Algeria Renewable Energy Market Size
|2021 - 2029
|Base Year For Estimation
|Forecast Data Period
|2024 - 2029
|Historical Data Period
|2021 - 2022
|< 7.00 %
*Disclaimer: Major Players sorted in no particular order
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Algeria Renewable Energy Market Analysis
The Algeria Renewable Energy Market is expected to grow at a CAGR of less than 7% during the forecast period.
The market was negatively impacted by COVID-19. Presently the market has now reached pre-pandemic levels.
- Factors such as diversifying the country's economy and decreasing the dependence on the oil and gas sector are expected to drive the renewable energy market in Algeria. Moreover, diversification of the energy mix offers multiple benefits, including job creation and energy security, further promulgating the country's renewable energy market.
- However, factors such as delays in governmental approval for new projects, policy uncertainty, and lack of an efficient regulatory framework have hindered the market growth in the country.
- Moreover, Algeria is vulnerable to climate change, which demands decreased fossil fuel use. Hence, the government plans to increase the share of renewables in energy generation in the coming years, creating ample opportunity for the market players.
Algeria Renewable Energy Market Trends
This section covers the major market trends shaping the Algeria Renewable Energy Market according to our research experts:
Solar Energy to Dominate the Market
- Algeria's energy requirements are heavily dependent on natural gas, which amounts to more than 90% of power generation in the country. However, the country has enormous solar energy potential. The country has 65% of solar energy share in total renewable capacity in 2021.
- According to IRENA, the total installed capacity for photovoltaic solar in 2021 was 423 MW. To harness the solar potential in the country, the government has taken initiatives, such as the Renewable Energy and Energy Efficiency Program (launched in 2011), under which the country aims to reach a total photovoltaic capacity of 13,575 MW by 2030.
- In addition, the country has also joined the Desertec Industrial Initiative, which aims to use Sahara solar and wind power to supply 15% of Europe's electricity needs by 2050. This is expected to increase the investments in solar energy projects, in turn driving the market for solar photovoltaics in the future.
- Moreover, In July 2022, According to the state-owned corporation Shaems, which supervises the project, Algeria's Solar 1,000 MW scheme is projected to generate its first power by the end of 2023. The first energy will be generated by a 30 MW solar PV park created as part of the Solar 1,000 MW project in Beni Ounif (Bechar area) by the end of 2023.
- Therefore, the above-mentioned factors, the country's solar targets, and projects are expected to drive the solar energy market during the forecast period.
Increasing Renewable Energy Demand to Drive the Market
- Conventional power generation methods like thermal power plants are finding it hard to meet this increase in demand, thus paving way for the growth of renewables. Another factor that is aiding the renewable industry is the efficient collaboration between the governments and the private sector. There is a growth in industrial investments backed by supportive government policies in renewable technologies.
- Algerian government also signed a memorandum of understanding with Dii Desert Energy, the operator of the Desertec project, which aims to create an extensive network of wind and solar installations in North Africa and the Middle East within 40 years.
- The country has set Renewable Energy targets to be achieved in two periods (2015-2020 and 2021-2030), by promoting photovoltaic, concentrated solar power (CSP), geothermal, wind, biomass, and cogeneration. By 2030, it is expected to produce a total of 22,000 MW by using renewable energy, with 12,000 MW devoted to the national market, and 10,000 MW to exports.
- The government plans to increase the share of renewables in the energy mix by more than 25% by the year 2030, by creating a new national model for the consumption of electricity with new projects aiming to advance solar, wind, hydro, and biomass power plants.
- Moreover, the government is adopting laws to define the guarantees, financial aid, and tax incentives, granted to both public and private enterprises, to raise interest in investing in the renewable energy sector, in turn driving the renewable energy market during the forecast period.
Algeria Renewable Energy Industry Overview
The Algeria Renewable Energy Market is moderately consolidated. Some of the key players (not in particular order) are Algerian Solar Company, Sarl Algerian PV Company, Zergoun Green Energy, SCET Algeria Energy, and SKTM SPA.
Algeria Renewable Energy Market Leaders
Algerian Solar Company
Sarl Algerian PV Company
Zergoun Green Energy
SCET Algeria Energy
*Disclaimer: Major Players sorted in no particular order
Algeria Renewable Energy Market News
- November 2022: Eni and Sonatrach, Algeria's national gas and oil suppliers, announced plans to construct a new 10 MW solar project at the Bir Rebaa North (BRN) oil production complex in the Berkine basin in southeastern Algeria. With an existing 10 MW facility launched in 2018 at the BRN complex, the new solar installation will have more than double the renewable energy available to power upstream oil field processes.
- June 2022: According to Algeria's minister of renewable energy, Benattou Ziane, the government has begun work on new legislation for the transition to green energy to support the transformation in all aspects. The country intends to accomplish a smooth and safe energy transition based on economic efficiency and diverse resources.
Algeria Renewable Energy Market Report - Table of Contents
1.1 Scope of the Study
1.2 Market Definition
1.3 Study Assumptions
2. RESEARCH METHODOLOGY
3. EXECUTIVE SUMMARY
4. MARKET OVERVIEW
4.2 Renewable Energy Mix, 2019
4.3 Installed Capacity and Forecast in MW, till 2027
4.4 Recent Trends and Developments
4.5 Government Policies and Regulations
4.6 Market Dynamics
4.7 Supply Chain Analysis
4.8 PESTLE Analysis
5. MARKET SEGMENTATION
5.1 Source Type
5.1.4 Other Types
6. COMPETITIVE LANDSCAPE
6.1 Mergers and Acquisitions, Joint Ventures, Collaborations, and Agreements
6.2 Strategies Adopted by Leading Players
6.3 Company Profiles
6.3.1 Algerian Solar Company
6.3.2 Sarl Algerian PV Company
6.3.3 Zergoun Green Energy
6.3.4 SCET Algeria Energy
6.3.5 SKTM SPA
- *List Not Exhaustive
7. MARKET OPPORTUNITIES AND FUTURE TRENDS
Algeria Renewable Energy Market Research FAQs
What is the current Algeria Renewable Energy Market size?
The Algeria Renewable Energy Market is projected to register a CAGR of less than 7% during the forecast period (2024-2029)
Who are the key players in Algeria Renewable Energy Market?
Algerian Solar Company, Sarl Algerian PV Company, Zergoun Green Energy, SCET Algeria Energy and SKTM SPA are the major companies operating in the Algeria Renewable Energy Market.
What years does this Algeria Renewable Energy Market cover?
The report covers the Algeria Renewable Energy Market historical market size for years: 2021, 2022 and 2023. The report also forecasts the Algeria Renewable Energy Market size for years: 2024, 2025, 2026, 2027, 2028 and 2029.
Renewable Energy in Algeria Industry Report
Statistics for the 2024 Renewable Energy in Algeria market share, size and revenue growth rate, created by Mordor Intelligence™ Industry Reports. Renewable Energy in Algeria analysis includes a market forecast outlook to 2029 and historical overview. Get a sample of this industry analysis as a free report PDF download.