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Tunisia’s Heavy Gas Imports Stall Solar Energy Growth

Tunisia’s Heavy Gas Imports Stall Solar Energy Growth
Wednesday, 23 July 2025 18:47

• Tunisia relies on imported gas for over 90% of electricity, slowing solar expansion.
• Energy self-sufficiency fell to 39% in 2025 amid rising gas imports.
• Renewables cover only 777 MW, far below the 5,000 MW peak demand.

Tunisia depends heavily on imported gas and oil to meet its electricity needs, slowing the development of solar power. The country’s energy independence has sharply declined as domestic hydrocarbon production falls. Tunisia compensates by importing more gas and oil, which now dominate its energy mix.

Electricity production stood steady at 7,065 GWh by May 2025, according to Tunisian press reports on July 20. However, over 90% of this electricity comes from natural gas, with a growing share sourced from imports.

This heavy dependence distorts Tunisia’s energy landscape and blocks large-scale solar energy growth. The World Bank estimates that Tunisia holds a potential solar capacity of 320 GW—64 times its national peak electricity demand—but the country struggles to tap into it.

An April 2024 U.S. Department of Commerce report confirmed that fossil fuels, mainly natural gas, generated about 97% of Tunisia's electricity. The share from natural gas has stayed close to 2022 levels despite increased imports.

Tunisia imports 62% of the gas it uses for electricity, mainly through the TransMed pipeline from Algeria. Its energy self-sufficiency rate slid from 47% in 2023 to 45% in 2024 and dropped further to 39% in 2025.

The World Bank highlighted that energy imports made up over 53% of Tunisia’s trade deficit in 2023, while the energy supply bill alone accounts for about 7% of GDP in 2025.

The government continues budgetary support for the Tunisian Company of Electricity and Gas (STEG). A 2023 World Bank report noted that public transfers to offset the gap between gas costs and regulated tariffs equaled 2.3% of Tunisia's GDP in 2022.

Renewable energy development remains limited. By April 2025, Tunisia installed just 777 MW of renewable capacity, mostly photovoltaic solar for homes, along with wind and hydropower. STEG’s figures show national peak demand at roughly 5,000 MW.

Last year, the Ministry of Industry and Energy launched a 500 MW program for independent renewable electricity through a national tender. Still, the Transnational Institute in Amsterdam estimates the Tunisian Solar Plan needs about €8 billion ($9.5 billion) in investment to produce 30% of electricity from renewables by 2030.

This article was initially published in English by Abdel-Latif Boureima

Edited in English by Ange Jason Quenum

 

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