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The European Bank for Reconstruction and Development (EBRD) plans to invest $6 billion in renewable energy and clean energy transition projects in Türkiye over the next five years, supporting Ankara's ambitions to accelerate its energy transformation and expand renewable electricity generation.

The commitment was announced in an EBRD statement issued during COP31, where Türkiye introduced its Renewable Energy Acceleration and Clean Energy Transition (REACT) platform.

The initiative aims to mobilise approximately $300 billion in investment by 2040 to support the country's transition towards a cleaner and more diversified energy system.

According to the bank, the REACT platform will focus on financing solar and wind power projects, modernising electricity transmission and distribution networks, developing energy storage infrastructure and expanding domestic manufacturing of energy equipment.

Investment will also support electrification initiatives intended to facilitate the wider adoption of clean energy technologies.

The EBRD worked closely with Türkiye's Ministry of Energy and Natural Resources to establish the platform, which is designed to coordinate financing and attract international investment into the country's energy sector.

International financial institutions back Türkiye's energy ambitions

The REACT initiative has attracted support from several major international financial institutions and development partners, including the European Union, the World Bank, the International Finance Corporation (IFC) and Germany's KfW Development Bank.

Their participation is expected to strengthen the platform's ability to mobilise public and private financing for large-scale energy infrastructure and renewable energy development.

EBRD President Odile Renaud-Basso emphasised the bank's longstanding involvement in Türkiye's energy sector and its readiness to support the country's transition through additional investment.

She noted that Türkiye has established ambitious energy transformation objectives and that accelerating investment will be essential to achieving them.

The planned $6 billion commitment represents the EBRD's contribution over the next five years, while the broader $300 billion target reflects the total investment the REACT platform aims to attract by 2040.

Türkiye targets 175 GW of solar and wind capacity by 2040

Türkiye has set a target of increasing its combined installed solar and wind power capacity to 175 gigawatts by 2040, a substantial expansion intended to strengthen domestic electricity generation and support the country's long-term energy security.

Achieving this objective will require significant investment not only in renewable power plants but also in grid infrastructure, storage technologies and equipment manufacturing.

The REACT platform is intended to help address these financing and infrastructure requirements by bringing together international lenders, development institutions and other investors.

The EBRD remains one of Türkiye's major institutional investors, having committed more than €26 billion to the country's economy to date, primarily through private-sector projects.