Algeria - Dii ACTIVITIES
In 2011 Algeria launched a national program to develop renewable energy and to promote energy efficiency. The program consists of installing up to 12,000 MW of power generating capacity from renewables until 2030 to meet the domestic electricity demand and 10,000 MW for export. The state owned electricity and gas supplier Sonelgaz has been endorsed to implement the program.
In December 2011, Dii and Sonelgaz signed a Memorandum of Understanding with the aim to support Algeria’s renewable energy strategy. The two organizations analyzed together the potential of renewable energy advancement in Algeria especially the challenges, conditions and opportunities to export renewable power from Algeria to Europe. The project considers a renewable energy export case of 1,000 MW including a 10% share for local off-take, using solar and wind technologies. Overall the reference project study demonstrates that wind and PV plants could be competitive with existing gas turbine power plants at international gas prices and that CSP plants could provide business cases with significantly lower financial support than required in Europe.
- Population in 2010: 35 million (UN World Population Prospects)
- Estimated population in 2050: 47 million (UN World Population Prospects, medium scenario)
- Share of population under 15 years in 2010: 28% (Population Reference Bureau)
- Unemployment rate: 11% in 2009 (World Bank). According to the Algerian National Office of Statistics, the unemployment rate in Algeria was approx. 10% in January 2012.
- GDP per capita ($2005, PPP) in 2010: $7,521 compared to $27,562 in the European Union (World Bank)
- CO2 emissions in kg per 2005 PPP $ of GDP in 2008: 0.4kg compared to 0.3kg in the European Union (World Bank)
- Energy mix in 2010: Algeria’s energy mix is almost exclusively based on hydrocarbons, mainly natural gas (93%). The small share of renewable energy (2%) is currently dominated by hydraulic power. (Platts/UDI 2010)
- Energy mix in 2050: In its strategic study Desert Power 2050, Dii shows how Algeria's energy mix could look like in 2050, in the context of an "EUMENA" electricity grid connecting the MENA region to Europe and mainly based on renewable energy. Click here to see the potential of Algeria in terms of renewable energy production.
- Electricity consumption per capita in 2010: approx. 1,300 kWh/per capita (Arab Union of Electricity, UN World Population Prospects)
- Growth in electricity demand: approx. 7% compound annual growth rate between 2010-2020 (Forecast by Arab Union of Electricity)
- The Renewable Energy and Energy Efficiency Algerian Program: Algeria launched a national program in April 2011 to develop renewable energy and to promote energy efficiency in the country. The program consists of installing up to 22,000 MW of power generating capacity from renewable sources between 2011 and 2030, of which 12,000 MW will be intended to meet the domestic electricity demand and 10,000 MW destined for export. It is expected by the Algerian Ministry of Energy and Mining that approx. 40% of electricity produced for domestic consumption will be from renewable energy sources by 2030 (37% of solar and 3% of wind energy).
- Sonelgaz: Major player in the areas of production, transportation and distribution of gas and electricity in Algeria, the Sonelgaz Group consists of 36 companies, with Sonelgaz Holding being sole owner of the stock portfolio. Sonelgaz Holding sees its main tasks as the promotion and development of renewable energy in Algeria through its subsidiary companies, as well as research, engineering, manufacturing, maintenance and creation of industrial plants.
- Renewable energy capacities in operation or planning: The first integrated solar combined cycle power station in Algeria was inaugurated in 2011. The plant, which is situated near Hassi R’Mel, in north-central Algeria, combines a 25 MW parabolic trough concentrating solar power array in conjunction with a 125 MW combined cycle gas turbine plant. The hybrid plant was constructed within the framework of a partnership agreement between NEAL (New Energy Algeria, a joint venture formed by Sonatrach and Sonelgaz), SVH (Société de Valorisation des Hydrocarbures, a subsidiary of Sonatrach), Abener and Cofides for a total cost of €350 million. The station, which began producing electricity in June 2011, marks the start of Algeria's renewable energy program. In addition to this project, the Government of Algeria plans in the period 2011-2013 the installation of the first wind farm near the southwestern city of Adrar.