Saudi Arabian energy company Acwa Power, which is 44 percent owned by the Public Investment Fund, is close to striking a deal to develop two large-scale solar plants in Turkey.
The contracts will be finalised “soon”, although no exact date was given, and will be for two 1 gigawatt (GW) plants in the Karaman and Sivas provinces, Turkish energy minister Alparslan Bayraktar told Bloomberg.
Acwa Power and Turkish officials are also exploring the addition of another 3GW of renewable capacity, the report said.
Although the minister did not disclose the contract values, the news agency reported last year that Turkish vice president Cevdet Yilmaz estimated investments to be worth up to $5 billion.
The contracts are expected to set a record-low electricity purchase price for Turkey. The current lowest price is $0.0325 per kilowatt-hour, the report said.
In October 2024 Bayraktar said that Turkey plans to quadruple its renewable energy capacity over the next decade, with investments of $80 billion to boost output and another $30 billion to improve transmission and infrastructure.
Under the new programme, Ankara will expand its renewable energy generation capacity of 30GW fourfold to 120GW by 2035, bringing an additional 7.5GW to 8GW online every year.
In May Acwa Power reported a 60 percent year-on-year rise in revenues to nearly SAR2 billion ($533 million) in the first quarter of 2025. This helped underpin a 44 percent surge in net profit, which rose to SAR427 million ($114 million) in the three months to March 31.
The company’s share, which trades on the Saudi Stock Exchange, was down 0.6 percent at SAR247.20 at 1.30pm Riyadh time on Monday. The share has fallen 38 percent year to date.
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