Structural Obstacles to Energy Transition in Türkiye and Holistic Solution Proposals: A Political, Economic and Social Dimensional Analysis

Abstract

This study aims to analyze the multi-dimensional structural obstacles in Türkiye’s energy transition process and offer solutions for a sustainable, fair, and holistic transition. The study simultaneously evaluated energy policies’ economic, environmental, and social impacts; quantitative data, qualitative interviews, spatial analysis, and scenario modeling techniques were used together. Türkiye’s 2023 energy panorama was examined and compared to the European Union averages. Structural differences in fundamental indicators such as energy intensity, supply security, pricing, and renewable resource use were revealed. According to EPDK, TÜİK, and TEİAŞ, Türkiye’s renewable energy share (42%) fell behind the EU average (63%), energy intensity was high (6.8 MJ per US dollar of GDP), and dependence on fossil fuels (coal 30%, natural gas 25%) threatened energy security. The findings show that the main obstacles to energy transition are insufficient financing, lack of political will, technological incompatibilities, and institutional coordination problems. In this context, the study proposes short-term to long-term transition policies. A multi-layered solution framework was presented, from energy cooperatives to carbon pricing, from net-zero laws to regional development plans. These policies can increase the renewable energy rate to 65% by 2035 and reduce carbon emissions by 50%. The study is one of the first systematic analyses to address energy transition in Türkiye with a holistic approach and is a strategic reference for policymakers.

1. Introduction

Energy transition is not just a technical change but a holistic process that requires redesigning the economy, politics, and society. Although Türkiye has increased its renewable energy investments in recent years, it faces multi-layered structural obstacles to the transition. Energy transition, one of the most critical global issues of the 21st century, is not just a technical renewal process; it also represents a multi-layered paradigm shift that necessitates deep economic, social, and political transitions. Climate crises, increasing energy demand, resource dependency, and energy security force states to transition to sustainable and resilient energy systems. This process requires a comprehensive structural transition that includes a shift from fossil fuels to renewable resources, energy efficiency investments, digitalization, and smart grid integrations.

Türkiye has great opportunities and serious structural challenges in energy transition due to its young and dynamic population, growing economy, and geopolitical location. Although the country has shown a remarkable increase in renewable energy capacity in recent years, it still lags behind the European Union averages in critical areas such as energy intensity, supply security, and carbon emissions. Moreover, the transition process faces multi-layered obstacles such as political uncertainties, regulatory confusion, financial access problems, and social resistance. This study aims to analyze these multi-dimensional structural obstacles regarding Türkiye’s energy transition with a holistic approach and to develop short, medium, and long-term strategic solution proposals. The primary purpose of this study is to present a multi-dimensional analysis of the structural economic, political, and social obstacles encountered in Türkiye’s energy transition process and to develop a comprehensive proposal for overcoming these obstacles. Combining quantitative indicators, qualitative expert interviews, spatial energy potential analyses, and scenario modeling methods presents a comprehensive roadmap regarding the governance, economic and social steps that should be followed to achieve Türkiye’s 2050 carbon neutrality target.

Addressing the energy transition from its technical and economic dimensions and social justice and participation perspectives is critical to ensure a just and inclusive transition. In countries with significant socio-economic differences, such as Türkiye, energy policies should be designed considering regional inequalities; social support mechanisms that cover a wide range from employment transition to energy poverty should be implemented. In this context, energy transition should be evaluated as an opportunity for economic restructuring and social transition rather than a mere carbon reduction target. The unique contribution of this study is that it provides an applicable and holistic solution framework for policymakers and academic circles by bringing an interdisciplinary and multi-scale approach to the transition process in question. This study also examines the economic costs and potential social benefits of the structural obstacles in Türkiye’s energy transition process. From a cost-benefit perspective, this assessment aims to reveal transition strategies’ financial sustainability and long-term social returns. Thus, the study’s findings not only identify the current situation but also provide a comprehensive assessment of the feasibility of the proposed solutions.

Literature Review

Türkiye faces many structural obstacles in the energy transition process. These obstacles are particularly evident in political, economic and social dimensions. Targets related to the increase in renewable energy sources and the reduction of dependency on fossil fuels play an important role in shaping the country’s energy policies. It is aimed to increase the share of renewable energy sources in Türkiye’s electricity production, and some incentives have been implemented since 2008 [1]. However, while Türkiye’s energy needs are constantly increasing, it is stated that the energy policies required to meet this need have not been fully developed in the historical process [2].

Energy dependency is one of the most critical structural obstacles to Türkiye’s energy transition. Analyses show that there is a positive relationship between fossil fuel consumption and energy dependency in Türkiye [3]. This situation reveals that the country’s economic growth does not support sustainable energy flow and that local resources are not used effectively to reduce external dependency [4]. Therefore, it is stated that the negative relationship between energy efficiency policies and energy dependency reveals that more importance should be given to these policies [3].

In economic terms, there is a relationship between Türkiye’s energy policies and economic growth. In particular, the contribution of renewable energy production to economic growth is supported by research [5]. However, the impact of foreign direct investments on fossil energy consumption constitutes an obstacle to achieving sustainable energy targets [6]. It has been observed that foreign investments increase carbon-based energy consumption instead of clean energy consumption [6]. This situation necessitates the revision of policies required to achieve energy transition in a sustainable manner.

According to the Paris Agreement, green bonds are debt instruments issued to finance projects that aim to provide environmental benefits [7]. They have been developed for renewable energy, energy efficiency, sustainable transportation and waste management. The green bond market has become a critical source of financing in energy transition processes. In developing countries such as Türkiye, the effective use of green bonds is vital for renewing energy infrastructure and reducing carbon emissions.

Green bonds have recently become a strategic tool in financing the energy transition. In developing countries such as Türkiye, the need for alternative sources of financing for renewable energy projects has increased due to the limited availability of traditional financing sources. Şakar [8] emphasizes that supporting green bonds with tax incentives offered for energy efficiency projects in Türkiye can play a critical role in developing the green financing market. Similarly, Damayanti [9] states that green sukuk applications have great potential in sustainably financing renewable energy investments in Türkiye. Green Sukuk are debt instruments issued to finance projects that provide environmental benefits and are structured under Islamic finance principles. Unlike conventional green bonds, these instruments, which do not involve interest (riba), operate with asset-based financing models, and investors are generally paid through profit sharing rather than fixed returns. This structure offers an ethical and sustainable financing solution, especially for interest-averse investor groups. Bayram et al. [10] have shown that FinTech solutions can accelerate the digitalization of the green bond market by supporting sustainable financing mechanisms. In addition, Anderloni and Tanda [11] argued that the positive performance of green energy companies after their IPO is important regarding investor confidence and market liquidity. All these studies show that green bonds offer a long-term and low-cost financing tool for private and public investments in Türkiye’s carbon neutrality goals. In this context, one of the short-term policy tools suggested in our study, “increasing green bond issuances”, is a multi-dimensional solution providing economic, environmental, and social benefits.

