Resilient Recovery: EBRD-Enerjisa Advance Grid and Solar in Türkiye
In August 2025, the European Bank for Reconstruction and Development (EBRD) approved a US$150 million loan to Enerjisa Enerji to rebuild electricity infrastructure in the earthquake-affected Toroslar region and to finance new solar capacity for corporate customers. This initiative represents more than just post-disaster recovery: it is a deliberate investment in resilience, clean energy integration, and governance reform.
Rebuilding Critical Infrastructure
The earthquakes of February 2023 devastated communities across southern Türkiye, leaving thousands without reliable access to electricity. Enerjisa’s Toroslar distribution region was among the hardest hit, with large sections of the grid requiring complete reconstruction. The EBRD loan, finalised in August 2025, provides the financial base to restore and modernise this network.
Rather than simply replacing damaged lines and substations, the funding is designed to deliver a smarter and more resilient grid. Modernisation includes upgraded materials, technologies to reduce technical losses, and designs that shorten restoration times when outages occur. The structure of the loan — denominated in Turkish lira — is equally important. By insulating Enerjisa from foreign-exchange volatility, it provides financial stability and ensures that operational improvements are not undermined by currency fluctuations. This dual emphasis on physical and financial resilience positions the Toroslar network to withstand both natural and economic shocks in the years ahead.
Integration of Distributed Solar
While the bulk of the loan is directed to network reconstruction, up to US$25 million has been allocated to the development of 35 MW of distributed solar capacity. These installations are intended for corporate customers, reflecting the growing demand from businesses to secure clean, cost-stable electricity.
The design of these projects matters. By locating generation close to demand centres, the solar plants reduce strain on transmission lines and minimise distribution losses. Their output also coincides with Türkiye’s peak summer demand, when cooling loads drive up consumption and fossil fuel dependence is at its highest. Even at modest scale, the ability of distributed solar to reduce peak reliance on natural gas and provide corporates with stable, lower-carbon power is strategically significant.
This approach highlights a shift in recovery financing: reconstruction is no longer about returning systems to their pre-crisis state. Instead, it is about embedding technologies that improve efficiency, cut emissions, and meet the evolving needs of end-users.
Governance and Institutional Development
The inclusion of governance reform is a distinctive feature of the EBRD package. Enerjisa will adopt the EBRD’s Board Director Nomination Toolkit, an initiative designed to strengthen board effectiveness and promote gender diversity.
Good governance is increasingly recognised as a core component of resilience. Stronger boards can improve risk management, enhance transparency, and ensure that companies remain accountable during periods of stress. For a utility operating in a region still rebuilding from a natural disaster, the value of effective oversight cannot be overstated. The governance component signals that the EBRD views long-term institutional health as inseparable from physical and financial recovery.
If implemented meaningfully, this reform could set a precedent for other Turkish utilities and corporates. It demonstrates that sustainability is multidimensional: it is not only about carbon and kilowatt-hours but also about leadership structures that make better decisions.
Implications for Türkiye’s Energy Transition
The EBRD-Enerjisa loan aligns with wider trends in Türkiye’s energy landscape. Over the past three years, solar capacity has doubled, and recent wind tenders have added more than a gigawatt of new projects. As renewable energy expands, distribution networks are increasingly the bottleneck. Without upgrades, new capacity risks being curtailed or underutilised.
By pairing grid investment with distributed solar, the Toroslar initiative demonstrates how infrastructure and generation must advance together. It also highlights the importance of financing models that combine public and private interests. The EBRD’s involvement reduces investor risk, sending a strong signal to markets that recovery-linked clean energy projects are bankable.
For corporates, the availability of clean power is increasingly a competitive factor. The EU’s Carbon Border Adjustment Mechanism (CBAM) places a carbon cost on exports, incentivising companies in Türkiye to decarbonise their operations. Access to distributed solar capacity through initiatives like this directly supports that shift, aligning recovery finance with long-term trade competitiveness.
Local Economic and Social Impacts
At the community level, the benefits are tangible. A modernised grid means fewer outages, faster restoration after disruptions, and more reliable service for households, schools, and healthcare facilities. Businesses in the Toroslar region will be able to operate with greater confidence, avoiding costly downtime caused by power failures.
The construction and maintenance of solar plants and upgraded networks will also create employment opportunities and build local technical skills. These social and economic co-benefits are central to the recovery narrative: resilience is not only about wires and megawatts but about enabling communities to recover stronger and more sustainably.
Outlook and Milestones (Post-Approval Timeline)
The loan was approved in August 2025, and the coming months will be critical in translating commitments into outcomes.
By early 2026: Procurement contracts and site mobilisation for both grid and solar projects.
By mid-2026: Commissioning of initial solar installations supplying corporate customers.
Within 12 months: Observable improvements in distribution reliability and measurable adoption of governance reforms within Enerjisa’s board.
Monitoring these milestones will provide a clear indication of whether the initiative is on track to deliver both resilience and strategic transition benefits.
Strategic Significance
The EBRD’s August 2025 loan to Enerjisa Enerji illustrates a comprehensive approach to recovery finance. By combining infrastructure repair, renewable energy integration, and governance reform, the initiative supports immediate needs while advancing Türkiye’s long-term transition objectives.
This project underscores that resilient recovery is not about rebuilding the past but about preparing for the future. For investors, corporates, and policymakers, it offers a practical model of how disaster recovery can accelerate decarbonisation, strengthen institutions, and create lasting socio-economic benefits.
