Saudi Arabia and Turkey Sign Major 3 GW Wind Power Deal

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Saudi Arabia and Turkey have signed an agreement to advance 3 GW of wind power projects in Turkey as part of a broader 5 GW renewable energy program agreed earlier this year. The…

What I Cover Irina Slav has been writing about global energy markets since 2007, covering the oil and gas industry, energy security, commodities, and the…

Saudi Arabia and Turkey have signed an agreement to advance 3 GW of wind power projects in Turkey as part of a broader 5 GW renewable energy program agreed earlier this year.

The program, led by Saudi Arabia’s ACWA Power, comprises 2 GW of solar projects in Sivas and Karaman in the first phase and 3 GW of wind projects in the second, Reuters reported, citing the Turkish energy ministry. The latest agreement advances the planned wind phase rather than expanding an existing wind installation.

The installed wind capacity to be built under the latest bilateral deal represents 20% of Turkey’s existing wind power generation capacity. “We are deepening our strategic energy cooperation with Saudi Arabia,” Turkish energy minister Alparslan Bayraktar said. The Turkish government has a low-carbon capacity target that would necessitate the annual installation of 10 GW in new capacity.

Saudi Arabia has major ambitions in alternative energy despite its status as a global oil power. Riyadh aims to generate around 50% of its electricity from renewable sources by 2030 and achieve net-zero emissions by 2060. The plans are part of the Vision 2030 program spearheaded by Crown Prince Mohammed bin Salman.

The solar phase of the same program was announced earlier this year, with Saudi Arabia committing approximately $2 billion to two installations in Sivas and Karaman with a combined capacity of 2 GW. The project should cover the electricity needs of some 2.1 million households once launched.

“We view these investments as one of the most important examples of direct foreign investment in our energy sector, and they will be financed entirely through external financing. Credit will also be provided by international financial institutions,” Energy Minister Bayraktar said at the time.

What I Cover Irina Slav has been writing about global energy…

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