YEKA SPP-2025 Tenders

I. INTRODUCTION

The Republic of Türkiye’s Ministry of Energy and Natural Resources (the “Ministry”) announced the Tender Notice Regarding the Allocation of Renewable Energy Resource Areas and Connection Capacities Based on Solar Energy (the “RER SPP-2025”) on September 9, 2025. On the same date, the Ministry also published the tender specifications, draft contract to be executed with the successful bidders of the tender and the connection opinions of the Turkish Electricity Transmission Corporation on its official website.

According to the RER SPP-2025 tender, it is aimed to allocate a total of 850 (eight hundred fifty) MWe of connection capacity through a competitive bidding process for the construction of 10 (ten) solar power plants planned to be established in various regions selected as renewable energy resource areas (the “RER Areas”) across Turkey.

II. TURKISH ENERGY LAW AND RER AREAS

In Turkey, electricity generation activities are subject to the supervision and oversight of he public administration and each electricity generation entity must obtain a generation license from Energy Market Regulatory Authority (the “EMRA”) for each power plant. The Electricity Market Law introduces a preliminary licensing regime whereby applicants are first granted a preliminary license for the pre-construction stage to complete preparatory works and secure the required rights, permits and licenses (i.e., development permits). Following the fulfilment of relevant requirements, the preliminary license is replaced with a generation license. Furthermore, a direct application for a generation license can be made without obtaining a preliminary license, as long as the relevant requirements to be completed during the preliminary license process are fulfilled.

In addition to the general licensing regime, the legislation also provides specific frameworks for renewable energy projects. One of these is RER Areas model, under which large-scale renewable projects are developed through competitive tenders organized by Ministry. RER Areas tenders aim to promote renewable energy investments by granting long-term purchase guarantees and access to state-owned land, while also encouraging the use of locally manufactured equipment.

Furthermore, renewable energy projects may benefit from the Renewable Energy Resources Support Mechanism (the “RER Support”), which provides purchase guarantees at pre-determined feed-in tariff.

III. PARTICIPATION IN RER AREAS TENDERS

Pursuant to the Regulation on the RER Areas, participation in RER Areas tenders is subject to eligibility criteria set by the Ministry. Applicants are typically required to submit bid documents within the framework of tender specifications, provide financial and technical guarantees, and comply with localization requirements. Successful bidders are granted the right to develop and operate renewable energy projects in designated areas under long-term agreements

IV. TENDER SPECIFICATIONS ANNOUNCED FOR RER SPP-2025

Pursuant to the RER SPP-2025 tender, the principal participation requirements and procedures are outlined below.

1. Tender Objective and Scope

The purpose of the RER SPP-2025 tender is to allocate rights for development, construction, operation and sale of electricity from a total of 850 MWe capacity across 10 (ten) designated solar power plant sites for a 49-year term.

2. Applicants and Participation

Participation in the RER SPP-2025 tender is open to joint stock and limited liability companies incorporated under the Turkish Commercial Code, joint ventures as well as foreign entities with corporate status. In case a foreign investor is awarded capacity, it is required to establish a Turkish joint stock or limited liability company either with the same shareholding structure or as a wholly-owned subsidiary. Similarly, joint ventures are permitted to participate but must incorporate a Turkish entity with the identical ownership structure should they succeed in the tender. A foreign investor may participate alone; while there is no obligation to have a Turkish partner, involving one may provide strategic and operational advantages.

3. Pricing and Bid Procedure

The financial framework of the tender is based on a ceiling price of EUR 0.055/kWh and a floor price of EUR 0.0325/kWh. Applicants are initially required to submit sealed financial offers, following which the lowest five bidders qualify for a reverse auction process until the floor price is reached. In the event that multiple bidders remain at the floor price, an additional contribution fee per MW is determined through an open auction.

