ISTANBUL, June 23, 2026 — Turkey reached its highest level of renewable electricity generation in 26 years during the first five months of 2026, with renewable energy sources accounting for 61% of the country’s total power production. The surge in clean energy output has also driven wholesale electricity prices to record lows, significantly reducing the government’s electricity subsidy burden.
According to an analysis by energy think tank Ember, wholesale electricity prices fell by 48% compared with the same period last year. The decline helped the government save approximately $746 million in support payments for household electricity bills.
New Record Reached in May
Renewable energy’s share of electricity generation climbed even higher in May, reaching 73%, up 17 percentage points from the same month in 2025. The figure marked a new national record for renewable power generation.
As renewable output increased, electricity prices continued to fall. In May 2026, prices in Turkey’s day-ahead power market dropped to their lowest real U.S. dollar level since the market was established in 2011.
Hydropower Leads the Growth
The primary driver behind the increase in renewable generation was hydropower. Higher-than-normal rainfall in 2026 boosted water inflows into reservoirs, with the volume of water reaching dams during the first five months of the year exceeding the total level recorded throughout all of 2025 by approximately 42%.
Reduced Reliance on Subsidies
Turkey began subsidizing household electricity bills in June 2021 following a sharp rise in fossil fuel costs during the COVID-19 pandemic and the subsequent Russia–Ukraine war. The strong performance of renewable energy sources in 2026 has significantly eased the financial pressure associated with these subsidies.
Energy analysts say the results highlight the economic benefits of renewable energy, which can generate electricity at lower costs than fossil fuel-based power plants while also improving energy security and reducing public spending.
Source: Patronlar Dünyası/ Prepared by: İlayda Gök