New PPA Model on the Agenda for Energy Investments in Turkey
The PPA model, which brings renewable energy producers and major consumers together through long-term contracts, facilitates financing processes.
The Bilateral Power Purchase Agreements model, prepared to finance Turkey's energy investments, brings together renewable energy producers and major electricity consumers through long-term contracts.
PPA Model and Working Principle
Highlighted in the Energy Sector Report 2026 prepared in cooperation with the Presidency's Investment and Finance Office and APLUS Enerji, the Bilateral Power Purchase Agreements model provides financing convenience in the energy sector. The electricity to be generated by newly established solar or wind power plants is secured by the private sector before the construction of the plant.
Advantages Provided to Investors and Industrialists
Investors and industrial organizations typically sign 10 to 15-year electricity purchase agreements. Since prices and commercial terms are predetermined, the producer finds it easier to secure financing, while the industrialist is less affected by market fluctuations and makes their costs predictable.
Future Investment Potential
Turkey's energy sector holds a massive investment potential of approximately 200 billion dollars by 2035. With this new financing model developed, it is aimed to realize investments without placing a burden on the Treasury.