Saudi Arabia and Türkiye Sign $2 Billion Renewable Energy Pact to Build Solar and Wind Farms
Riyadh and Ankara agree on a major clean energy investment, including 2,000 MW of solar capacity to be developed in Türkiye’s Sivas and Karaman regions.
Saudi Arabia and Türkiye have formalised a bilateral renewable energy agreement worth approximately $2 billion, under which Saudi firms will invest in large-scale solar and wind power projects across Türkiye.
The intergovernmental pact was signed in Riyadh by Turkish Energy Minister Alparslan Bayraktar and Saudi Energy Minister Prince Abdulaziz bin Salman, and is intended to deepen economic cooperation and support both countries’ clean energy ambitions.
Under the accord, Saudi companies will construct renewable energy facilities with a combined capacity of 5,000 megawatts (MW), with the first phase focusing on solar projects totalling 2,000 MW in the provinces of Sivas and Karaman.
Bayraktar said the initial solar investments, backed by external financing and credit from international lenders, will supply electricity to about 2.1 million Turkish households and represent one of the most significant examples of direct foreign investment in Türkiye’s energy sector.
The agreement aligns with Türkiye’s long-term strategy to expand its renewable energy portfolio and reduces dependence on fossil fuels, contributing toward President Recep Tayyip Erdoğan’s goal of achieving 120,000 MW of installed renewable capacity by 2035. Saudi Arabia, under its Vision 2030 framework, has been increasing its global renewable energy investments as part of efforts to diversify its economy beyond oil exports and accelerate the transition to a low-carbon future.
Turkish officials emphasised that the projects will be financed through external funding mechanisms and are expected to support local economic activity by maximising the use of domestic equipment and services.
The pact was signed during a visit by Erdoğan to Riyadh, highlighting strengthening ties between the two regional partners and their shared commitment to sustainable development and energy security.
The intergovernmental pact was signed in Riyadh by Turkish Energy Minister Alparslan Bayraktar and Saudi Energy Minister Prince Abdulaziz bin Salman, and is intended to deepen economic cooperation and support both countries’ clean energy ambitions.
Under the accord, Saudi companies will construct renewable energy facilities with a combined capacity of 5,000 megawatts (MW), with the first phase focusing on solar projects totalling 2,000 MW in the provinces of Sivas and Karaman.
Bayraktar said the initial solar investments, backed by external financing and credit from international lenders, will supply electricity to about 2.1 million Turkish households and represent one of the most significant examples of direct foreign investment in Türkiye’s energy sector.
The agreement aligns with Türkiye’s long-term strategy to expand its renewable energy portfolio and reduces dependence on fossil fuels, contributing toward President Recep Tayyip Erdoğan’s goal of achieving 120,000 MW of installed renewable capacity by 2035. Saudi Arabia, under its Vision 2030 framework, has been increasing its global renewable energy investments as part of efforts to diversify its economy beyond oil exports and accelerate the transition to a low-carbon future.
Turkish officials emphasised that the projects will be financed through external funding mechanisms and are expected to support local economic activity by maximising the use of domestic equipment and services.
The pact was signed during a visit by Erdoğan to Riyadh, highlighting strengthening ties between the two regional partners and their shared commitment to sustainable development and energy security.