News Industry

Algeria Invests $1.2bn to Secure Summer Electricity Supply

Algeria Invests $1.2bn to Secure Summer Electricity Supply
Tuesday, 03 June 2025 10:40
  • Sonelgaz strengthens national grid ahead of expected summer power demand
  • 1,100 MW added to capacity along with new lines, transformers, and turbines
  • Measures also target fire prevention and support for remote areas

With the summer season leading to a significant increase in electricity demand in the Maghreb region, proactive steps are needed to prevent pressure on power networks. In anticipation of this, Algeria, through Sonelgaz, the public electricity and gas provider, has invested 168 billion dinars ($1.2 billion) to bolster the country's entire electricity network ahead of the expected surge in domestic electricity consumption in summer.

According to local press reports on Sunday, June 1, this financial package aims to lessen the risk of power outages during the summer months from June to August. The weather forecast for summer 2025 in Algeria indeed suggests high temperatures and demanding weather conditions, mainly in July and August.

In this context, marked by high heat, the Algerian state anticipates a considerable increase in electricity demand, especially for air conditioning, and a boost in residential and industrial usage that can put significant stress on electrical infrastructures.

To counter this, the public group has rolled out an action plan focused on increasing production capacity and enhancing transport and distribution infrastructures.

Specifically, more than 1,100 additional megawatts have been integrated into the network. Six new transformers, 35 high-tension lines, and over 2,000 kilometers of distribution network have been established. Special attention has been given to the southern regions, with mobile gas turbines installed in isolated areas.

The plan also includes preventive actions against forest fires, a common occurrence in the summer. It does more than just ensure energy security; it also enhances the reliability of the national electrical network.

This strategy could also foster economic activity in remote areas of the country, where difficulties accessing electricity can hinder certain development projects, even though Algeria's electricity coverage reached 98% by the end of 2023, according to Sonelgaz.

Sonelgaz has announced a 2025 investment plan of 650 billion dinars (about $5 billion), "mainly aimed at increasing its production capabilities and optimizing the quality of its services."

On the same topic
Gabon targets 9.2% non-oil growth in 2026 amid oil decline Infrastructure, LNG, mining, and agro sectors drive diversification push Stability holds,...
Ghana to earn $16B in oil revenue by 2035, Deloitte says Output declining due to aging fields, low investment, no new deals $3.5B in upstream...
Cameroon seeks $6.5B private investment for 2030 energy goals New laws, incentives to boost renewables, grid expansion, access Plan targets 100%...
Shell appeals permit suspension for South Africa offshore block Firm argues exploration phase met environmental legal standards Move follows major...
Most Read
01

BYD to install 200-300 EV chargers in South Africa by 2026 Fast-charging stations powered by grid...

China's BYD Plans 300-Station EV Charging Network for South Africa
02

Drones to aid soil health, pest control, and input efficiency High costs, skills gap challenge ac...

Kenya Plans National Drone Rollout to Modernize Farming
03

Diaspora sent $990M to CEMAC via mobile money in 2023 Europe led transfers; Cameroon dominat...

Mobile Money Transfers to CEMAC Near $1B in 2023
04

TotalEnergies, Perenco, and Assala Energy account for over 80% of Gabon’s oil production, estimate...

Gabon Seeks Foreign Partners to Revive Declining Oil Sector
05

IMF cuts WAEMU 2025 growth forecast to 5.9% Strong demand, services, and construction support...

IMF Lowers WAEMU Bloc’s Growth Forecast to 5.9% for 2025, Benin Now Leading
Enter your email to receive our newsletter

Ecofin Agency provides daily coverage of nine key African economic sectors: public management, finance, telecoms, agribusiness, mining, energy, transport, communication, and education.
It also designs and manages specialized media, both online and print, for African institutions and publishers.

SALES & ADVERTISING

regie@agenceecofin.com 
Tél: +41 22 301 96 11 
Mob: +41 78 699 13 72


EDITORIAL
redaction@agenceecofin.com

More information
Team
Publisher

ECOFIN AGENCY

Mediamania Sarl
Rue du Léman, 6
1201 Geneva
Switzerland

 

Ecofin Agency is a sector-focused economic news agency, founded in December 2010. Its web platform was launched in June 2011. ©Mediamania.

 
 

Please publish modules in offcanvas position.