BAKU, Azerbaijan, August 6. The World Bank has approved a large financing package for the implementation of the Türkiye Power Transmission System Transformation (TPTS) project, Trend reports via WB.
This was reported on Wednesday by Trend, citing the World Bank.
The financing package is aimed at integrating increasing amounts of renewable energy into the country's national power grid and supporting Turkey's sustainable development and climate change goals.
The total financing for the project exceeded $747.9 million. The package includes: 625 million euro (approximately $707.9 million) in the form of a loan from the International Bank for Reconstruction and Development (IBRD); 32.798 million euro ($38 million) in the form of a loan from the Clean Technology Fund (CTF); and a $2 million grant from the CTF on a non-repayable basis.
The project is being implemented as part of the seventh phase of the large-scale ECARES (Renewable Energy Scale-Up in Europe and Central Asia) program and directly supports Türkiye's Renewable Energy 2035 (RE 2035) strategy, which aims to achieve 120 GW of installed wind and solar energy capacity by 2035, in the context of the national goal of achieving carbon neutrality by 2053.
According to Humberto López, World Bank Director for Türkiye, modernizing networks and developing renewable energy sources will not only increase energy security and reduce dependence on fossil fuel imports, but also open up new economic opportunities and create thousands of jobs:
Key areas of the project include a large-scale modernization of the grid infrastructure, which covers the construction of new and renovation of existing substations, as well as the expansion of power lines and cable connections. These measures will enable the connection of 1.7 GW of renewable energy sources and significantly improve the reliability of energy supply.
In addition, the project envisages the digitalization of the power system through the modernization of SCADA/EMS control systems and the introduction of modern digital technologies necessary for the effective management of variable energy flows from RES.
The third important element will be technical support and innovation, including the development of Türkiye's first HVDC (high-voltage direct current) corridors and strengthening the institutional capacity of TEİAŞ, the main contractor for the project.
“We are helping to make Türkiye's energy system greener, more sustainable, and more digital, thereby unlocking its enormous potential in renewable energy and improving the reliability of electricity supply,” said Yeşim Akcollu, World Bank project manager.
The project is fully in line with Türkiye's 12th National Energy Plan and aims to significantly reduce greenhouse gas emissions. Its implementation will boost the country's economy and strengthen Türkiye's global position in the field of green energy.
The ECARES program, initiated by the World Bank, is implemented using a multi-stage model and covers countries in Europe and Central Asia, stimulating the development of renewable energy through reforms, investments, and institutional development.