Tunisia's State Electricity and Gas Company Faces Significant Debt
The Tunisian Company of Electricity and Gas (Steg) has a debt of 7.356 billion dinars as of June 23, 2026, while its unpaid claims from clients and public and private organizations amount to 6.061 billion dinars. These figures were presented to the Finance and Budget Committee of the People's Representatives Assembly (ARP), which is reviewing two draft laws related to state guarantees for the public company.
State Guarantees for Steg
The two guarantees concern a financing of 384.8 million euros granted by the International Bank for Reconstruction and Development (IBRD), as well as a loan of 30 million dollars from the same institution, acting as an accredited entity of the Clean Technology Fund. According to Steg representatives, these financings are part of the contract-program concluded between the state and the company for the period 2024-2028.
Objectives of the Contract-Program
This program aims to increase the share of renewable energies to 27% of electricity production by 2028, and then to 35% by 2030. It also targets a reduction of 23% in energy supply costs, a decrease in compensation charges of over 2 billion dinars, and an improvement in net results of nearly 3 billion dinars. Additionally, the program plans to mobilize 2.8 billion dollars in private investments, bring 500 megawatts of additional renewable capacity into service, and sign contracts for an additional 1,000 megawatts.
Financing Mechanism
Government representatives specified that these loans will be disbursed progressively, according to a results-based financing mechanism from the World Bank. At the end of the session, the Finance and Budget Committee decided to continue reviewing the two draft laws after taking note of the contract-program concluded between the state and Steg for the period 2024-2028.
