Türkiye outlines $500 billion energy plan for 2040

ISTANBUL

Türkiye has unveiled an energy plan requiring $500 billion in public and private investment by 2040, aiming to reduce import dependence and expand the use of electricity across the economy.

Energy and Natural Resources Minister Alparslan Bayraktar presented the “National Energy 2040” strategy in Istanbul on Nov. 5, ahead of the COP31 climate conference in Antalya.

“Our goal is to make Türkiye energy independent by 2040,” he said.

The plan centers on greater electricity use in transport, industry and buildings, alongside investment in renewable energy, nuclear power, oil and gas production, mining and energy efficiency.

It targets an electrification rate of 36 percent by 2040. Electric vehicles, data centers, green hydrogen production and heat pumps are expected to contribute to rising electricity demand.

Installed electricity capacity would more than double from 123,000 megawatts in 2025 to 281,000 MW by 2040, requiring around $190 billion in investment. Renewables would account for 77 percent of that capacity, up from 63 percent.

Wind and solar capacity is targeted at 175,000 MW, including 6,000 MW of offshore wind.

The government plans renewable energy tenders covering at least 2,000 MW annually, alongside capacity increases, plant upgrades and the addition of different generation technologies at existing facilities.

The strategy also envisages $116 billion in investment in transmission and distribution networks to support the expansion.

Bayraktar called for better service standards in electricity distribution, noting that many operating licenses would expire in 2036.

Transport accounts for a substantial part of the planned shift toward electricity.

Bayraktar projected a fleet of 20 million electric and hybrid vehicles by 2040, nearly half the country’s expected total of 41 million vehicles.

Nuclear capacity is targeted at about 10,000 MW by 2040, including the Akkuyu plant’s planned 4,800 MW. Nuclear power would meet 11 percent of electricity demand, Bayraktar said, reducing the need to generate power from imported natural gas.

Oil and gas investment will continue alongside electrification.

Bayraktar set a combined production target of 1.7 million barrels of oil equivalent a day, with operations in Türkiye and abroad intended to meet the country’s needs.

The strategy also seeks to lower oil consumption through wider electric vehicle use and limit growth in gas demand through changes in electricity generation and heating.

Bayraktar estimated that the program would create 108,000 direct jobs and provide employment for about 250,000 families when indirect effects were included.