The Asian Development Bank (ADB) has approved a $175.48 million results-based loan to support renewable energy projects across municipalities in Türkiye and help advance the country’s long-term clean energy goals.
The financing will support the Municipal Renewable Energy Transition Program, which will be implemented through İller Bankası Anonim Şirketi (İLBANK), Türkiye’s state-owned development and investment bank that works with local governments on infrastructure projects.
The program will help metropolitan, provincial, and district municipalities develop renewable energy infrastructure, including solar and wind power facilities, substations, and related electricity systems. The initiative aims to support Türkiye’s target of achieving net-zero emissions by 2053.
ADB said expanding renewable energy at the municipal level is essential for improving energy security, reducing emissions, and creating long-term financial benefits for local governments.
Municipal buildings and utility services currently represent a significant share of electricity consumption and greenhouse gas emissions in Türkiye’s municipalities. By increasing the use of locally generated renewable energy, municipalities can lower energy costs and redirect savings toward essential public services.
The program will also strengthen the ability of municipal governments and local utilities to manage renewable energy projects and improve energy resilience. It is expected to reduce pressure on electricity networks while accelerating the country’s transition toward cleaner power sources.
The loan, guaranteed by the Government of Türkiye, will be supported by additional financing from İLBANK to expand renewable energy deployment nationwide. The initiative aligns with Türkiye’s National Energy Plan and broader development objectives.
Through this investment, ADB aims to help Türkiye build a more sustainable energy system, support climate action, and improve the quality of public services through cleaner and more efficient energy solutions.
