Saudi Arabia, Türkiye Sign an Intergovernmental Agreement on Renewable Energy Power Plant Projects

 Within the framework of strengthening bilateral relations between the Kingdom of Saudi Arabia and the Republic of Türkiye, and reinforcing strategic cooperation in the energy sector, an agreement on renewable energy power plant projects was signed during the official visit of President of the Republic of Türkiye Recep Tayyip Erdoğan to the Kingdom of Saudi Arabia.
 The agreement was signed on behalf of the Saudi side by Minister of Energy Prince Abdulaziz bin Salman bin Abdulaziz Al Saud, and on behalf of the Turkish side by Minister of Energy and Natural Resources Alparslan Bayraktar, in the city of Riyadh on 3 February 2026.
 The agreement aims to enhance cooperation between the two countries in the fields of renewable energy and green technologies, and to support the development and implementation of high-quality projects that contribute to diversifying the energy mix, strengthening energy security, and advancing the transition towards a low-carbon economy, in line with the priorities and strategies of both countries.
 The agreement includes the development and implementation of solar power plant projects in the Republic of Türkiye with a total installed capacity of up to 5,000 megawatts, to be implemented in two phases:
 Phase One, with a capacity of 2,000 megawatts, comprising two solar power projects located in Sivas and Karaman.
 Phase Two, with an additional capacity of 3,000 megawatts, to be developed in accordance with the frameworks agreed upon by both parties.
 The Phase One Projects provide the most competitive electricity sales price among renewable energy power plants built in Türkiye. Moreover, the plants that constitute an investment amount of nearly USD2 billion will supply electricity to over two million Turkish households. The generated electricity will be purchased by a Turkish state-owned company for thirty years and during the realization of the projects the use of local equipment and service providers will be maximised.
 Both sides affirmed that this agreement represents a significant step towards deepening the investment partnership between the Kingdom of Saudi Arabia and the Republic of Türkiye. It reflects the mutual trust between the two countries and their shared commitment to expanding cooperation in strategic projects with sustainable economic and developmental impact, in accordance with international best practices, while contributing to knowledge transfer, capacity building, and the achievement of mutual benefits for both friendly nations.