The European Bank for Reconstruction and Development (EBRD) and Proparco, the French development agency, have jointly financed the construction and operation of two solar photovoltaic power plants in Tunisia, located in Tozeur and Sidi Bouzid.
This initiative aims to accelerate Tunisia’s shift toward green energy.
EBRD’s Financing Package
The EBRD is contributing a loan of up to €12.5 million, complemented by a concessional tranche of US$8.9 million (€8.2 million) from the Clean Technology Fund (CTF) and US$5.0 million (€4.6 million) from the Global Environment Facility (GEF).
The EBRD has been a consistent supporter of Tunisia’s renewable energy sector for the past seven years, providing backing to Scatec since the early stages of these projects.
Project Details and Environmental Impact
The two solar power plants, each with a 60 MW installed capacity, are being developed by Scatec, a leading renewable energy company, and Aeolus, a subsidiary of the Japanese conglomerate Toyota Tsusho Group.
These projects have been approved under the Joint Crediting Mechanism (JCM) model projects financing program, a collaboration between Japan’s Ministry of the Environment and Tunisia.
They will significantly contribute to Tunisia’s commitment to expanding renewable energy production and reducing its dependency on fossil fuels. Once operational, the plants are expected to decrease annual CO2 emissions by an estimated 108,000 tons.
Statements from Key Stakeholders
Nandita Parshad, Managing Director of the EBRD’s Sustainable Infrastructure Group, expressed pride in partnering with Scatec and Aeolus-Toyota Tsusho Group on their first utility-scale solar projects in Tunisia, highlighting their contribution to the country’s renewable energy sector.
Terje Pilskog, CEO of Scatec, conveyed excitement about reaching financial close on the Tunisian projects and anticipates the construction phase. He welcomed the new partner, Aeolus-Toyota Tsusho Group, and expressed gratitude to the EBRD, Proparco, and other financial partners for their unwavering support.
Hideharu Toba, President of Aeolus, expressed delight in partnering with Scatec and acknowledged the support from the EBRD, Proparco, and other involved parties in bringing these projects to fruition.
Françoise Lombard, CEO of Proparco, highlighted the importance of strengthening the long-term relationship with Scatec and collaborating with Aeolus-Toyota Tsusho Group on these projects.
About Scatec and Toyota Tsusho Corp.
Scatec is a leading Norwegian renewable power producer, developing, building, owning, and operating solar, wind, and hydropower plants, as well as storage solutions, with 4.6 GW in operation and under construction globally.
Toyota Tsusho Corp., the trading arm of Toyota Motor Corp., established Aeolus in March 2024 as a joint venture to promote renewable energy business in Africa.
EBRD’s Commitment to Tunisia
Since 2012, the EBRD has invested over €2.3 billion in 73 projects in Tunisia and has offered support to approximately 2,000 small and medium-sized local enterprises through EU-funded technical assistance.