Turkey Triples Renewable Energy Investments

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Turkey is rapidly developing its renewable energy sector. By the end of May 2025, the installed capacity from renewables reached 72,492 MW—4.5 times more than 20 years ago. The main drivers of this growth are wind and solar power. Their share in the country’s energy mix has risen from almost zero in 2005 to 30.2% today. In total, renewables now account for 60.8% of Turkey’s total installed power capacity.

Installed Capacity Structure

As of the end of May 2025, hydropower had the largest share among renewables—32,284 MW. Solar PV accounted for 22,648 MW, and wind energy for 13,391 MW. Additionally, there was 2,435 MW from biomass and 1,734 MW from geothermal energy.

For comparison, in May 2024, Turkey’s renewable energy capacity was 63,502 MW, with wind and solar contributing 24.7%. Energy Minister Alparslan Bayraktar emphasized that electricity generation from wind and solar alone is now sufficient to meet the annual electricity demand of all households in Turkey. Despite these positive signs, the Turkish government has already planned a series of actions to accelerate the energy transition.

2035 Target – 120 GW from Wind and Solar

Recently, the government increased its 2035 renewable capacity target to 120,000 MW. Compared to September 2024—when Turkey had 12.4 GW of wind and 18.7 GW of solar PV—this goal represents nearly a fourfold increase. Notably, the target includes 5 GW from offshore wind farms.

Achieving this goal will require $80 billion USD in investments. Including grid modernization—also needed for nuclear power—the total cost of the energy transition rises to $108 billion USD.

Development Priorities and Regulatory Changes

The roadmap to the target includes a range of actions. The Turkish government plans to conduct auctions for at least 2 GW of new renewable capacity annually. Solar auctions are scheduled for October 2025, and wind auctions for November.

New rules include:

  • Extension of guaranteed energy purchase periods to 20 years
  • Use of contracts for difference
  • Exemption from transmission fees
  • Energy sale prices indexed to the exchange rate
  • Provisions for urgent expropriations
  • Streamlined administrative procedures, cutting permit times from 4 to 2 years

There are also plans to expand the transmission network by 26.6%. The total length of transmission lines will grow to 95,500 km, and the number of substations will increase from 798 to 942.

At the same time, Turkey aims to significantly increase electricity export and import capacities. By 2035, exports are expected to reach 6.75 GW (a threefold increase) and imports 6.6 GW (a fivefold increase). To this end, 14,700 km of HVDC lines will be built.

Minister Bayraktar also announced plans to modernize state-owned energy companies such as TEİAŞ, BOTAŞ, TPAO, and EÜAŞ, preparing them for potential privatization. Additionally, Turkey plans to launch a CO₂ emissions trading system by 2026 on the EPİAŞ energy exchange.

Projects in the Pipeline

The Ministry of Energy reported that 69.6 GW of renewable energy projects are currently in preparation, including:

  • 43.5 GW of solar PV
  • 26.1 GW of wind power

Importantly, 33.9 GW of these projects will be implemented together with energy storage systems.

In the non-licensed segment (for self-consumption), 23.5 GW of capacity is planned. Another 3 GW has been allocated through auctions, and 9.2 GW through other mechanisms.

Industrial Capacity and Other Actions

Turkey has a strong industrial base for renewable energy. There are 150 component manufacturers and 350 suppliers employing a total of 50,000 people. Production includes turbines, generators, power electronics, blades, towers, and the entire solar PV value chain—from ingots to modules.

Although the primary focus is on renewables, Turkey is not abandoning fossil fuel extraction. Oil production in the Gabar region has reached 51,000 barrels per day, with a target of 100,000 barrels. Gas extraction from the Sakarya field in the Black Sea rose from 7.2 million m³ to 9.1 million m³ per day in Q1 2025.

From 2024 to 2030, Turkey also plans to invest $20 billion USD in energy efficiency. This is part of a broader energy transition strategy, aiming to make Turkey a net exporter of electricity within the next 30 years.

Source: balkangreenenergynews.com

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