J. HUMBERTO LOPEZ Country Director, Türkiye Country Unit Europe and Central Asia Region 16-May-2024 __________________ Mr. İbrahim H. Öztop, CEO and Board Member Türkiye Kalkınma ve Yatırım Bankası A.Ş. İnkılap Mahallesi Dr. Adnan Büyükdeniz Cd. No:10 34768 Ümraniye İstanbul, Republic of Türkiye Re: Grant No. TF0C3975 (ESMAP – Accelerating the Market Transition for Distributed Energy Program) Additional Instructions: Disbursement and Financial Information Letter Dear Sir: I refer to the Grant Agreement (“Agreement”) between TÜRKIYE KALKINMA VE YATIRIM BANKASI A.Ş. (“TKYB” or “Recipient”) and the INTERNATIONAL BANK FOR RECONSTRUCTION AND DEVELOPMENT (“Bank”), acting as administrator of grant funds provided under the Energy Sector Management Assistance Program, for the above-referenced Program. The Standard Conditions, as defined in the Grant Agreement, provide that the Recipient may from time to time request withdrawals of Grant amounts from Grant No. TF0C3975 (“Grant”) in accordance with the Disbursement and Financial Information Letter (“DFIL”), and such additional instructions as the Bank may specify from time to time by notice to the Recipient. The Standard Conditions also provide that the Disbursement and Financial Information Letter may set out Program specific financial reporting requirements. This letter constitutes such Disbursement and Financial Information Letter and may be revised from time to time. I. Disbursement Arrangements, Withdrawal of Grant Funds, and Reporting of Uses of Grant Funds (i) Disbursement Arrangements The table in Schedule 1 sets out the disbursement methods which may be used by the Recipient, conditions, information on registration of authorized signatories, processing of Withdrawal Applications (including the processing of advances), instructions on supporting documentation, and reporting of advances. (ii) Withdrawal Applications (Electronic Delivery) The Recipient will deliver Withdrawal Applications (with supporting documents, “Applications”) electronically through the Bank’s web-based portal “Client Connection” at https://clientconnection.worldbank.org. This option will be effected after the officials designated in writing by the Recipient who are authorized to sign and deliver Applications have registered as users of “Client Türkiye Country Office ⋅ Ugur Mumcu Caddesi 88 ⋅ 2nd Floor, 06700, Gaziosmanpasa ⋅ ANKARA – TÜRKİYE Tel: (90-312) 459 83 00 ⋅ Fax: (90-312) 446 24 42 -2- Connection.” The designated officials will deliver Applications electronically by completing Form 2380, which is accessible through “Client Connection.” By signing the Authorized Signatory Letter, the Recipient confirms that it is authorizing such persons to accept Secure Identification Credentials (SIDC) and to deliver the Applications and supporting documents to the Bank by electronic means. The Recipient may exercise the option of preparing and delivering Applications in paper form on exceptional cases (including those where the Recipient encounters legal limitations) and which were previously agreed with the Bank. By designating officials to use SIDC and by choosing to deliver the Applications electronically, the Recipient confirms through the Authorized Signatory Letter its agreement to (a) abide by the Terms and Conditions of Use of Secure Identification Credentials in connection with Use of Electronic Means to Process Applications and Supporting Documentation, available in the Bank's public website at https://www.worldbank.org and “Client Connection” at https://clientconnection.worldbank.org; and (b) to cause such officials to abide by those terms and conditions. (iii) Disbursement Linked Results (DLRs) The Recipient will deliver applications of amounts of the Grant allocated to individual Disbursement Linked Results (“DLRs”) which may, pursuant to the provisions of Section IV.B of Schedule 2 of the Grant Agreement, be submitted to the Bank at any time after the Bank has notified the Recipient in writing that it has accepted evidence of achievement of the specific DLRs. (iv) Withdrawal Amount for the Program The Applications may be for an amount not to exceed the amount of the Grant confirmed by the Bank for the specific DLRs in respect of which the withdrawal is requested, as specified in the Bank’s notice to the Recipient. II. Financial Reports and Audits (i) Financial Reports The interim unaudited financial reports (“IFRs”) for the Program are not required. (ii) Audits Each audit of the Financial Statements shall cover the period of one (1) fiscal year of the Recipient, commencing with the fiscal year in which the first withdrawal was made. The audited Financial Statements for each such period shall be furnished to the Bank not later than nine (9) months after the end of such period. III. Other Important Information For additional information on disbursement arrangements, please refer to the Loan Handbook available on the Bank’s public website at https://www.worldbank.org and “Client Connection” at https://clientconnection.worldbank.org the Bank recommends that you register as a user of “Client Connection.” From this website, you will be able to prepare and deliver Authorized Signatory Letters and Withdrawal Applications, monitor the near real-time status of the Grant, and retrieve related policy, -3- financial, and procurement information. For more