Electricity generated will be sold to the free market for the first sixty months, commencing upon the execution of the contract with the Ministry5. Upon the expiry of this period, 20-year purchase guarantee will apply at the awarded price. Where the market clearing price falls below EUR 0.0475/kWh, the floor mechanism is triggered. Moreover, if locally manufactured inverters with a valid domestic goods certificate are used, a premium of EUR 0.0025/kWh is granted for the first five years.

Payment Scheme:

For the first 60 months commencing upon the execution of the contract with the Ministry, the electricity generated must be sold in the free market at the current market price. However, if the market clearing price falls below EUR 0.0475/kWh, a minimum price guarantee applies and the electricity must in any event be sold to the market operator at EUR 0.0475/kWh.

Thereafter, following the initial 60-month period, a 20-year purchase guarantee at the awarded price applies.

In the event that locally manufactured inverters with a domestic goods certificate are used, EUR 0.0025/kWh is added to the purchase price for the first five years.

4. Guarantees and Financial Commitments

Applicants are required to submit their applications in Turkish supported by the prescribed forms and corporate documentation, together with proof of payment of the application fee and the necessary bank guarantees. Foreign applicants must provide equivalent corporate and tax compliance documents from their jurisdiction, duly apostilled and translated into Turkish.

At the application stage, each bidder is required to pay a non-refundable application fee of TRY 75,000 per competition and to submit a bank guarantee in the amount of EUR 15,000 per MW of installed capacity. Such guarantee must be unconditional, payable on first demand, and valid for a period of one year.

At the contract stage, the successful bidder must provide a bank guarantee of EUR 75,000 per MW of installed capacity, valid for ten years, using the standard form annexed to the tender specification. Upon submission of this guarantee, the guarantee provided at the application stage shall be released.

In cases where bids are tied at the floor price, an additional contribution fee per MW is determined through an open auction. The winning bidder is obliged to pay the determined contribution fee to Energy Markets Operation Company (EPİAŞ) within twenty (20) business days following the contract invitation, based on the foreign exchange selling rate of the Central Bank of the Republic of Turkey on the payment date. Failure to make such payment within the prescribed period results in the forfeiture of the submitted guarantees.

5. Required Application Documents

- Application petition (in the standard form attached as Annex-3 of the tender specification);

- Sealed financial offer (in the standard form attached as Annex-4 of the tender specification);

- Proof of payment of application fee (TRY 75,000);

- Bank guarantee (EUR 15,000/MW);

- Notarized signature circulars and powers of attorney of authorized representatives;

- Current trade registry gazette of the applicant;

- Tax and social security clearance certificates (for foreign applicants, equivalent documents from their jurisdiction); and

- In case of a joint venture, partnership agreement and documents of each partner.

All documents must be submitted in Turkish or accompanied by notarized sworn translations / apostilled copies.

6. Technical and Domestic Production Obligations

• Domestic Content Requirement

  
  

- Solar modules and cells must be manufactured in Turkey (post-wafer processes included).

- DC cables and mounting structures must have a domestic goods certificate (excluding floating PV systems).

- Locally manufactured inverters with a domestic goods certificate qualify for a EUR 0.0025/kWh premium for the first five years.

• Monitoring

  
  

- Domestic production certificates must be submitted during the preliminary license period.

- Failure to comply may result in contract termination and forfeiture of guarantees.

7. Process and Timeline

Following the execution of the contract, the successful bidder is required to submit a detailed work program to the Ministry within 30 (thirty) days. Progress reports in line with this program must thereafter be submitted on a quarterly basis.

The Ministry will notify the EMRA of the winning bidder, which must file its preliminary license application within 15 (fifteen) business days from such notification. The preliminary license is granted for a maximum term of 24 (twenty-four) months.

Upon receipt of the generation license, the construction period may not exceed 24 (twenty-four) months for plants with a capacity below 100 MWe and 36 (thirty-six) months for plants above 100 MWe, subject to possible extensions of up to 12 (twelve) months under certain conditions. Finally, the generation license issued for the relevant solar power plant is valid for 49 (forty-nine) years.