Since the end of 2016, the Tunisian government has embarked on the implementation of its programme for development of electricity production from renewables. In this framework the Ministry of Industry and SMEs launched an international tender for solar PV projects in 2019 with a total capacity of 500MWac.

In 2019, Scatec was awarded 20-year PPAs, with options for 10-year extension, with the Tunisian state utility STEG for the two solar projects totalling 120 MW.

In August 2024, Scatec signed a partnership agreement with Aeolus SAS, part of the Japanese conglomerate Toyota Tsusho Group, to jointly develop and own the projects. In parallel financial close was achieved for the projects.

Scatec will own 51% of the equity in the project, with Aeolus owning the remaining 49%. Scatec will be the EPC, AM and O&M provider to the power plants. The total capex is estimated at EUR 79 million and will be financed by non-recourse project finance debt, concessional loans and equity from partners. With Aeolus’s participation, this project has been selected by Ministry of the Environment, Japan for Financing Programme for Joint Crediting Mechanism Model Projects in FY2023. The Japanese carbon credit funding, which will be received post commercial operation date, will effectively reduce the equity partners funding need to approximately 15%.