Tunisia’s power utility STEG plans another 10 MW solar park

The Tunisian power state-owned utility, Société tunisienne de l’électricité et du gaz (STEG) has issued a tender for the construction of a second 10 MW solar park in Tozeur, in the south of the country.

The company, which is now accepting bids until December 20, said the project will be financed by the German development bank Kreditanstalt für Wiederaufbau (KFW).

The solar plant, named Centrale Photovoltaique Tozeur II, will be located near the city of Tozeur. Here, STEG is working on its first solar park, a 10 MW facility, which is currently under construction by Italian solar company Ternienergia. The company won the €12.5 million EPC contract for the project in March.

The Tozeur I solar facility, tendered in 2014, is also being financed by the KFW under Tunisia’s solar program Plan Solaire Tunisien (PST). Overall, the construction of the installation will require an investment of €16 million.

The KFW provided a €12 million low-interest rate loan for the plant construction, and a further €0.5 million for additional services related to the project.

The two projects are not the only large-scale solar plants under development in the country. In May, the Tunisian Ministry of Energy launched a tender for 70 MW of solar capacity and 140 MW of wind. Projects selected in the auction are expected to sell power to STEG under a long-term PPA.

Under its renewable energy strategy, Tunisia aims at achieving 4.7 GW of renewable energy capacity by 2030.