10 January 2019

Tunisia: Wind Power Production - Licenses Granted to Four Foreign Companies

Tunis/Tunisia — The Ministry of Industry and Small and Medium-sized Enterprises granted licenses to four foreign companies producing electricity from wind with a 120 Megawatt generating capacity and an overall investment of 400 million Tunisian dinars. 76 direct and indirect jobs are expected to be created.

ABO WIND AG (Germany), UPC Tunisia Renewables (Netherlands) and French LUCIA HOLDING and VSB Energies Nouvelles got their projects approved in principle.

Mornag (governorate of Ben Arous), Jebel Sidi Bchir, Jebel kochbata and Batiha (governorate of Bizerte) will be the project sites. Works are due to commence in the period between May and November 2020.

The firms will sell wind power to the Tunisian Company of Electricity and Gas (French: STEG) at prices ranging between 110 millimes and 135 millimes per kilowatt hour.

Prime Minister Youssef Chahed Thursday chaired a ceremony during which the agreements in principle were handed. Giving a boost to renewables (solar and wind energy) is a priority for the government, he said. The government made considerable efforts in order to develop the legal and organisational aspects of the sector.

These four projects, with a total capacity of 120 megawatts, are a first step in a scheme intended to reach a target production of 1,000 MG, Chahed said.

Renewable electricity generation projects will help bring down Tunisia's energy deficit.

Other large-scale projects will be set in motion soon, particularly as part of the concession system.

More licenses in renewable energies will be granted in 2019. These projects will have a positive mid and long-term impact on the cost and prices of electricity.

CEO of STEG Moncef Harrabi told TAP the company will buy electricity generated by these four firms at " reasonable" prices. Tariffs will be set for a 20-year period, he added.

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