The German Development Bank (Kfw) has granted an additional loan of €11.5 million to the Tunisian Electricity and Gas Company (Steg), to enable it to double the production of the Tozeur 1 solar power plant, according to our information, Tozeur 2 could be officially assigned to the French company Gensun before the end of the week.
The Tozeur solar power plant (in southern Tunisia) will double its initial capacity of 10 megawatts (MW) when it comes into operation in 2020.
Tozeur 1, whose work was entrusted in June 2017 to TeniEnergia, which has since been replaced by another Italian company, Enerrai, has just received a financial extension from the German Development Bank, Kfw. The subsidised loan of €11.5 million, or 38.43 million Tunisian Dirhams, will enable the Tunisian Electricity and Gas Company (Steg) to carry out the extension works on the Tozeur solar power plant, for an additional capacity of 10 MW. The French Gensun should carry out the work on Toseur 2. The company, which joined the Ponticelli Frères group in February 2017, following the acquisition of Neoen’s stake in Gensun, won the contract several months ago, but appeals have delayed the official award. We have information that the case should be definitively cleared by the end of the week.
KfW’s financing also covers the acquisition of a battery storage system, which is a first in Tunisia. It will allow Steg to test and master this essential technology for the decarbonation of the Tunisian electricity system in order to achieve the objectives contained in the country’s strategic plan in the energy sector.
Germany supports Tunisia in its move towards green electricity
The German Federal Ministry of Economics and Energy (BMWI) and the Tunisian Ministry of Industry signed a partnership for the development of renewable energy in Tunisia in early 2012. It provides support for logistical organisation and technical design in areas such as energy security, renewable energy use, increased energy efficiency, reduced energy consumption, sustainable development and adaptation to the effects of climate change.
This is where KFW’s funding comes in. Already in June 2017, the bank had granted a loan of €12.5 million to Steg to build the Tozeur solar power plant, with a capacity of 10 MW that can be extended.
Tunisia’s renewable energy strategy foresees a production capacity of 4.7 gigawatts (GW) by 2030, or 30% of Tunisia’s electricity needs.