, structure, investments and facilities, the best method will be chosen, Gul added.
By Muhsin Baris Tiryakioglu