The funds for renewable energy infrastructure will contribute to reaching Turkey's climate targets
An agreement worth 100 million euros for Turkey’s sustainable recovery, specifically the energy sector infrastructure in the areas affected by the February 2023 earthquake, and to contribute to the country's climate resilience goals. The agreement signed today provides for a new 50 million euro investment by the Italian Climate Fund (Fondo Italiano per il Clima) managed by Cassa Depositi e Prestiti (CDP) on behalf of the Ministry of the Environment and Energy Security (MASE) paid to the Industrial Development Bank of Turkey (TSKB).
The financing from the Italian Climate Fund was matched by another 50 million euros from the French Development Agency (Agence Française de Développement - AFD), granted through parallel co-financing within the Joint European Financiers for International Cooperation (JEFIC) platform, founded with the aim of fostering the sharing of co-financing initiatives and involving various European development finance institutions.
The operation is part of CDP's mandate to manage the Italian Climate Fund, established in 2022 by the Italian government within the Ministry of the Environment and Energy Security to strengthen the global commitment against climate change by offering financing linked to precise environmental objectives to partner countries in the Italian International Cooperation System.
Specifically, the collaboration with TSKB and AFD will strive to build and rehabilitate infrastructure for the production of electricity from renewable sources, thus contributing to the containment of the country's CO2 emissions, in keeping with the 2022-2035 Turkish National Energy Plan. Potential projects that can be financed include the extension and restructuring of the distribution network for electricity produced from renewable sources in the areas affected by the earthquake.