Türkiye’s Minister for Energy and Natural Resources, Alparslan Bayraktar, has officially declared a new series of renewable energy auctions under the Renewable Energy Resource Area (YEKA) program. This upcoming auction mechanism is set to facilitate 2.4 GW of fresh capacity, specifically allocating 900 MW across 14 solar projects and 1.5 GW for seven wind energy developments. These Türkiye solar tenders represent a significant component of the nation’s strategy to expand its green energy footprint and enhance energy security. According to the Ministry for Energy and Natural Resources, interested parties are required to submit their applications at the ministry’s headquarters on October 13 between the hours of 10:00 and 12:00. Following the submission phase, the ministry will provide further details regarding the specific timing and locations for each individual auction.
Financial Framework and Market Mechanism
The financial framework for these auctions maintains the established ceiling price of €0.055 ($0.063) per kWh, consistent with previous YEKA rounds. This ceiling price serves as the upper limit for all participating bidders to ensure competitive energy costs. For the solar projects, the floor price is fixed at €0.0325 per kWh, while the wind energy tenders carry a floor price of €0.0350 per kWh. In instances where the floor price is reached, the competition will transition into a contribution-based model with a minimum starting increment of €10,000 per MW. Winners of the Türkiye solar tenders will benefit from a free market sales window of 60 months, whereas wind projects will receive 72 months. Upon the conclusion of this period, a 20-year power purchase agreement based on the secured tender price will take effect, providing long-term revenue certainty for developers.
Regional Distribution and Strategic Energy Targets
Geographically, the 14 solar developments are distributed across several provinces, including Ankara, Batman, Denizli, Konya, Malatya, Mardin, Diyarbakır, Elazığ, and Kahramanmaraş. Individual project capacities vary from 25 MW to 230 MW. Notable installations include a 230 MW plant in Ankara, a 200 MW facility in Diyarbakır, a 140 MW site in Ankara, and a 110 MW project in Konya. Minister Alparslan Bayraktar emphasized that the Ministry for Energy intends to maintain a consistent procurement schedule of at least 2 GW annually. This procurement schedule supports the national objective of reaching 120 GW of combined solar and wind capacity by 2035. Currently, the nation’s renewable energy capacity is approximately 78 GW, with solar power having exceeded 26.7 GW as of late April. The first round of tenders under this auction mechanism took place early last year, allocating 800 MW of solar and 1.2 GW of wind capacity.