Tunisia's Energy Transition: A Review of 2024
In an exclusive interview, Ezzedine Khalfallah, international energy consultant, shares his insights on Tunisia's progress in 2024 towards a more sustainable and decarbonized energy model.
Renewable Energy: A Key Pillar of Tunisia's Energy Transition
Tunisia's energy transition is moving in the right direction, with significant progress made in 2024 in key areas such as renewable energy, energy efficiency, electric mobility, and green hydrogen. The country is committed to reducing its carbon intensity by 45% by 2030, as outlined in its Nationally Determined Contribution (NDC). Renewable energy, a central pillar of this transition, has seen significant growth, with the launch of a 100 MW photovoltaic project in Kairouan and several other projects totaling 500 MW in the pipeline. The ambitious 1700 MW program initiated in 2022 has also made progress, with competitive tenders and increased participation.
Energy Efficiency: A Crucial Component of Tunisia's Energy Transition
The National Agency for Energy Management (ANME) is working towards reducing primary energy demand by 30% by 2030 compared to 2021. To achieve this, the agency has adopted an acceleration plan that focuses on promoting energy efficiency and renewable energy projects in the public and private sectors, as well as decarbonizing industry, particularly cement factories. Other key measures include encouraging high-performance buildings, cogeneration, and optimizing industrial zones.
Green Hydrogen: A Future Axis of Tunisia's Energy Transition
Tunisia has published its national strategy for green hydrogen, aiming to produce 8.3 million tons of green hydrogen by 2050, with 6.3 million tons for export and 2 million tons for the local market. This strategy aims to make Tunisia a key player in the global green hydrogen economy, leveraging its strategic location, resources, and infrastructure. The government has signed several memoranda of understanding with foreign companies, including TotalEnergies, EREN, and Verbund, as well as ACWA Power, to develop green hydrogen projects.
Electric Mobility: A Key Component of Tunisia's Energy Transition
The Tunisian authorities have launched initiatives to promote electric mobility, aiming to make electric vehicles more affordable and accessible. Measures include exempting electric vehicles from customs duties and reducing VAT, registration, and circulation fees. The government has also launched programs to develop the electric vehicle industry and promote the installation of charging stations.
Carbon Pricing: Is Tunisia Ready?
Tunisia is preparing for the implementation of carbon pricing, with the ANME organizing training sessions and workshops for companies, particularly in the industrial sector, to prepare them for the European Union's carbon border adjustment mechanism. The agency has also launched a platform, Decarboact, to support companies in their transition to a low-carbon economy.
Challenges and Limitations in Renewable Energy
Despite progress made in renewable energy, challenges persist, including the integration of massive renewable energy capacities into the grid, access to land, and financing. The government and its partners are working to address these challenges, including the development of innovative financing mechanisms and the strengthening of the grid.
Financing Mechanisms: Are They Effective?
Financing mechanisms, such as the Energy Transition Fund (FTE), are essential for supporting Tunisia's energy transition. While progress has been made, more needs to be done to mobilize financing and develop innovative financing structures. The ANME is working to operationalize the FTE and develop new financing mechanisms, including a revolving loan fund, in collaboration with international partners.
