New investment in renewable energy in Turkey

Turkey is one of the largest energy consumers and suppliers among the countries of the world and is thus an important center of energy in the region, in addition to that it provides many opportunities to produce renewable types of energy such as water, wind energy, solar energy and geothermal energy, and the country comes among the top ten countries in Europe that have the largest Solar and wind energy.

Over the past years, the energy sector in Turkey, along with other sectors of the Turkish economy, has witnessed great growth, and it has become one of the fastest growing energy markets in the world and the most attractive to foreign investors.

The volume of energy investments in Turkey has reached 18 billion dollars out of the total investments of 194 billion dollars, and in light of the increasing demand for energy in a huge domestic market, the renewable energy sector is expected to attract investments worth 28 billion dollars by 2020.

To meet the country's growing energy demand, the government aims to attract energy investments amounting to $ 110 billion by 2023.

Therefore, in this context, the Turkish group Ortadogu Holding announced that it intends to invest 380 million dollars to develop renewable energy in Turkey this year.

Mohamed Gor, CEO of the company that works in the sectors of tourism, health, energy, construction, logistics and environmental technologies, announced that he decided to accelerate his investments and plans to invest $ 380 million in renewable energy in 2020.

Gor pointed out that "renewable energy comes first among the sectors that the company gives priority to in 2020 and in the following periods, in order to achieve the vision of 2023 and the future of our country and the world alike."

He said the group has four licensed geothermal fields, three in Manisa and one in Kutahya.

He added that the company's projects for geothermal power plants, which will have a total investment value of $ 250 million, aim to generate energy starting from 24 MW and up to 72 MW.

Regarding investment plans based on other sources of renewable energy, Gore said, "We are planning to invest about $ 130 million in our four licensed regions with a total capacity of 120 MW. In addition, we will increase our combined capacity of 48.5 MW in our wind energy projects."

Gor pointed out that the company succeeded in disposing of non-hazardous industrial waste at Torbali Station in Izmir Province.

He added that the company plans to collect and treat hazardous and non-hazardous waste and household waste to establish a factory to produce "compost" fuel, and that feasibility studies are still ongoing, especially in the states of Kocaeli and Manisa, where the factories are concentrated.

It is noteworthy that Turkey ranks fourth in the world in the production of geothermal, which is one of the renewable energy sources and environmentally friendly, and provides the country with about 2% of its electricity needs.

The Turkish government has developed future plans that will raise the level of performance of the Turkish economy until 2023, as Turkey plans to invest an estimated $ 11 billion in the energy sector, and during the past two years it has invested about $ 2 billion, of which 30% has invested in developing renewable energy sources.

A report by the International Finance Corporation of the World Bank Group showed that Turkey, which is classified as an energy importer, aims to increase its share of electric energy production based on renewable energy sources, which has led to an increase in investor interest in Turkey.

These investments will be distributed by $ 16.4 billion in wind energy, $ 7.4 billion in solar energy, $ 3.4 billion in geothermal energy, and $ 560 million in hydropower.

In recent years, Turkey has worked vigorously to expand the share of renewable energy resources in power generation through new investments, in light of a set of incentives devoted to investments in electricity production that rely on renewable energy sources, including:

Exemption from customs duties and value-added tax at a rate of 100%.

10-year renewable energy supply tariff scheme (FiT).

Provide a varied scheme for the renewable energy supply tariff based on the type of resource.

Additional premiums for interior components, network connectivity priorities, various practical amenities in project preparation and land ownership.

Lower licensing fees, exemption from annual license fees over the first eight years of operations, and exemptions to licenses in exceptional circumstances.