information about the website and registration arrangements, or if you have any queries in relation to the above, please contact the Bank by email at askloans@worldbank.org using the above reference. Yours sincerely, INTERNATIONAL BANK FOR RECONSTRUCTION AND DEVELOPMENT ______________________________ J. Humberto Lopez Country Director Türkiye Country Unit Europe and Central Asia Region Attachment 1. Form of Authorized Signatory Letter With copies: Ministry of Treasury and Finance T.C. Hazine ve Maliye Bakanligi Inönü Bulvari No. 36 Emek-Ankara Republic of Türkiye -4- Schedule 1: Disbursement Provisions Basic Information Country Türkiye Section IV.B.3 of Schedule 2 to Recipient Türkiye Kalkinma ve Yatirim Bankasi Closing Date the Grant Agreement. Grant No. TF0C3975 A.S. Name of the Accelerating the Market Transition Disbursement Six (6) months after the closing Program for Distributed Energy Program Deadline Date date. Disbursement Methods and Supporting Documentation Disbursement Methods Methods Supporting Documentation Reimbursement (DLI payment Yes Confirmation issued by the World Bank for achieved results) Advance (DLI Advance) No N/A Advances Amount / Not Applicable Financial Institution - Name Not Applicable Limit Currency Not Applicable Authorized Signatures The form for Authorized Signatories Letter is provided in Attachment 1 of this letter. Withdrawal and Documentation Applications The form for Authorized Signatory Letter is provided in Attachment 1 of this letter. The ASL and all Withdrawal Applications with their supporting documentation will be submitted electronically via the Bank’s “Client Connection” system. Additional Information Not Applicable Other Not Applicable -5- Attachment 1 – Form of Authorized Signatory Letter Form of Authorized Signatory Letter [Letterhead] Ministry of Finance [Street address] [City] [Country] [DATE] The World Bank 1818 H Street, N.W. Washington, D.C. 20433 United States of America Attention: [Country Director] 1 Dear [Country Director]: Re: Grant No. ______ (name of Program/Operation) I refer to the [Grant] [Letter] Agreement (“Agreement”) between the [International Bank for Reconstruction and Development/International Development Association] (“[Bank”])], acting as [an implementing agency of the Global Environmental Facility] [administrator of the Global Partnership on Output-based Aid] [administrator of the name of the trust fund], and [name of recipient] (the “Recipient”), providing the above Grant. For the purposes of Section 3.04 (b) of the Standard Conditions, as defined in the Agreement, any [ 2 one] of the persons whose authenticated specimen signatures appear below is authorized on behalf of the Recipient to sign applications for withdrawal [and applications for a special commitment] under this Grant. For the purpose of delivering Applications to the Bank, 3[each] of the persons whose authenticated specimen signatures appears below is authorized on behalf of the Recipient, acting 4 [individually] 5 [jointly], to deliver Applications and evidence in support thereof on the terms and conditions specified by the Bank. This confirms that the Recipient is authorizing such persons to accept Secure Identification Credentials (SIDC) and to deliver the Applications and supporting documents to the Bank by electronic means. In full recognition that the Bank shall rely upon such representations and warranties, including 1 Instruction to Bank staff: please forward this letter to Country Lawyer for further processing (Recipient: please do not delete this note). 2 Instruction to the Recipient when sending this letter to the Bank: Stipulate if more than one person needs to sign Applications, and how many or which positions, and if any thresholds apply. Please delete this footnote in final letter that is sent to the Bank. 3 Instruction to the Recipient: Stipulate if more than one person needs to jointly sign Applications, if so, please indicate the actual number. Please delete this footnote in final letter that is sent to the Bank. 4 Instruction to the Recipient: Use this bracket if any one of the authorized persons may sign; if this is not applicable, please delete. Please delete this footnote in final letter that is sent to the Bank. 5 Instruction to the Recipient: Use this bracket only if several individuals must jointly sign each Application; if this is not applicable, please delete. Please delete this footnote in final letter that is sent to the Bank. -6- without limitation, the representations and warranties contained in the Terms and Conditions of Use of Secure Identification Credentials in connection with Use of Electronic Means to Process Applications and Supporting Documentation (“Terms and Conditions of Use of SIDC”), the Recipient represents and warrants to the Bank that it will cause such persons to abide by those terms and conditions.] This Authorization replaces and supersedes any Authorization currently in the Bank records with respect to this Agreement. [Name], [position] Specimen Signature: ____________________ [Name], [position] Specimen Signature: ____________________ [Name], [position] Specimen Signature: ____________________ Yours truly, / signed / ______________ [Position] 1 1 Instruction to Bank staff: please forward this letter to the Country Lawyer for further processing (Recipient: please do not delete this note).