Saudi Arabia, Türkiye Sign Agreement for Up to 5 GW Solar Power Projects During Erdoğan’s Visit

The Kingdom of Saudi Arabia and the Republic of Türkiye have signed a strategic agreement to develop large-scale renewable energy power plant projects, marking a major step forward in bilateral energy cooperation. The agreement was concluded during the official visit of Turkish President Recep Tayyip Erdoğan to Saudi Arabia and was signed in Riyadh on February 3, 2026.

The agreement was signed on behalf of Saudi Arabia by Minister of Energy Prince Abdulaziz bin Salman bin Abdulaziz Al Saud, and on behalf of Türkiye by Minister of Energy and Natural Resources Alparslan Bayraktar.

The partnership aims to enhance collaboration in renewable energy and green technologies, supporting the development and implementation of high-quality projects that contribute to energy diversification, energy security, and the transition to a low-carbon economy, in line with the strategic priorities of both countries.

Under the agreement, the two sides will jointly develop solar power plant projects in Türkiye with a total installed capacity of up to 5,000 MW, to be implemented in two phases.

Phase One will involve the development of 2,000 MW of solar capacity, comprising two projects located in Sivas and Karaman. Phase Two will add a further 3,000 MW, to be executed under frameworks mutually agreed upon by both governments.

The Phase One projects will deliver some of the most competitive electricity tariffs among renewable energy plants in Türkiye. Representing an investment of nearly USD 2 billion, the projects are expected to supply clean electricity to more than two million households. The generated power will be purchased by a Turkish state-owned company under a 30-year power purchase agreement, ensuring long-term revenue certainty. Additionally, maximum utilisation of local equipment and service providers will be prioritised during project execution.

Both sides stated that the agreement reflects a deepening investment partnership and strong mutual trust, reinforcing their shared commitment to advancing strategic projects with sustainable economic and developmental impact. The collaboration is also expected to promote technology transfer, capacity building, and long-term mutual benefits, in line with international best practices.