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Solar expansion in Algeria: Chinese projects take center stage

Algeria is accelerating its solar shift with the inauguration of new large-scale PV projects by Chinese companies.

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L'Algérie initie une expansion majeure de son secteur solaire avec le soutien des projets initiés par la Chine.

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Power Construction Corporation of China (PowerChina) has begun construction of a 220 MW PV solar power plant in the wilaya of Biskra, northern Algeria. Meanwhile, a Chinese consortium comprising China Electricity and Water Company (CWE), Chinese Nuclear Industries Corporation (HXCC) and Yellow River Company for Consulting Engineering (YREC) has launched construction of an 80 MW project in the Ouled Djellal wilaya, just south of Biskra.

Chinese domination in solar auctions

These projects are part of a larger 2 GW tender for the construction of 15 solar PV projects across Algeria, held in November 2023. Chinese companies dominated this tender, developing nine of the projects totalling 1,550 MW. This strong Chinese presence in the Algerian solar sector reflects their expertise and ability to compete on an international scale, as well asAlgeria‘s desireto be a significant player in the sector.

Installed capacity and projections

In addition to Biskra and Ouled Djellal, China State Construction Engineering Corporation has also launched the construction of a 200 MW solar power plant in another northern Algerian wilaya, El M’Ghair. In 2022, solar power represented around 1.7% of Algeria’s installed capacity, with 460 MW, and less than 1% of its energy mix. These new projects should considerably increase this share, underlining Algeria’s commitment to renewable energies.
With the launch of ambitious solar projects and international collaboration, Algeria is moving towards a transformation of its energy mix. These significant developments are essential to meet the continuing growth in energy demand while reducing dependence on fossil fuels.

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