AMEA Power, a renewable energy developer headquartered in Dubai, has initiated construction on the Kairouan Solar Photovoltaic Project in Tunisia.

The International Finance Corporation and the African Development Bank are financing the US$86 million project. The 120-megawatt (peak)  plant is the first under Tunisia’s privately financed solar concession regime to achieve financial close.

A groundbreaking ceremony was attended by Fatma Thabet Chiboub, Tunisia’s minister of industry, mines and energy.

Expected to start operations in the fourth quarter of 2025, the project will become AMEA Power’s first operational asset in Tunisia.

“This groundbreaking project is a beacon for future renewable energy projects in the country, supporting the government’s goal of achieving 35% renewable energy by 2030,” says AMEA Power chairma Hussain Al Nowais.

A 20-year power purchase agreement was signed with Société Tunisienne de l’Electricité et du Gaz (STEG) in June 2021, and ratified by the Tunisian government in May 2022.

The project output is enough to supply over 43,000 households, and will reduce carbon emissions by 117,000 tonnes throughout its lifetime. It will also reduce Tunisia’s reliance on oil and gas imports.