WB approves $430m package to help Tunisia’s power sector

RIYADH, Nov 12 (Arab News): The World Bank (WB) has approved a $430 million financing package to help Tunisia modernise its power sector and accelerate the shift toward cleaner energy, as the North African country seeks to cut emissions.
The five-year Tunisia Energy Reliability, Efficiency, and Governance Improvement Program - known as TEREG - includes $30 million in concessional financing and aims to improve the performance of the state-owned utility Societe Tunisienne de l'Electricite et du Gaz, or STEG, while expanding renewable capacity and strengthening sector governance, the lender said in a statement.
The programme aligns with Tunisia's target of attracting $2.8 billion in private investment to develop 2.8 gigawatts of new solar and wind power capacity by 2028, a plan expected to generate more than 30,000 jobs, mainly during the construction phase of renewable energy projects.
It also supports the North African country's goal of reducing carbon intensity by 45 per cent by 2030 compared with 2010 levels.
"By fostering renewable energy development, TEREG will strengthen Tunisia's position in clean energy, creating economic opportunities and ensuring long-term energy security," said Alexandre Arrobbio, WB country manager for Tunisia.