From a social perspective, increasing awareness and social acceptance of renewable energy sources are critical to the success of the energy transition process. The dissemination of environmental impacts and social acceptance of renewable resources such as geothermal energy contribute to accelerating the energy transition in Türkiye [12]. Social acceptance is a determining factor in increasing renewable energy investments and the effectiveness of government policies [13].

Türkiye’s energy dependency is a critical problem due to the 55% fossil fuel share in electricity production [14] and the fact that energy imports constitute 70% of the current account deficit [3]. In the social dimension, employment loss, especially in coal regions [15] and social resistance to renewable projects [12], increase the obstacles to transition. These findings show that Türkiye’s energy policies should be addressed from a socio-political and technical perspective.

Türkiye’s energy transition process is a unique case shaped at the intersection of economic growth, population growth and geographical location. The 120% increase in energy demand between 2000 and 2023 [14] has made the country’s search for energy security and sustainability urgent. This study analyzes the Turkish model, which differs from other emerging economies, especially in the context of young population dynamics and opportunities/challenges created by the strategic location on the Europe–Asia energy corridor.

2. Methodology

This study was designed with a mixed-method approach to analyze the multi-dimensional obstacles and solutions regarding Türkiye’s energy transition. This methodological framework, in which qualitative and quantitative data collection techniques are used together, allows for a holistic evaluation of structural trends and policy processes. In the quantitative dimension of the study, indicators such as energy production, consumption, price structure, emission intensity and supply security of Türkiye were used. These data were obtained from national and international institutions, including Türkiye’s EPDK (Energy Market Regulatory Authority, Çankaya/Ankara, Türkiye), TEİAŞ (Turkish Electricity Transmission Inc., Ankara, Turkey), and TÜİK (Turkish Statistical Institute, Ankara, Türkiye), as well as the IEA (International Energy Agency, Paris, France, based in France) and Eurostat (the statistical office of the European Union, headquartered in Luxembourg). In the qualitative data collection process used in the study, direct applications were made to the relevant institutions [14,16,17,18] to obtain additional information not directly included in the official reports published on Türkiye’s energy transition and to verify the existing data. Qualitative data were obtained through semi-structured interviews with institution representatives in this context. In selecting participants, authorities specialized in energy policies, data analysis, and market regulations were preferred. The interviews focused on themes such as renewable energy targets, data reliability, and energy supply security, and open-ended questions were used. The answers that were obtained were classified thematically using the content analysis method and analyzed by coding. This method ensured that the findings included in the study were based on a solid institutional basis.

In this study, a quantitative cost–benefit analysis framework is developed to assess the economic feasibility of energy transition strategies. This analysis is conducted on two main scenarios covering the period 2024–2035: (i) continuation of current policies (baseline scenario) and (ii) implementation of proposed transition packages (alternative scenario). In both scenarios, investment costs, operational savings, and socio-economic benefits are comparatively addressed.

The scenario modeling used in this study includes short-term (2024–2025), medium-term (2026–2030), and long-term (2031–2035) projections for Türkiye’s energy transition process. The modeling process is based on three main assumptions: (i) Türkiye’s energy demand is assumed to increase by an average of 3% each year [16], (ii) renewable energy production capacity is predicted to continue its annual 6% increase trend (based on EPDK [14] trends), (iii) carbon emission intensity is assumed to decrease by 2% each year (reference is SHURA [17], Energy Transition Center forecast report). Modeling is performed by integrating cost–benefit analysis in line with these variables. In addition, potential fluctuations in the energy market and technology cost reductions are included in the model as fixed-rate (1–2%) effects. Thus, predictions are created by considering different probability intervals. The scenario results are validated based on average trends obtained from datasets [14,16,18] and the literature. This method is designed to enable different researchers to reproduce the model results.

Assessing structural obstacles to energy transition is a multi-faceted endeavor that requires a holistic approach to consider various elements, including governance, social dynamics, technology, and economics. To devise effective solutions, methodologies must integrate these aspects to forge pathways for a sustainable and equitable energy transition.

A crucial step in evaluating barriers to energy transition involves recognizing the interconnected challenges within the energy system, which are often intertwined with governance issues. For instance, van Vuuren et al. [19] emphasize that the transition of the energy system is impeded by governance challenges, which necessitate long-term strategic planning and coherent policies across scales to address sustainability and energy security effectively. Similarly, Rao et al. [20] highlight the need for energy democracy and citizenship to engage stakeholders in the energy transition process, underscoring that participatory approaches can lead to more sustainable outcomes by balancing diverse interests and overcoming cultural barriers.

Moreover, energy poverty and the socio-economic impacts of the transition need to be critically assessed to understand how these factors contribute to structural obstacles. The Multi-dimensional Energy Poverty Index (MEPI), developed by Nussbaumer et al. [21], provides an essential tool for measuring the deprivation of access to modern energy services. It can help identify the barriers faced by vulnerable populations during the energy transition. This is complemented by studies exploring social impacts, which stress that the social dimension of energy transitions is often overlooked, necessitating further research to create comprehensive assessments [22].

Concerning technology, methodologies assessing variable renewables’ role in the energy transition are fundamental. Bompard et al. [23] argue that a holistic evaluation of electricity generation, transmission, and consumption is vital for understanding the multifarious impacts of renewable energy integration. Technological innovations, such as energy storage and hydrogen technologies, have been identified as crucial enablers of low-carbon transitions, allowing for greater flexibility and efficiency in energy use [24].

Economic evaluations are equally critical; frameworks that incorporate cost–benefit analyses of renewable energy investments can provide insights into the financial viability of transition strategies. For instance, Guðlaugsson et al. [25] demonstrate that assessing investment, operation, and maintenance costs is key in analyzing the economic feasibility of transitioning to a decarbonized energy system, reflecting the systematic approach necessary for overcoming obstacles.

This study also conducted a cost–benefit analysis to evaluate the economic feasibility of energy transition proposals. Within the scope of the analysis, renewable energy investments, energy efficiency projects, and smart grid system expenditures for 2024–2035 were compared with the social and economic benefits these investments would create, such as reductions in health expenditures and savings in energy bills. In this context, investment costs were determined first, then direct and indirect savings items were calculated annually. As a result, the total economic and social gains that the energy transition provides in the long term were compared with the initial costs, and a net benefit analysis was presented.

Governance mechanisms must be inclusive and well-structured to tackle the complexities of the energy transition. Developing comprehensive policy frameworks is essential, with well-targeted instruments that can address simple and complex energy efficiency measures [26]. Rösch et al. [27,28] suggest that establishing a Sustainability Indicator System can facilitate the identification of social inequalities and conflicts arising from the energy transition, ensuring that the voices of all stakeholders, particularly distinct communities, are heard in the decision-making process.

