Turkey has blocked approval of a €27 billion ($30.8 billion) overhaul of NATO’s military fuel network, demanding that projects on Turkish territory receive priority funding, Politico reported on Tuesday, citing two alliance diplomats.
Ankara withheld its support at a meeting of ambassadors from NATO’s 32 member countries last week, despite a provisional compromise reached earlier this month, according to the diplomats, who spoke anonymously because the discussions are classified.
Since NATO makes decisions by consensus, Turkey’s objection prevents the alliance from formally approving the long-term investment plan.
The project would modernize NATO’s existing fuel storage and distribution infrastructure and extend its pipeline network toward newer member countries on the alliance’s eastern and northern flanks.
The overhaul is part of NATO’s preparations for a possible conflict with Russia and its efforts to improve the movement and supply of forces across Europe.
Turkey is pressing for 21 projects on its territory to be included among those receiving funding during the initial stages of the program, the diplomats said.
A large portion of the money is expected to be allocated during the first five years, making the order in which projects are approved particularly important.
“They just want their projects brought forward, to the detriment of more mature plans in other allies,” one diplomat told Politico. “Of course, Russia is the one happiest with these delays.”
The dispute comes less than two weeks after NATO leaders met in Ankara on July 7 and 8 for a summit hosted by President Recep Tayyip Erdoğan.
At the gathering NATO Secretary-General Mark Rutte announced the investment but acknowledged that its details had yet to be finalized.
“Allies are taking a historic step to enhance NATO’s fuel supply chain to ensure our forces have the energy supplies they need for warfighting readiness,” Rutte said.
“While Allies continue to finalize the details, we know that this 27-billion-euro investment will modernize our existing fuel storage and distribution infrastructure and support new facilities, including pipelines, towards the eastern part of the Alliance.”
NATO’s official overview of the Ankara summit also described the initiative as a €27 billion investment in modernizing fuel storage and distribution infrastructure and building new facilities extending toward the alliance’s eastern flank.
However, the account provided by the diplomats indicates that the detailed agreement needed to implement the investment has yet to receive unanimous approval.
The two-day Ankara summit focused on translating commitments made at NATO’s 2025 gathering in The Hague into increased defense spending, expanded military production and new capabilities.
Leaders also reaffirmed their commitment to collective defense under Article 5 of the North Atlantic Treaty and discussed security assistance for Ukraine amid Russia’s continuing war.
NATO’s fuel system was established during the Cold War to supply allied forces. It now comprises 10 storage and distribution systems spanning approximately 10,000 kilometers across 12 countries, with a combined storage capacity of 4.1 million cubic meters.
The network connects refineries, storage depots, military air bases, civilian airports, pumping stations and road and rail loading facilities. Turkey has two national pipeline systems within the network, covering the eastern and western parts of the country.
The proposed overhaul would expand fuel infrastructure farther east and north, where NATO has increased its military presence since Russia’s full-scale invasion of Ukraine.
Reliable access to fuel is considered essential for sustaining troops, aircraft and armored units during a large-scale conflict.
Some NATO members had initially objected to the cost of the plan, described by diplomats as the alliance’s most expensive commonly funded project to date. Others raised concerns that it would commit NATO to fossil fuel infrastructure for decades.
Those countries later dropped their objections after eastern-flank members pushed for the agreement to be concluded quickly, Politico reported.
Turkey’s intervention could postpone a final decision until September, when NATO ambassadors are due to reconvene after the summer break, one of the diplomats said.
Turkey’s permanent delegation to NATO declined Politico’s request for comment. NATO referred the news outlet to Rutte’s remarks at the Ankara summit.