Competition announcement for ten new Solar Power Plant (“SPP”) and six new Wind Power Plant (“WPP”) based Renewable Energy Resource Area (“YEKA”) projects, with a total capacity of 850 MW and 1,150 MW, respectively, has been published in the Official Gazette on September 9, 2025. This year’s YEKA announcement marks a milestone as it introduces Türkiye’s first competition incorporating a floating solar power plant.

Entities incorporated as joint stock or limited liability companies under the Turkish Commercial Code No. 6102, as well as foreign companies with capital company status, are eligible to participate in the competition. Joint ventures may also participate, provided that they establish one of the aforementioned company types by the execution date of YEKA Agreement.

Solar Power Plants

The SPP projects will consist of ten new solar power plants with a total connection capacity of 850 MW, to be established in the regions specified below:

The corner coordinates of the areas to be allocated under all other YEKA projects are provided in the annex to the tender specifications. The plant site of the Demirköprü Floating SPP shall be determined by the winning bidder within the YEKA area announced by the Ministry of Energy and Natural Resources (“Ministry”), located in the reservoir of the Demirköprü HPP.

For the tenders, the ceiling price for the purchase of electricity per kilowatt-hour is 5.50 Euro cents/kWh, and the floor price is 3.25 Euro cents/kWh. If one of the bidders submits a floor price offer, offers shall subsequently be received from the other bidders in order. Should the base price be bid by a second contestant, the starting contribution margin increase will be EUR 10,000 per MW. Price and contribution bids are VAT exclusive. In the event that a contribution fee arises as a result of the tender, the entire amount shall be paid to Enerji Piyasaları İşletme A.Ş. within 20 business days following the bidder’s invitation to execute the YEKA Agreement, calculated at Central Bank of the Republic of Türkiye’s foreign-exchange selling rate applicable on the payment date.

Following the notification of the approval from the Ministry, the winning bidder shall be invited by the General Directorate of Energy Affairs of Ministry (“Directorate General”) to execute the YEKA Agreement. The invited bidder shall sign the agreement within thirty (30) days from the date of notification. Within thirty (30) days after signing, the winning bidder shall submit to the Directorate General a detailed program covering at least the project development, procurement, construction/installation, and commissioning phases of the SPP. The Directorate General shall review the work program and notify the winning bidder of any comments or required revisions to be resubmitted within the specified period. The Directorate General shall notify Turkish Energy Market Regulatory Authority regarding the issuance of the preliminary license to the winning bidder. It is the responsibility of the winning bidder to prepare the YEKA for investment, including carrying out all necessary measurements, technical and economic studies, and feasibility works; obtaining all required approvals, permits, licenses and the like; covering all related costs; and completing all other works and procedures within the prescribed timeframes.

With respect to price and payment, the most economically advantageous price offered at the end of the tender by the legal entity signing the YEKA Agreement shall be specified as the unit electricity purchase price. The free market selling period will last for 60 months following the signing of the YEKA Agreement, during which electricity will be sold in the free market. The electricity purchase term based on unit electricity purchase price will commence immediately after the conclusion of such free-market period and will extend for 20 years. Payments (including system usage fees, managing fees, additional transmission fees and related VATs) made to the Turkish Electricity Transmission Company (“TEİAŞ”) for the transmission tariff during the electricity purchase period will be disbursed to the awarded bidder, regardless whether if net metering continues or not, under the Renewable Energy Support Mechanism (“YEKDEM”).

According to the specifications solar panels (except for floating carrier modules) shall be manufactured in factories established in Türkiye (excluding free zones) or supplied from domestic manufacturers outside the free zones. The production calender shall be submitted to Directorate General prior to production.

Wind Power Plants

The projects will comprise six new wind power plants with a total of 1150 MW connection capacity at the specified regions below.

The tenders follow similarly with SPPs, although ceiling price for the purchase of electricity per kilowatt-hour is 5.50 Euro cents/kWh, and the floor price is 3.50 Euro cents/kWh. If one of the bidders submits a floor price offer, offers shall subsequently be received from the other bidders in order. Should the base price be bid by a second contestant, the starting contribution margin increase will be EUR 10,000 per MW. Price and contribution bids are VAT exclusive.

The free market selling period will last for 72 months following the signing of the YEKA Agreement, during which electricity will be sold in the free market. The electricity purchase term will commence immediately after the conclusion of such free-market period and will extend for 20 years. Payments (including system usage fees, managing fees, additional transmission fees and related VATs) made to the TEİAŞ for the transmission tariff during the electricity purchase period will be disbursed to the awarded bidder under the YEKDEM.

Wind turbines shall be manufactured in factories established in Türkiye (excluding free zones) or supplied from domestic manufacturers outside the free zones at the specified minimum localization rates.

Applications to the Competition

For both SPP and WPP, potential bidders shall submit their applications to the Directorate General on November 4, 2025. The Directorate General may postpone the application date at its discretion. A bid bond in the amount of EUR 15,000 for SPP and EUR 20,000 for WPP for megawatt units of electrical installed power, in the form of a definite, one-year term, fully and partially cash-convertible, out-of-limit bond, is required to be submitted for application per project.

If the competition is awarded, a performance bond in the amount of EUR 75,000 for SPP and EUR 100,000 for WPP for megawatt units of electrical installed power in the form of definite, 10-year term, fully and partially cash-convertible, out-of-limit bond, must be submitted to the Directorate General no later than one day before the date of signing the contract, and the bid bond submitted during the application stage will be returned.

Competition specifications and the draft YEKA agreement are published on the Ministry’s official website. The place, date and time of the competition will also be published at a later date on the same website.

These new YEKA tenders create significant opportunities for investors seeking long-term offtake stability coupled with competitive market exposure. Companies considering participation should begin preparing application documentation for submission by the November 4, 2025 deadline.

This information is provided for your convenience and does not constitute legal advice. It is prepared for the general information of our clients and other interested persons. This should not be acted upon in any specific situation without appropriate legal advice. This information is protected by copyright and may not be reproduced or translated without the prior written permission of Ergün Avukatlık Bürosu.