Wind power investments expected to top $1.5 billion this year

ISTANBUL

Investments in wind power are poised to grow, expected to surpass $1.5 billion this year, according to Ibrahim Erden, president of the Turkish Wind Energy Association (TÜREB).

Wind energy investments accelerated in 2024 compared to the previous year, reaching 1,300 megawatts in installed capacity and approximately $1.3 billion, he noted.

Wind accounted for 11.3 percent of the country’s total electricity generation in 2024, while the share of renewables in electricity production increased to 42 percent.

“The licenses for storage-integrated projects are being obtained, while the rapid commissioning of legacy YEKA [Renewable Energy Resource Areas] projects is beginning,” Erden said, adding that with the contribution of these projects, this year's investment will likely exceed 1,500 megawatts and surpass $1.5 billion.

There will be investments in electricity storage systems alongside wind power plants in the coming years, according to Erden.

“As projects in the storage sector progress from pre-license to license stages and as permitting processes are completed, we hope that investments will materialize,” he said.

In the coming years, wind energy investments are expected to grow by 300-400 megawatts annually, reaching approximately 3,500 megawatts by 2028-2029, according to Erden.

Erden stated that foreign investors have shown interest in wind energy and storage projects, particularly in YEKA auctions, saying that Middle Eastern and Chinese investors have been actively engaging in these auctions.

To further support this interest, this year’s YEKA auctions will be announced in June, earlier than previous auctions. Additionally, investors will be given more time to prepare. As a result, the upcoming auction will likely see even greater foreign investor participation.

Erden stated that foreign investors have shown interest in wind energy and storage projects, particularly in Renewable Energy Resource Area (YEKA) auctions. He noted that Middle Eastern and Chinese investors have been actively engaging in these auctions.

This year’s YEKA auctions will be announced in June, earlier than previous auctions and investors will be given more time to prepare, Erden said. “As a result, the upcoming auctions will likely see even greater foreign investor participation.”

Foreign investors are trying to understand the local storage project market, but inflation and difficulties in accessing financing have slowed down investments, according to Erden.

If the economic program the government is implementing succeeds, foreign investor interest will likely increase in the coming years, he said.

Once storage systems come online with a minimum capacity of 5 to 10 gigawatts in the next two to three years, Türkiye's electricity grid will gain significant resilience and flexibility, TÜREB Vice President for Investor Relations Erinç Kısa said.