It is also vital to leverage collaboration among various parties, including government, businesses, and local communities, to foster a collective understanding and promote energy planning resilience. Wehbi [29] proposes an integrated framework that considers local capacities and aims to build resilience through collaborative governance. Such participatory models can mitigate the dangers of myopic decision-making, enabling a more robust and enduring transition process [30].

This study used the cost–benefit analysis method to evaluate the economic dimension of energy transition. Within the scope of this analysis, the initial costs of renewable energy infrastructure investments (e.g., solar and wind power plants), energy storage systems, and smart grid technologies (health savings, reduced import dependency, increased employment) were compared quantitatively. Türkiye’s 2035 renewable energy targets align with the scenarios proposed by the SHURA [17]. The projections for 2023–2035 reveal the long-term economic sustainability of the energy transition. In addition, social and environmental benefits (reduction of carbon emissions and improved air quality) were supported by qualitative indicator analyses. This approach aims to create a concrete reference for policymakers.

3. Results

Türkiye’s energy system has significantly transitioned in the last two decades, but structural dependencies and inefficiencies still characterize it. While energy demand continues to grow, the supply is mainly dependent on imported fossil fuels, creating a fragile structure in terms of energy security. At the same time, despite the progress made in renewable energy investments, low energy efficiency, high density, and regional imbalances are striking throughout the system.

Table 1. Türkiye Energy Panorama (2023) [14,16,18,31,32].

Indicator	Türkiye	EU Average	Türkiye’s Position Relative to the EU
Renewable Energy Share (%)	42	63	24th place
Energy Density (MJ/$)	6.8	4.1	66% less efficient
Electricity Price ($/kWh)	0.18	0.29	38% cheaper
Energy Supply Security Index	0.62	0.81	23% weaker

Note: The energy density is in MJ/$ (US$ per megajoule). Electricity prices are in $/kWh (US$ per kilowatt-hour).

presents Türkiye’s key energy indicators as of 2023 in comparison with the European Union averages:

Table 1 shows that Türkiye’s fundamental energy indicators lag behind EU averages. Improvements are needed, especially in energy density and supply security. Figure 1 shows the transition trends in Türkiye’s energy resources over the years. While there was an energy portfolio dominated by coal and natural gas in the 2000s, the share of renewable resources such as hydroelectricity, wind, and solar in production has increased in the last decade. However, this increase has not yet radically reduced dependence on fossil fuels. In particular, the ongoing growth in natural gas consumption continues external dependence, threatening energy security.

The transition of energy resources over the years is a critical indicator for understanding the direction and structural dependencies of Türkiye’s energy policies. Figure 1 shows the percentage (%) of shares of primary energy resources (coal, natural gas, hydroelectric, wind, solar, and geothermal) in electricity production from 2000 to 2023.

Figure 1 shows that although the share of renewable resources is increasing, the weight of coal and natural gas in energy production continues. This situation indicates that the energy transition has not yet been realized at the desired pace. Coal constituted more than 40% of total production in 2000 but remains above 30% in 2023. This decrease has been limited due to ongoing investments in lignite power plants. Natural gas rapidly increased in the 2000s, reaching approximately 45% of production in the 2010s. However, it has been decreasing in recent years (around 25%) due to import costs and the shift to renewable resources. Hydroelectricity fluctuates; it decreases in drought years but generally maintains a stable 20% band. Wind and solar accelerated after 2010, reaching a total share of approximately 15% as of 2023. This increase was realized thanks to private sector investments and Renewable Energy Resource Area (YEKA) tenders. Although geothermal energy is used in limited regions, it is on the rise; as of 2023, it has a share of approximately 3% of the total production. Although this transition reveals a positive trend in Türkiye’s orientation towards renewable energy, fossil resources still constitute the system’s backbone. The weight of coal and natural gas in production contradicts emission reduction targets. Maintaining the rate of renewable capacity increase and popularizing the distributed production model are decisive in breaking this structure.

Türkiye’s energy transition process requires a technical modernization and multi-layered structural transition. In this context, the main obstacles to the transition are classified under four main headings: economic, political, technological, and institutional.

Table 2. Multi-dimensional barriers of Energy Transition [14,16,17].

Obstacles	Economic Dimension	Political Dimension	Technological Dimension	Institutional Dimension
Financing	Investment gap: $5.8 billion/year	Lobby effect—fossil sector pressure	Infrastructure incompatibility—network inadequacy	Lack of institutional coordination
Legislation	Cost-increasing regulations	The election-driven policy cycle	Lack of standardization	Conflict of authority between institutions
Employment	Sectors with high transition costs	Resistance points of local actors	Skills mismatch—green workforce shortage	Weakness of adaptation of the education system

, filled in line with expert opinions, presents these multi-dimensional obstacles systematically.

Table 2 shows that the economic, political, technological, and institutional obstacles to energy transition have a multi-dimensional structure. This multi-dimensionality shows the necessity of holistic policy approaches. Renewable energy projects require high capital in terms of initial investment costs. At the same time, the lack of long-term financing instruments in Türkiye limits these investments. For example, the fact that instruments such as green bonds and carbon credits for the private sector have not yet matured in the market makes it challenging to scale projects. Subsidies granted to the fossil fuel sector are among the most critical structural obstacles to energy transition. Lobbying activities disrupt the implementation of renewable energy policies; energy policies are sacrificed to populist tendencies during election periods. The current energy infrastructure (especially grid systems) has not been restructured to support distributed production and two-way energy flow. In addition, low capacity in the domestic production of technological products increases external dependency and feeds foreign exchange pressure. Many public institutions are involved in the energy field, but their lack of coordination slows policy production and implementation. In addition, the fact that the vocational education system has not been updated in line with green skills makes workforce transition difficult.

Türkiye’s energy consumption varies by sector, with the industrial and residential sectors particularly prominent in energy consumption. Figure 2 visualizes the percentage (%) of the sectors in which total energy consumption across the country is concentrated.

Figure 2 shows the dominant role of the industrial sector in total energy consumption and reveals that energy efficiency investments should be the priority target.

More than half of Türkiye’s energy consumption originates from the industrial sector. This situation demonstrates the importance of energy efficiency investments and industrial transition. Households and residential areas consume approximately one-third of total energy. Energy efficiency and renewable energy used in residential areas should continue to be encouraged. The transportation sector has a significant share, especially in fossil fuel consumption. Other sectors constitute a small portion of total consumption but offer potential areas where new sectors can develop for the future energy transition. The distribution between these sectors is critical in determining energy transition strategies. Transition in the industrial and transportation sectors can significantly affect energy demand.

