Abstract:

Turkish government delivers free coal to poor families via General Directorate of Coal Industry (GDCI) as a part of social and economic policy. Although project has many components, generally the coal is taken from several mines within country, after basic industrial process, the coal is sent to main delivery nodes from mines nodes by highways, seaways or railroads. Finally, the poor families come to main nodes and carry the coal to their houses to use during the winter. The cost of delivering free coal is reimbursed by Turkish Treasury to GDCI as duty loss under some government regulations. In this study, after giving general information about the problem and describing situation in Turkey, it will be developed transportation and transshipment models by taking into consideration some assumptions. The problem will be solved with alternative methods by giving useful and applicable recommendations for GDCI to reduce cost of this public policy and to enable them to help as many as poor families to have free coal in timely fashion.

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