Data-center law in Syria

Law No. 32 of 2010 on the General Policy of the Electricity Sector, arts. 1, 2(b), 4, 6, 42(a), 53

Applies to both

Article 1 defines self-generation as electricity production intended for consumption by its own producer. The same article defines a permit as the Ministry of Electricity's authorization for self-generation or backup generation, distinct from a license for a private generation or distribution project. Article 4 prohibits practicing any generation or distribution activity without obtaining a license or a permit from the Ministry.

Article 2 states that one of the Law's objectives is to allow the public sector, the joint sector, and the national, local, Arab, and foreign private sector to invest in generation and distribution. Article 6 extends that same license-or-permit requirement to each of those sectors' investment in traditional or renewable-energy generation and in distribution.

Article 42 penalizes generating, transmitting, or distributing electricity, or operating the transmission network, without a license, with imprisonment of one to three years or a fine of one million to four million Syrian pounds, or both. Article 53 states the Law is deemed effective six months after its publication in the Official Gazette; the Law's own text states only the date of presidential signature, 14 November 2010, not the Gazette's own publication date.

Source: Full text of law

Law No. 18 of 2021 on Investment, arts. 1, 3, 18, 20, 21, 51

Applies to both

Article 1 defines an Investment License as the document the Syrian Investment Authority grants an investor after studying its application and securing every license and approval the relevant bodies require to begin implementation. Article 3 applies the Law to a project an investor establishes alone or through a joint venture with a public-sector body and that obtains an Investment License, other than a bank, exchange company, microfinance bank, or other deposit-taking financial institution.

Article 18 requires the competent bodies to decide on granting the Investment License, covering every license and approval it bundles, within thirty days of the applicant completing the required paperwork. Article 20 exempts a licensed project's imported machinery, equipment, production lines, and non-tourism service transport from customs duties and fees where used exclusively for the project.

Article 21 grants a project established in a development zone a 75 percent income-tax reduction for ten years from the start of operation, among other tiered incentives. Article 51 states the Law is published in the Official Gazette without stating a separate commencement day; the Law's own text gives only the date of presidential signature, 19 May 2021.

Source: Full text of law