Regional energy inequality shows the differences in the use of energy resources and the unequal distribution of energy potential among various provinces of Türkiye. Figure 3 visualizes the regional differences between solar and fossil fuel consumption. Türkiye’s fossil fuel dependency on electricity generation leads to price fluctuations of imported resources [33] and supply security risks [34]. On the other hand, the domestic potential in renewable energy (e.g., up to 2200 kWh/m²-year in solar energy) offers a strategic opportunity for energy independence (see Figure 3).

Figure 3 emphasizes that renewable energy investments should be increased in regions of Türkiye with high solar potential. On the other hand, fossil fuel-dependent regions need fair transition policies.

The southeast and south of Türkiye have considerable solar energy potential due to the high number of sunshine hours. However, solar energy investments must be increased to utilize this potential fully. Fossil fuel consumption is higher in the Black Sea and Marmara regions, and energy transition processes in these regions should be shaped by considering local economies. The gap between areas with high solar and wind energy potential and regions more dependent on fossil fuels is an essential point that policymakers should pay attention to. This inequality emphasizes the need for local development policies and support to ensure a fair energy transition.

To accelerate Türkiye’s energy transition and move towards a sustainable future, a series of strategies spread over different periods have been developed. The strategies outlined in

Table 3. Integrated energy-transition package [17].

Time	Policies	Economical Vehicles	Institutional Arrangements	Social Supports
Short Term	Removal of coal subsidies	Issuance of green bonds	Reform of the Ministry of Energy	Cooperative support
Medium Term	Establishing 100% renewable OSBs	Carbon pricing and trading	Empowerment of local governments	Professional transition programs
Long Term	Passage of net-zero legislation	Sustainable investment incentives	Independent regulatory body	Energy democracy education

aim to take immediately applicable steps with short-term solution proposals and focus on long-term structural transition.

Considering the current legal and institutional infrastructure in the short term, the most urgent and feasible steps are removing coal subsidies, developing green bond markets, and supporting energy cooperatives. These steps can be implemented quickly and directly contribute to the energy transition. In the medium term, establishing 100% renewable energy infrastructure in organized industrial zones and implementing carbon pricing mechanisms are targeted. In the long term, structural reforms such as adopting net-zero emission laws and establishing an independent energy regulatory authority are envisaged.

Türkiye should remove subsidies to the coal sector to ensure energy security and reduce fossil fuel dependency. This ensures that renewable energy sources are competitive and reduces the economic attractiveness of fossil fuels. Increasing green bonds to finance renewable energy projects is an effective tool to attract investors. Türkiye can make this area more attractive by supporting the growth of the green financing market. A reform process should be initiated to coordinate regulations in the energy sector and create a structure based on transparency. These reforms should aim to integrate sectoral units and encourage greater participation in the policy process. Supporting local cooperatives can encourage public participation in energy production. This can increase both regional development and diversification in energy production.

The establishment of facilities operating solely on renewable energy should be encouraged in organized industrial zones. Such projects can accelerate the industry’s transition to clean energy and reduce the sector’s carbon footprint. Türkiye should establish a price mechanism for carbon emissions and initiate a carbon trading system. This encourages emissions reductions and guides the transition to clean energy in a way that is not costly to the industry. Local governments should be able to manage regional energy transitions more effectively. This enables the most efficient use of energy production potential and rapid action at the local level. Vocational training and development programs should be provided to transform the workforce working in the energy sector. An education program is needed to accelerate the transition from fossil fuels to renewable energy sectors.

Türkiye should adopt a net-zero emissions law for a long-term energy transition. This law ensures that carbon neutrality targets are set in all sectors and encourages sustainable energy investments. Tax reductions, incentives, and subsidies should be offered for green investments. This directs investors and companies to clean energy projects and increases renewable energy production capacity in the long term. An independent institutional structure should be established to oversee the supervision and regulation in the energy sector. This ensures transparency and fair market conditions. Raising public awareness about energy policies increases their participation and social support. To this end, education programs on energy democracy and renewable energy should be organized locally.

Figure 4 compares the costs of the proposed transition strategies between 2024 and 2035 and the health and savings gains to be achieved during this period. The investment costs for energy transition include the capital expenditures required to establish renewable energy infrastructures, energy efficiency projects, and other transition strategies. The health and economic savings achieved by the end of the energy transition are remarkable. Using renewable energy sources reduces air pollution and related health expenditures. In addition, energy efficiency projects save households and businesses’ energy bills. Although high investment costs are expected initially, these costs decrease over time and reach much lower levels in the long term. The installation costs of renewable energy infrastructures decrease as the technology matures and production processes become more efficient. Figure 4 shows that despite the high initial costs, the total benefits exceed the investment costs by 2035. This reveals that the energy transition is economically sustainable for Türkiye and provides social benefits in the long term.

The cost–benefit analysis conducted in this study compares the initial investment costs of Türkiye’s energy transition strategies for 2024–2035 with the long-term social and economic returns. As seen in Figure 4, high capital investments are required for renewable energy infrastructures and energy efficiency projects in the first years. However, energy efficiency savings and health cost reductions due to air pollution show their effects over time. After 2031, the total benefits exceed the total investment costs. This analysis reveals that although the energy transition creates a financial burden initially, it provides a net economic and social gain in the medium and long term.

Figure 4 shows that although there are high investment costs in the short term, total net gain is achieved in the long term thanks to energy savings and decreased health expenditures.

Türkiye should establish a multi-stakeholder Energy Transition Council to manage the energy transition more efficiently and inclusively. The proposed Energy Transition Council is designed as a multi-stakeholder structure that includes central government representatives, local governments, private sector actors, academics, civil society organizations, and energy cooperatives. The functioning of the Council is based on the principle of representative participation; representatives from each stakeholder group (e.g., relevant ministries, chambers of industry, energy associations, and universities) are selected according to specific criteria and included in the Council membership. Decisions to be taken in the Council are determined by a voting system based on the simple majority principle, and the decisions are submitted to the government as recommendations. Thematic sub-working groups (e.g., renewable energy, energy efficiency, financing, and social impact) are established within the Council to ensure that energy transition projects are carried out within the framework of transparency, inclusiveness, and just transition principles. This structure aims to establish an inclusive and balanced governance model, thus ensuring the active participation of different interest groups and increasing the transition process’s social legitimacy. This Council brings together stakeholders such as government institutions, the private sector, academia, and civil society organizations, enabling the transition process to be guided correctly. A National Renewable Energy Fund should be established to implement renewable energy projects rapidly. This fund should be directed particularly to local projects and small-scale renewable energy investments.

In addition, increasing green financing instruments directs investors to renewable energy and overcomes financing barriers. Green bonds, social responsibility projects, and sustainable investment funds are essential tools. The energy transition process can create a problematic period for regions economically dependent on the coal sector. Therefore, just transition policies should be developed. Special development programs should be made for areas where coal mines are located, and labor transition programs and re-employment opportunities should be provided. This process ensures that local people are not negatively affected by social and economic transitions. It is suggested that R&D expenditures be increased to 2% of GDP to increase technological innovations in the energy sector. This accelerates the development of new energy efficiency technologies and renewable energy sources. In addition, it is vital to invest in domestic innovative technologies so that Türkiye can be competitive in the global energy market. This creates opportunities not only for the domestic market but also for foreign markets.

