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Solar project contracts in Tunisia were awarded earlier this week as the nation signed agreements with Norway and Japan to build plants in Sidi Bouzid and Tozeur. The regions are located in the country’s center and the west, respectively. Together, they will have an output of 100MW. The agreements are part of Tunis’ plan to increase renewable energy from 7% to 35% by 2030. It also seeks to leverage the project to cut carbon emissions by 45%. It has been estimated that Tunisia has a potential photovoltaic output of 840GW and a concentrated solar output of 1 terawatt. The construction of solar plants sets it in an excellent place to realize and capitalize on this potential. Fatma Thabet Chiboub, Tunisia’s energy minister, attended the signing ceremony earlier this week. It was also graced by Faycal Trifa, the general director of the Tunisian Electricity and Gas Company.
Project Factsheet
Location: Sidi Bouzid and Tozeur
Capacity: 100 MW
Country: Tunisia
Significance: Enhance energy production in the nation
Cost of Phase: U.S. $52 Million
The State of Affairs Regarding Tunisia Solar Project Contracts
Tunisia solar project contracts show the nation’s resilience and showcase how the main contractors are invested in ensuring it comes to fruition. In the signing ceremony, the Norwegian side was represented by renewables company Scatec and Japan by Aeolus, a subsidiary of Toyota Tsusho, the carmaker’s investment division. Aeolus bought a 49% share in Scatec’s Tunisian operation last month. Scatec has a 20-year power-purchase agreement with Tunisian Energy and Gas, with the option to extend by 10 years. It will build solar plants on an EPC basis and manage, operate, and maintain them.The projects are supported by a $58 million guarantee from the World Bank, indemnifying the developers against force majeure events such as war or expropriation. Other solar generation projects are already underway in Gafsa and Tataouine, respectively, in the west and south of the country. These should be operational between 2025 and 2026. A third, in Kairouan, is being financed by the World Bank’s International Finance Corporation and the African Development Bank.
Solar Energy as a Revolutionary Progress in Tunisia’s Energy Production
The significance of Tunisia’s solar project contracts is unprecedented and has immense benefits to the nation. These plants come at a time when the nation seeks to diversify its energy supply. Studies conducted in recent years show Tunisia had about 472MW of installed renewable energy. Of this, 244MW was wind power, 166 MW solar power, and 62 MW of hydroelectric power. These renewable sources comprise 8% of the national energy capacity, an aspect that Tunisia seeks to change.
The government set a national strategy to develop solar plants with a combined capacity of 500MW across the country in 2022. It also set a target to have clean energy sources compromise 35% of its electricity mix by 2030. Moreover, its unconditional emissions reduction target seeks to down carbon emissions by 35%. This represents 35 million tons of carbon dioxide by 2030, and become a carbon neutral nation by 2050. The upcoming solar plants in Tunisia will see the nation construct a 200 MW plant in Tataouine, 100 MW plant in Gafsa, and two 50 MW plants in Tozeur and Sidi Bouzid. |
