ESCN: Since the beginning of this year, Turkey’s photovoltaic installations have grown rapidly, with an added 1.1 GW of generation capacity in just the first two months of 2024—roughly half of the total solar installations completed in 2023. According to Hakan Erkan, Secretary-General of the Turkish Solar Industry Association (GENSED), commercial and industrial installations account for at least three-quarters of total installed capacity.

Two key policies are driving this growth:

1. The Turkish government permits businesses to sell surplus electricity, provided it does not exceed their consumption, allowing companies to install up to twice their own power needs.
2. Exporters aim to use solar power to reduce carbon emissions to qualify for exemptions from the EU’s Carbon Border Adjustment Mechanism (CBAM), set to take effect in 2026.

Turkey is also planning to relaunch renewable energy auctions early next year, allocating 2 GW of wind and solar capacity. The auction will offer minimum price guarantees and long-term power purchase agreements, with further details to be announced soon.

Turkey Significantly Boosts 2035 Installation Target

Last week, during the “Energy Transition – Renewable Energy 2035” conference held in Istanbul, Turkish Energy Minister Alparslan Bayraktar delivered a keynote address.

Key points from the speech included:

1. Turkey aims to increase its wind and solar capacity to 120 GW by 2035. The plan involves adding 90 GW of new renewable power (installing an average of 7.5-8 GW per year), building new transmission networks, upgrading infrastructure, investing approximately $108 billion, and launching new reforms.
2. Turkey will soon release a detailed 2035 renewable energy development strategy.
3. Turkey’s energy policy focuses on three primary goals: supply security, reducing energy import dependence, and achieving net-zero emissions by 2053.
4. Turkey is actively working to develop electricity and gas interconnectivity infrastructure with neighboring countries, including Georgia, Azerbaijan, Bulgaria, and Greece.
5. According to Turkey’s “National Energy Plan,” electricity demand is expected to reach 380.2 TWh by 2025, 455.3 TWh by 2030, and 510.5 TWh by 2035. Increased energy demand from artificial intelligence, big data, and electric vehicles may likely surpass these projections.
6. Turkey plans to implement carbon pricing and establish a carbon market by 2026.
7. Nuclear energy is viewed as an essential source for reliable baseload power. Turkey’s first nuclear power plant is under construction, with the first reactor expected online in 2025. By 2028, all four reactors are projected to supply 10% of Turkey’s electricity needs.
8. Turkey’s National Energy Efficiency Action Plan has shown impressive results, reducing primary energy consumption by 14% between 2017 and 2023.
9. Turkey is the fourth-largest natural gas market in Europe, consuming over 50 billion cubic meters. Large natural gas fields have been discovered in the Black Sea, with production already underway. The Black Sea gas field is expected to produce 20 million cubic meters per day by 2026.
10. Turkey also aims to shorten the renewable energy permitting process, currently about 48 months, to within two years or less.