We can consider Spain as a model country that has been successful in energy transition and has an economic structure similar to Türkiye. Spain has achieved great success in renewable energy in recent years. It has taken essential steps in transitioning to sustainable energy by reducing its dependence on fossil fuels. Spain is particularly notable for its investments in solar and wind energy. Since the early 2000s, policies and incentives have been developed to reduce fossil fuel dependency to a large extent, and as of 2020, the share of renewable energy in electricity production has exceeded 40%. This rate is a critical reference, considering that most of Türkiye’s energy is still obtained from fossil fuels. The Spanish government has offered various green incentives to support the energy transition, providing tax breaks and subsidies for renewable energy projects. Such incentives have helped accelerate investments and increase renewable energy capacity. Spain has adopted the European Union’s carbon pricing system and developed a comprehensive strategy to achieve its emissions reduction targets. In addition, necessary steps have been taken to close coal-fired power plants and transition to clean energy in line with carbon emission reduction plans. Spain has seen the energy transition as an environmental goal and an opportunity to reduce social inequalities and increase economic prosperity. Various training and re-employment programs have been organized to integrate the workforce into clean energy sectors, especially in coal-producing regions.

Spain’s rapid increase in solar and wind energy investments [31] is similar to Türkiye’s high solar potential and increasing private sector investments. Spain’s regional incentive policies and grid modernization strategies indicate that Türkiye should develop similar policies, especially in solar energy-intensive regions (Southeast Anatolia and the Mediterranean).

Türkiye’s energy transition process contains unique structural challenges and opportunities compared to different countries’ experiences. For example, Germany has reached over 50% renewable energy capacity with high public support and comprehensive renewable energy incentives (Energiewende). Spain has increased its solar energy investments and reached a 43% renewable share in electricity generation in 2020. Denmark provides approximately 50% of its electricity needs from wind with integrated wind energy systems. In contrast, countries like Poland are progressing more slowly in the transition due to their high dependence on coal. Considering Türkiye’s young population, high solar potential, and growing energy demand, lessons can be learned from the policies of countries such as Germany and Spain, which prioritize renewable energy investments. However, essential inferences can also be drawn from the example of Poland regarding the obstacles that may be encountered due to its coal-based structure.

Renewable energy production costs decrease over time with technological advances and economies of scale. For example, it has been observed that the cost of wind energy has reduced by around 50% compared to 10 years ago. Imports of fossil fuels constitute a significant cost item for countries dependent on energy imports, such as Türkiye. With the transition to renewable energy, import dependency decreases. As renewable energy use increases, foreign exchange savings are achieved, thus reducing dependency on natural gas imports. Air pollution and health problems caused by fossil fuels decrease significantly with the transition to renewable energy. For example, annual savings of 3–5 billion USD can be achieved in health expenditures due to air pollution.

The long-term benefits of energy transition are much more evident in environmental, economic, and social terms. In the long term, energy transition savings and efficiency gains can recover initial costs and generate more profit (see

Table 4. Energy transition cost and benefit comparison [14,16,17,18].

Cost/Benefit Category	Start-Up Costs	Medium-Term Savings/Benefits	Long Term Benefits
Renewable Energy Infrastructure Investments	Solar energy: 1,000,000 USD per MW, Wind energy: 1,300,000 USD per MW	50% reduction in investment costs, reduction in production costs	Reducing renewable energy production costs, energy independence
Energy Storage and Smart Grids	Smart grid technology and energy storage infrastructure investments	Effective use of smart grids, increased energy efficiency	Supply security and efficiency increase with grid integration
Fossil Fuel Import Costs	High import dependency, payments made in foreign currency	Up to 20% annual savings on natural gas imports	Reducing import dependency, saving foreign exchange
Healthcare Costs	Health costs caused by air pollution and fossil fuels	Improved air quality, 15–20% reduction in healthcare costs	Significant decrease in health problems, saving 3–5 billion USD per year
Job Creation	-	More than 100,000 new job opportunities in the renewable energy sector	Green economy growth and sustainable workforce creation
Environmental Benefit (Carbon Emission)	High carbon emissions, environmentally damaging fossil fuel use	Up to 30% reduction in carbon emissions	Net-zero emissions target, environmental sustainability
Renewable Energy Share	42% (2023)	55% (2030)	65% (2035)

). Renewable energy sources eliminate the country’s external dependency by reducing import dependency and saving foreign exchange. The renewable energy sector creates new job opportunities. Reducing carbon emissions slows global warming, contributes to the fight against climate change, and helps prevent natural disasters [7].

The cost–benefit analysis conducted in this study covers the financial and social impacts of investments in Türkiye’s energy transition between 2024 and 2035. In Table 4, an initial cost of approximately 1 million USD is anticipated for a 1 MW solar energy investment and 1.3 million USD for a 1 MW wind energy investment. However, it is calculated that these investments can reduce energy bills by 20% and health expenditures due to air pollution by 15%. The analysis results show that the total benefits exceed the investment costs by 120% as of 2035. In addition, an 18% improvement in energy independence and a 30% reduction in carbon emissions are expected. The cost–benefit analysis of energy transition strategies also shows that if the renewable energy share is increased to 65% by 2035 according to the SHURA [17] scenarios, the initial investments can be offset by health savings (USD 3–5 billion per year) and energy independence (20% reduction in import dependency) in the long term (see Table 4).

Türkiye’s challenges in the energy transition are not limited to local dynamics; many countries worldwide have similar problems. Türkiye’s situation is comparable to the experiences of other countries, especially in terms of fossil fuel dependency, infrastructure deficiencies and financial barriers (see

Table 5. Challenges encountered in energy transition in Türkiye and other countries [14,16,17,18].

Country	Dependence on Fossil Fuels	Infrastructure and Technological Barriers	Financing and Investment Issues	Social and Economic Challenges	Environmental and Political Resistance
Türkiye	High dependency on coal and natural gas	Lack of renewable energy infrastructure	Lack of investment and high costs	Job losses and resilience in the coal sector	Legislative and political uncertainties
India	70% coal-fired electricity production	Inadequacy of renewable energy infrastructure	Low investment rates, financial difficulties	Coal-related labor transition issues	High coal producer lobby influence
Poland	High coal dependency	Technological shortcomings in the transition to renewable energy	Investments in renewable energy are low	Local workforce change and resilience	Resistance to EU policies
Chinese	High coal usage	Disorganization of renewable energy infrastructure	Lack of investor confidence, high costs	Socio-economic inequality and job losses	Policies of local governments in favor of coal
South Africa	Coal-based energy production	Renewable energy infrastructure is lacking	Insufficient financing, difficulties in attracting foreign investment	Electricity prices, poverty and job losses	Strong local lobby in the coal sector

). Despite significant energy demand and a rapidly growing economy, India faces many challenges in the energy transition process. India has a high dependency on fossil fuels, especially coal. India generates approximately 70% of its electricity from coal.

