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An Exemplary Approach in The Framework of The Public Procurement
Law No. 4734 for Electric Bus Purchases by Local Governments

of the tender for a school complex conducted by the Ministry of Environment
and Urbanization and Climate Change. In this respect, a different approach
has been adopted in the construction works regulation applied currently by
means of the performance contract.
The other tender application model is the Industrial Cooperation Projects
(ICP) introduced by the Ministry of Industry and Technology. Here, Procedures
and Principles for Implementation of Industrial Cooperation Projects were
amended upon the Decision of the President dated 15/08/2018 and numbered
36. In accordance with Item 3 (u) of the Public Procurement Law, “Purchases of
goods and services and construction works involving industrial participation
aimed at ensuring innovation, using domestic sources and technology transfer”
have been exempted from the Public Procurement Law No. 4734. This model
relies on the project management concept for improving the technology and
using domestic sources in it, instead of standard purchasing approaches in
the public sector focused on direct procurement. In industrial cooperation
tenders, an approach is adopted in accordance with the obligation to realize
the activities within the country. The supply of Electric Buses and Charging
Stations by Samsun Metropolitan Municipality recently, is a good example of
this concepts (AA, 2021).
The business model based on the innovative electric bus procurement
approach to be revealed in this study has been considered as a “public
transportation operational performance” contract based on energy efficiency
in transportation and to be realized within the scope of ICP within the framework
of the Public Procurement Law of Türkiye. In particular, starting with small-
scale pilot projects; it is aimed to achieve effective results based on obtaining
feedback on possible disruptions and/or incompatibilities specific to the
public transportation operator / authority. An alternative framework approach
for the supply of electric buses for public transportation services is introduced
with the aim of offering the public transportation to the relevant groups; and
this approach is one of the main documents of the mentioned tenders and
serves as a reference for Technical Specifications to be implemented.

2. Business Models Applied for the Supply of Electric Buses in Public Trans-
portation Systems

2.1. Traditional Model
In this first business model that can be used for the procurement of electric
buses, the project financing is provided from the equity sources of the public
transportation authority. In this sense, ownership of the vehicles to be supplied
are under the public transportation authority. In this model, the authority (local
government) as the public transportation authority also performs the role of

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