NEWS

Algeria is launching a national and international tender for two wind farms of 100 megawatts each in Laghouat and Djelfa. Published by Sonelgaz on September 30, the consultation marks a new step in expanding the national program beyond solar photovoltaics. Bids must cover studies, engineering, construction, equipment supply and grid connection. For the energy sector, the immediate challenge is turning this procedure into financed, built projects capable of supplying regular output to an electricity system still dominated by gas.

The first project is planned at Tilghemt in Laghouat province, while the second is to be located in Djelfa province. Each farm is sized at 100 MW, totaling 200 MW. The tender comprises two packages and extends from studies and engineering to civil works, equipment procurement and transport, assembly, training, testing, commissioning and connection infrastructure for the electricity transmission network.

The bid submission deadline is November 25, 2026. Competition is open to Algerian and foreign companies with references in comparable projects and sufficient technical and financial capabilities. Local operators’ participation in bidding consortia could influence how proposals are structured. It could open opportunities for civil engineering firms, component suppliers, consultancies and maintenance providers.

Adding wind to the tender marks a change in the country’s renewable portfolio. Until now, most announced projects and launched procedures concerned solar. Resource diversity can help distribute generation across hours and weather conditions, provided locations and wind profiles are confirmed by detailed studies. Wind is not an automatic substitute for solar or gas: it adds a variable source that must be integrated into the grid with generation forecasts and suitable reserves.

The scale of the challenge is evident in the electricity system’s current structure. According to the International Energy Agency, gas accounted for nearly 99% of Algerian electricity generation in 2024, while renewables supplied approximately 1%. Electricity demand increased by 5.4% in 2024, and the IEA projected average growth of 5.2% annually between 2024 and 2027. In this context, the two wind projects will not transform the national mix alone. They nevertheless provide a feasibility test for establishing new industries and the system’s ability to accommodate additional renewable generation.

The tender process will help assess the projects’ commercial attractiveness. Bidders must incorporate financing conditions, connection costs, construction risks and remuneration arrangements for generated electricity. Technology and supplier choices will affect generation costs throughout the facilities’ lives. A cheaper initial bid can prove costly if supply lead times, spare-part availability or turbine performance are poorly controlled.