The transition to renewable energy poses a significant obstacle to reducing this dependency. The lack of infrastructure and financial investment for this transition in India’s energy sector poses a critical problem. Renewable energy investments in India rely heavily on government subsidies and low-interest credit mechanisms. However, it has been challenging to gain investors’ trust.

India’s high coal dependency and infrastructural challenges in the energy transition [35] constitute a vital reference for Türkiye, which is also highly dependent on coal and natural gas. India’s deficiencies in financial incentive mechanisms reveal the need for Türkiye to develop alternative financing instruments, such as green bonds and carbon pricing.

The energy transition also poses a significant threat to the local workforce. The transition of millions of people working in coal-related jobs to the new energy sector creates social and societal challenges. Poland is one of the largest coal producers in the European Union and faces serious challenges in its energy transition. Poland generates most of its energy from coal, a significant obstacle to its transition. The country must consider job losses in the coal sector and the associated social impacts. The transition to renewable energy investments could threaten the country’s energy supply security. Poland’s energy transition struggles with uncertainties regarding the transition from coal to renewables. Energy policies in Poland are squeezed between the government’s desire to protect its coal industry and the EU’s carbon reduction targets, which are delaying the transition. Despite being the world’s largest renewable energy producer, China still significantly depends on fossil fuels in its energy transition. While China is investing heavily in increasing its renewable energy production, it is also struggling to reduce coal use. Coal use continues, especially in the northern and western regions. Renewable energy infrastructures are concentrated in the country’s west.

In contrast, energy demands in the eastern areas are met mainly by coal. This creates significant inequalities in infrastructure and distribution lines. China aims to achieve carbon neutrality by 2060. However, the social, economic, and political pressures associated with coal and other fossil fuels pose a significant obstacle to achieving this goal. South Africa has one of the greatest potential countries in the African continent to transition to renewable energy.

However, there are serious structural barriers to the country’s energy transition. South Africa generates most of its energy from coal, making it difficult to transition to renewable energy. The government must take into account that the loss of jobs in the coal industry and renewable energy projects may be incompatible with the lifestyles of the local population. Investment in renewable energy is mainly inadequate, and the lack of financing hinders the transition process. High electricity prices are a significant obstacle for people with low incomes. In addition, integrating the coal sector workforce into new sectors is a major social problem.

The social justice problems experienced by South Africa in the energy transition process (high unemployment, increase in electricity prices) [36] also offer critical implications for Türkiye. In Türkiye’s energy transition process, only transition programs (employment support, education programs) should be planned, especially in coal regions (such as Zonguldak). Otherwise, social resistance may slow down the energy transition.

Energy transition is a technical, economic, social, and administrative process. This transition should be a process in which everyone contributes and should be supported by fair and sustainable policies. In developed countries, the practices critical to accelerating the energy transition and ensuring a more equitable transition are listed in

Table 6. Positive energy transition examples and success elements [17,31].

Country	The Element of Success	Implemented Policies and Solutions	Conclusion
Germany	Renewable Energy Incentive Policies	Renewable Energy Act (EEG)—Subsidies for solar and wind energy projects	More than 50% renewable energy capacity has been achieved. There has been significant financial and social support for the energy transition (Energiewende).
Denmark	Integrated Renewable Energy Systems	Increasing wind energy investments—Integration of electricity and heating systems	Wind energy is a leader worldwide. 50% of electricity consumption is met by wind energy.
Spain	Innovative Energy Storage and Grid Integration	Solar energy storage projects—Installation of smart grid systems	The grid integration of renewable energy systems has been successfully achieved. Solar energy production has increased by 50%.
India	Just Transition and Social Inclusion Policies	Local energy cooperatives and community-supported renewable energy projects—Employment and training supports	500 GW renewable energy target by 2030. Integration of local people into the transition process has been ensured.
Norway	Electric Vehicle and Zero Emission Policies	Tax reductions for electric vehicle purchases—Expansion of electric vehicle charging infrastructure	Electric vehicles account for more than 50% of vehicle sales. Fossil fuel use has been dramatically reduced.
Chinese	Energy Storage and Technological Innovation	Investments in advanced battery and storage technologies—Acceleration of renewable energy investments	It has become the world’s largest producer and consumer of solar energy. Its storage capacity is targeted to be doubled by 2025.
France	The Politics of Contest and Carbon Pricing	Carbon pricing system—Low carbon policies based on nuclear energy	France has achieved its low carbon emissions targets. Carbon pricing and emissions trading systems have been successfully implemented.

.

The growth of the electric vehicle market in Türkiye has accelerated, especially in recent years, with increasing environmental awareness and government incentives. Although the number of electric vehicles in Türkiye has increased rapidly as of 2022, this rate is still low. However, it is observed that demand is gradually growing. Türkiye’s young and technologically inclined population can contribute to the increase in demand for electric vehicles. In addition, the environmentally friendly and low-cost features of electric cars may attract the attention of the young population in cities. The charging infrastructure needs to be expanded for electric vehicles to become widespread. Türkiye must rapidly increase the number of charging stations so that electric cars become widespread. Although some steps are being taken in this regard, they have not yet reached a sufficient level. Tax incentives and VAT reductions for electric vehicles can increase the market’s growth. Türkiye needs to increase similar practices to encourage the purchase of electric cars. The costliest component of electric vehicles is the battery. Türkiye should invest in battery production and increase domestic production in this area. Considering Türkiye’s sustainable energy transition in general, the transition of the entire energy sector and electric cars is expected to have significant environmental, economic, and social impacts (see

Table 7. Expected environmental improvements with sustainable energy transition in Türkiye [14,16,17,18].

Recovery Category	The Current Situation	If the Target Is Reached	Expected Change (%)
Carbon Dioxide (CO2) Emissions	Annual CO2 emissions of 120 million tons (2023)	30% reduction (36 million tons per year reduction)	−30%
Particulate Matter (PM2.5) Level	15 µg/m3 (average, in big cities)	25% decrease	−25%
Nitrogen Oxide (NOx) Emission	At high levels (in the city)	20% decrease	−20%
Carbon Monoxide (CO) Level	0.5–1.0 ppm (city centers)	15% decrease	−15%
Air Quality Index (AQI)	150+ (Bad, heavy pollution)	Between 50–75 (Good–Medium)	+50% (healing)
Healthcare Cost	High respiratory and cardiovascular diseases	10–15% reduction	−10%
Water Consumption (Hydroelectric)	35% hydroelectric energy production	45% hydroelectric power generation	+10% (increase)
Renewable Energy Share	42% (2023)	65% (2035)	+23%
Loss of Electrical Energy	15% energy loss (2023)	8% energy loss (2035)	−7%

).

