By Abdullahi Lukman
ACWA Power has signed Investment Agreement Key Terms with the Ministry of Energy and Natural Resources to develop 5 gigawatts (GW) of renewable energy projects in Türkiye, marking a major expansion of its presence in the country.
The programme will launch with Phase 1, which includes 2 GW of solar capacity across two plants in Sivas and Taşeli. Under the agreement, ACWA Power will handle the development, financing, construction, commissioning and operation of both facilities.
Power Purchase Agreement Key Terms have also been finalised with Elektrik Üretim Anonim Şirketi (EÜAŞ) for the sale of electricity generated by the plants.
The new 5 GW initiative builds on ACWA Power’s existing investment in the country, the 927 MW Kırıkkale Independent Power Plant, valued at USD 930 million and operational since 2017.
The facility offsets approximately 1.8 million tonnes of carbon dioxide annually.
Raad Al Saady, Vice Chairman and Managing Director of ACWA Power, described the signing of the agreements as a significant milestone in the company’s partnership with Türkiye.
He said the programme would support the country’s climate objectives, including cutting emissions by 41% by 2030, reaching net-zero emissions by 2053 and expanding renewable capacity to 120 GW by 2035.
According to the company, the renewable
programme will provide fixed-price electricity, aiding grid stability and industrial planning.
By reducing reliance on imported fossil fuels, the projects are expected to strengthen energy security, limit exposure to global price fluctuations and lower long-term electricity costs.
The initiative is projected to attract up to USD 5 billion in foreign direct investment, create thousands of construction jobs and generate hundreds of skilled operational roles.
ACWA Power also emphasised its focus on localisation, noting that its existing projects in Türkiye employ a fully local workforce, underscoring its commitment to supporting the country’s engineering, construction and manufacturing sectors.