Saudi-listed ACWA has secured support from eight international lenders for the financing of its 2 GW Sivas and Taşeli solar photovoltaic (PV) projects in Türkiye, marking progress in its renewable energy expansion under a Saudi-Turkish intergovernmental agreement.
The lenders signed a
Letter of Support at COP31 in Antalya, confirming their backing for the two
projects and taking a step towards arranging financing.
The financial
institutions include the Asian Development Bank (ADB), Asian Infrastructure
Investment Bank (AIIB), DEG, European Bank for Reconstruction and Development
(EBRD), International Finance Corporation (IFC), Islamic Development Bank
(IsDB), Société Générale and Standard Chartered.
Dr. Samir Serhan,
Chief Executive Officer of Acwa, said: “Large-scale renewable energy projects
can be built only when governments, offtakers, and lenders have agreed on how
they will be financed and delivered. We are grateful to our eight lending
partners for the confidence they have shown in Sivas and Taşeli, and to the
Ministry of Energy and Natural Resources and EÜAŞ for their continued support.
These are the first two plants that we will build under the Intergovernmental
Agreement between Saudi Arabia and Türkiye, and we look forward to working with
all of our partners to complete them safely and on schedule, so that they can
begin supplying clean electricity to households across Türkiye from 2029.”
The two projects are
wholly owned by Acwa and comprise separate independent power producer (IPP)
developments. The Sivas plant is located in Sivas Province, approximately 500
kilometres east of Ankara, while Taşeli is in Karaman Province, around 400 kilometres
south of the capital.
Together, the projects
represent 2 GW of the 5 GW renewable energy capacity agreed by Saudi Arabia and
Türkiye under their Intergovernmental Agreement.
In February 2026, Acwa
signed Investment Agreement Key Terms with Türkiye's Ministry of Energy and
Natural Resources, covering the development, financing, construction,
commissioning and operation of both plants.
It also concluded
Power Purchase Agreement Key Terms with state-owned electricity producer
Elektrik Üretim Anonim Şirketi (EÜAŞ), which will purchase the electricity
generated by the projects.
The 5GW programme
builds on Acwa's existing presence in Türkiye, where its first investment, the
Kırıkkale independent power project, was commissioned in 2017.
Once operational,
Sivas and Taşeli are expected to contribute to Türkiye's domestic electricity
supply, supporting efforts to reduce reliance on imported fuels and strengthen
energy security.
The projects are
scheduled to begin supplying electricity in 2029, adding to the country's
renewable energy capacity as it pursues its energy transition objectives. -OGN/TradeArabia News Service