Khaberni - Saudi Arabia and Turkey signed an agreement yesterday, Tuesday, to construct renewable energy power stations with investments totaling about $2 billion.
This occurred during the official visit of the Turkish President, Recep Tayyip Erdogan, to the Kingdom, aimed at enhancing bilateral relations between the two countries and solidifying their strategic cooperation in the energy sector.
The agreement was signed by the Saudi side, Minister of Energy Prince Abdulaziz bin Salman, and on the Turkish side, Minister of Energy and Natural Resources Alp Arslan Bayraktar.
The agreement aims to enhance cooperation between the two countries in the fields of renewable energy and green technologies, support the development and implementation of high-quality projects that contribute to diversifying the energy mix, enhancing its security, and advancing the transition to a low-carbon economy in line with the priorities and strategies of both countries.
The agreement includes the development and implementation of solar power projects in the Republic of Turkey, with a total installed capacity of 5000 megawatts in two phases. The first phase includes two solar energy projects in Sivas and Karaman, with a total capacity of 2000 megawatts. The second phase includes other projects to be implemented according to the frameworks agreed upon by the parties, with an additional capacity of 3000 megawatts.
The first phase projects offer very competitive electricity prices compared to other renewable energy stations in Turkey. Additionally, these stations, with investments worth about $2 billion, will supply electricity to over two million Turkish households. A Turkish state-owned company will purchase the electricity generated from these stations for thirty years, and during the implementation of the projects, the maximum benefit from local equipment and services will be achieved.
The two sides affirmed that this agreement represents an important step towards enhancing the investment partnership between the Kingdom of Saudi Arabia and the Republic of Turkey. It also reflects the mutual trust between the two countries, their shared commitment to expanding cooperation in strategic projects with sustainable economic and developmental impact, adhering to the best international practices, contributing to knowledge transfer, capacity building, and achieving mutual benefits.
President Recep Tayyip Erdogan arrived in Riyadh yesterday, Tuesday, on an official visit aimed at enhancing bilateral relations.