This study has revealed the structural obstacles in Türkiye’s energy transition process from a multi-dimensional perspective and contributed to the literature and policy-making processes in this field by developing solutions. The findings of this study necessitate three critical policy actions in Türkiye’s energy transition: (1) Improving the legal infrastructure for renewable energy cooperatives [20], (2) Establishing a ‘Fair Transition Fund’ for retraining the workforce in coal regions [15], and (3) Expanding financial incentives such as VAT reductions on energy efficiency investments [37]. These measures balance the economic costs of the transition while minimizing social resistance.

4. Discussion

Türkiye, which meets many of its energy needs through imports, has to cope with complex dynamics in international relations while struggling to ensure energy security [34]. The effectiveness of Türkiye’s energy security policies has developed in parallel with the use of renewable energy sources in recent years [38]. However, for these policies to be successfully implemented, the legal and regulatory framework must be strengthened [39].

On the economic level, the financial resources and incentives that Türkiye needs to invest in renewable energy technologies constitute a significant obstacle. For example, the effectiveness of support mechanisms in renewable energy production can positively affect Türkiye’s energy transition [37]. However, ensuring transparency in energy prices is vital to increase Türkiye’s energy market efficiency and reduce dependence on fossil fuels [33].

Compared to global scenarios, the energy transition landscape presents a complex interplay of political, economic, and social dimensions, especially in Türkiye. Structural obstacles to energy transition include regulatory frameworks, monetary constraints, technological barriers, and sociocultural factors. We can suggest future directions for energy transition studies by investigating these obstacles alongside holistic solutions.

In Türkiye and globally, energy density and intermittency issues have hampered the integration of renewable energy sources like solar and wind. Franco and Giovannini [40] highlight the challenges faced when harnessing renewable energy, particularly in hard-to-abate sectors, where renewables’ low energy density complicates their role in a sustainable energy transition. This necessitates a robust infrastructure for energy storage and efficient distribution to alleviate the impacts of variability in supply [35]. Globally, similar patterns emerge, where fluctuating energy outputs from renewables lead to reliability issues, making it imperative for energy systems to adapt to these demands and uncertainties [41].

Economically, financial and investment barriers often limit the transition to renewable energy. For instance, Nwobodo et al. [42] emphasize that sustainable energy investments face significant challenges from policy uncertainty and financing constraints, inhibiting growth in the sector. In Türkiye, the economic landscape mirrors this, with investments in renewable technologies hindered by a volatile market and uncertain returns, reducing stakeholders’ willingness to invest further. The EEG feed-in tariffs in Germany, discussed by Ruppert-Winkel and Hauber [43], illustrate how supportive economic policies can foster energy self-sufficiency, suggesting a potential pathway for Türkiye. Thus, a multi-faceted approach, including innovative financing models and supportive policy frameworks, is essential for overcoming economic hurdles.

On the other hand, the cost–benefit projections presented in Figure 4 suggest that renewable energy investments produce net gains exceeding their initial costs by 2035. Although high investment costs occur in the first years, a net economic gain is achieved after 2031 thanks to reduced health costs and energy savings. This reveals that energy transition is an environmentally and financially rational policy choice. Therefore, the proposed strategies support economic growth and increase social welfare. In particular, the contribution of health savings ($4.2 billion per year) and employment growth (100,000 new jobs per year) to Türkiye’s unemployment (10.2% [18]) and current account deficit (5.1% of GDP) problems is striking. These findings are consistent with Germany’s energy transition experience in the 2008–2023 period [38].

Social dimensions also play a crucial role in the energy transition process. Public perception and engagement are fundamental to the implementation of energy transition initiatives. Chmutina and Goodier [44] point out that social barriers impede energy project success, including public apathy and misinformation. This resistance to new technologies and skepticism towards renewables are prevalent in Türkiye and the global context. Moreover, culturally ingrained practices regarding energy utilization can slow the adoption of sustainable practices, necessitating focused public education and community involvement efforts [44].

Holistic solutions must address these structural challenges by fostering an interdisciplinary approach incorporating technological, financial, and sociocultural perspectives. For instance, integrating advanced systems for energy management, such as AI and predictive analytics, can enhance the efficiency and reliability of renewable energy systems [45]. Additionally, decentralized energy systems allow local communities to manage their energy needs while reducing reliance on national grids [46]. Promoting educational initiatives surrounding renewable technologies can empower communities to engage more actively in the energy transition [47].

Public awareness of energy policy and consumption habits need to be increased in Türkiye. Studies show the impact of increasing public awareness of renewable energy use [48]. In addition, the participation of local communities and businesses in energy transition processes is necessary for successful applications [49].

To overcome various restrictions in the future and accelerate the energy transition, the proposed solutions include developing international cooperation, encouraging domestic technologies, increasing public-private sector cooperation, and raising social awareness through educational programs. In this context, developing renewable energy sources and focusing on growth strategies is essential [50]. In addition, adopting the hydrogen economy plays a vital role in energy transition processes [51].

The share of renewable resources in Türkiye’s energy production is around 42%. The 2035 target aims to increase this rate to 65%. This increase ensures less fossil fuel use and less environmental damage. Increasing the capacity of hydroelectric power plants provides more efficient use of water resources. In contrast, cleaner resources are used in energy production. In addition, energy efficiency strategies reduce production losses by 8%.

Moreover, integrating digital technologies and big data into energy systems presents significant potential. The application of big data can optimize energy production and distribution, as discussed by Cai et al. [52].

In an extensive study of the Flemish energy transition, Laes et al. [53] argue that a holistic approach, encompassing techno-economic, innovation, and systemic perspectives, provides a comprehensive understanding of the challenges faced in transitioning to a low-carbon energy system. Krishankumar and Pamučar [54] demonstrate that understanding the ranking of barriers through a multi-criteria decision-making approach allows policymakers to prioritize initiatives effectively, further supporting the integration of clean energy solutions. The economic dimension is echoed in the work of Lukashevych et al. [55], who discuss the necessity of financial support to manage variability in renewable energy sources, underpinning stability within the supply chain.

Energy transition in Türkiye is intertwined with social inequalities. For example, the closure of coal mines triggered unemployment in regions such as Zonguldak [15], while unlicensed solar energy incentives strengthened energy democracy in rural areas [20]. This dual structure reveals the urgency of ‘just transition’ mechanisms.

Yang [56] identifies that sociocultural attitudes towards renewables can significantly impede progress in countries like Germany, which, despite being leaders in energy transition (Energiewende), face growing skepticism and policy inertia. This highlights the need for educational initiatives that enhance public awareness and acceptance of renewable technologies.

