$19 billion investment planned in electricity distribution

ISTANBUL

Türkiye’s electricity distribution sector plans investments totaling 777 billion Turkish Liras over the 2026–2030 period, according to Fakir Hüseyin Erdoğan, Secretary General of the Electricity Distribution Services Association (Elder).

Based on the October 2025 exchange rate, this corresponds to approximately $19 billion, he said.

Erdoğan emphasized that the bulk of these investments will be directed toward grid renewal, expansion, and modernization, with increased budgets allocated for scheduled maintenance. The primary objective, he noted, is to reduce both the duration and frequency of power outages.

He explained that tariffs and revenue caps are calculated by the regulatory authority, meaning that while investments will inevitably be reflected in tariffs, the process remains structured and closely monitored.

Highlighting the role of electrification in Türkiye’s energy transition, Erdoğan stressed that this process will be driven by renewable energy sources.

He pointed out the rapid growth of distributed generation, with nearly 35,000 unlicensed production facilities now connected to the grid. Solar power plants, in particular, have gained a significant share, reshaping grid planning and operations.

“This rapid increase in distributed generation is changing the way we manage the grid,” Erdoğan said. “We are compelled to make new and costly investments in reactive energy management and grid capacity,” he added.