Syria has taken an important step toward rebuilding its electricity system through the signing of final concession agreements for eight new power projects. The Ministry of Energy hosted the ceremony in Damascus, where the contracts were signed with a global consortium led by Urbacon Holding. The group includes Kalyon G.I.S. Energy, Cengiz Energy, and Power International (USA). Together, they will deliver 5,000 megawatts of new capacity. The projects follow the MoU of 29 May 2025, which outlined the technical and financial framework. After that, the parties completed field surveys, engineering checks, and design studies. This helped create a clear path for immediate construction. The wider region has also seen rising interest in PPP models for energy, and Syria is now adopting similar tools. As a result, the launch of Syria Energy Expansion Agreements signals a shift toward structured private participation.
The agreements include four gas-fired combined-cycle plants and four major solar power projects. The gas plants will be located in North Aleppo, Deir Ezzor, Zayzoun, and Mhardeh. Their combined capacity will reach 4,000 megawatts. Additionally, the solar projects will add another 1,000 megawatts across Widian Al-Rabee, Deir Ezzor, Aleppo, and Homs. These facilities will support faster grid recovery, especially during peak hours. Moreover, the use of modern turbines will help improve efficiency while reducing fuel use. Many developing countries rely on PPPs to upgrade aging energy networks, and Syria is applying similar approaches. This mirrors international examples where private operators take on long-term responsibilities for performance and maintenance. The involvement of leading global firms will also help raise engineering and operational standards.
The Ministry of Energy expects the new plants to reduce shortages that have affected factories, farms, and service providers. Stable electricity can lower operating costs and help businesses plan production more effectively. It also supports new investment in manufacturing and agriculture. Thousands of jobs will appear during construction and installation. Many local suppliers will gain opportunities in logistics, civil works, and equipment supply. Furthermore, clean-energy plants can reduce fuel spending and improve cost predictability for the national grid. Several countries have already seen similar benefits through energy infrastructure PPP programs. Turkey, Vietnam, and Pakistan expanded their grids using concession models that balanced risks and ensured steady operations. Syria aims to follow these examples by adopting clear governance structures and technical oversight. With this approach, the country hopes to strengthen investor confidence.
The consortium will support national capacity-building by training engineers, technicians, and operators. These programs will focus on safety, digital systems, and efficient plant management. This will help Syrian teams manage sites independently in the coming years. The agreements also establish a structured PPP governance framework for monitoring output, quality, and performance standards. Such arrangements match global best practices used by IFC-supported projects in emerging markets. In addition, the integration of solar plants shows Syria’s willingness to align with global energy-transition trends. Many countries in Asia and Africa have used PPPs to scale renewable capacity, reduce emissions, and attract foreign investment. Syria now plans to apply these lessons in power, water, transport, and industrial infrastructure. This will support predictable returns and long-term planning. With stronger institutions and more transparent systems, the country can unlock new sectors for private participation.