Digital transition presents both challenges and opportunities in the energy sector. Holistic proposals for overcoming structural barriers must thus incorporate these multi-faceted perspectives. For instance, Cherp et al. [57] propose a meta-theoretical framework that integrates techno-economic, socio-technical, and political dimensions, providing a structured method to analyze and facilitate national energy transitions. This approach enables stakeholders to identify key leverage points within complex energy systems, fostering tailored solutions that reflect local needs and conditions.

4.1. Methodological Limitations

This study has some limitations. In the analyses, mainly macro-level data [14,16,17] were used, and detailed data analysis could not be done at the micro-scale (regional or sectoral level).

There are certain limitations in cost–benefit analysis due to the nature of estimates based on long-term projections. Analysis results are sensitive to changes in basic assumptions such as energy prices, discount rates, technological developments, and policy interventions. For example, volatility in global fossil fuel prices or slower-than-anticipated diffusion of renewable energy technologies can significantly affect expected cost savings and emission reduction potential. In addition, macroeconomic shocks such as exchange rate fluctuations and inflation can directly affect investment returns and project feasibility. Therefore, the analyses performed are scenario-based assessments under certain assumptions and should not be interpreted as absolute predictions. In this context, conducting sensitivity analyses for basic inputs is critical in testing the robustness of the model and providing more reliable guidance to policymakers.

4.2. Comparative Limitations: Global Context

The experience of various countries indicates that the transition is not only about technology but also about social acceptance and the political landscape. The Brazilian case, examined by Werner and Lázaro [58], illustrates the critical role of supportive policies in promoting renewable energy between 2000 and 2022. Without stable and comprehensive policy frameworks, initiatives can become fragmented, leading to stagnation in progress [58]. The Brazilian experience suggests that effective governance is essential in aligning stakeholder interests toward the goal of energy transition. For example, Germany’s “Energiewende” process has mainly been successful thanks to strong political commitment, high public support, and comprehensive incentive mechanisms. Brazil has also made significant progress in the renewable energy transition by using its hydropower potential.

In contrast, in countries with high coal dependency, such as Poland, the transformation process is slower, and factors such as social resistance and economic dependencies make the transformation difficult. Similarly, South Africa has difficulty transforming due to inequalities in energy infrastructure and the lack of financing. These examples show that the energy transition should be addressed in technical, socio-political, and economic contexts.

4.3. Future Research Directions

Many regions, particularly those reliant on fossil fuels, struggle to secure the investments needed to facilitate a shift to renewable energy. This creates a need for future studies to explore effective financial strategies supporting transition in economically vulnerable regions. Güler et al. [59] emphasize these disparities in renewable resource utilization and link economic growth, investment levels, and unemployment rates as pivotal factors influencing energy transition across OECD countries. They argue systemic imbalances persist without proactive measures aligning financial resources with renewable energy capacities [59]. In the Chinese context, Jia et al. [60] note that financing has been a significant challenge in achieving energy structure transition, highlighting the positive correlation between financial openness and the capability to transition to diverse energy sources. Effective financing models encompassing public–private partnerships could be pivotal in overcoming these barriers.

Moreover, existing energy policies often remain inflexible, lacking the adaptability needed for an effective transition. Structures within electric power systems can impede innovation and responsiveness to new energy technologies. Voropai [61] discusses how traditional power systems are ill-equipped to accommodate modern technologies, which could streamline efficiency and flexibility.

Digital technologies have the potential to enhance efficiency and resilience in energy systems, as discussed by Nazari and Musílek [62], who highlight the importance of addressing cybersecurity and workforce changes that accompany digital innovation. Similarly, Światowiec-Szczepańska and Stępień [63] reveal that digitalization can drive improvements across the energy sector, emphasizing the need for managerial adaptation to leverage these technological advancements effectively.

Holistic solutions must be considered to address these challenges. As proposed by Švažas and Navickas [64], the decentralized development of energy systems may provide a framework for localized energy governance, enabling regions to tailor solutions to their specific circumstances. This approach can promote community engagement and ownership of renewable projects, potentially enhancing public support and participation in energy initiatives [64].

In future studies, it is vital to examine regional energy transition potentials in more detail, to evaluate the effects of local initiatives such as energy cooperatives, and to analyze the role of developing technologies such as hydrogen energy and battery technologies in Türkiye’s transition process. In addition, a more in-depth study of social acceptance processes and the social effects of just transition policies increases the sustainability of the transition. Moreover, it is important to collect and analyze more empirical data on the social dimension of energy transformation in future research. The functioning of grassroots mechanisms such as energy cooperatives, citizen energy initiatives, and participatory governance models that enable local people to participate in the process should be examined in depth in order to increase social acceptance and ensure a fair employment transition. Field-based studies on the applicability and impacts of such mechanisms in Türkiye will strengthen the social sustainability of the transformation process.

5. Conclusions

This study is one of the rare studies that simultaneously evaluates economic, social, and political dimensions by providing a holistic view of Türkiye’s energy transition process. While the existing literature generally focuses on technical or economic aspects, this study adopts a comprehensive methodological approach, including cost–benefit analysis. It addresses the energy transition’s long-term social and economic impacts. In addition, the proposed solution strategies are adapted explicitly to Türkiye’s unique structural conditions (high energy dependency, young population, and regional inequalities). In this respect, the study provides theoretical and practical contributions to the field of energy policies.

Addressing the structural obstacles to energy transition requires a comprehensive understanding of the interplay between economic, technological, and social factors. The integration of digital solutions, along with policy reform and public engagement, constitutes a cohesive strategy to facilitate the transition towards sustainable energy systems. Continued research and collaboration across disciplines are crucial in realizing the ambition of a low-carbon future.

Türkiye’s overall sustainable energy transition provides significant environmental benefits. The increase in renewable energy sources, less dependence on fossil fuels, and the spread of energy efficiency policies reduce carbon emissions and air pollution. This transition is expected to provide significant environmental and health benefits to Türkiye in the long term. Energy efficiency investments and renewable energy use significantly reduce energy consumption costs in the long term. This reduces the state’s energy bills and allows individuals to reduce expenditures. In addition, with a sustainable energy transition, Türkiye can become stronger in the national and global energy markets.

Türkiye’s energy transition strategies are critical in national development goals, combating global climate change, and achieving a low-carbon economy. In this context, the development of green bond markets, the activation of carbon pricing mechanisms, and the implementation of just transition programs constitute the fundamental building blocks of a sustainable energy transition process. Türkiye’s increase in renewable energy investments and support for energy efficiency provides environmental and economic gains in the long term.

Renewable energy and energy efficiency policies are expected to reduce carbon emissions by up to 50%. Türkiye can achieve global climate targets by reducing fossil fuel use. The increase in renewable energy production facilities and the closure of fossil fuel power plants significantly reduce nitrogen oxide and particulate matter emissions. This leads to a significant improvement in air quality.