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Algeria ranks among the world’s richest countries in solar radiation due to its strategic location and vast Saharan expanse. The nation enjoys over 3,000 hours of sunshine annually, reaching up to 3,900 hours in the far south, with solar radiation exceeding 2,500 kWh per square meter per year—positioning Algeria at the forefront of 21st-century energy potential.
This potential is no longer theoretical. The International Renewable Energy Agency (IRENA) estimates that Algeria could generate 50 GW of solar energy under a moderate scenario (about 100 TWh per year) and up to 150–200 GW in an optimal scenario, producing 350–400 TWh annually—equivalent to the electricity output of Europe’s largest industrial nations.
2026 marks a decisive turning point. Major solar plants totaling 1,480 MW are scheduled to come online, with construction well underway: the Tendla plant in El-M’Ghair is 93% complete, and the El-Ghrous plant in Biskra is 86% complete. Other strategic projects are progressing in El-Oued, Ouled Djellal, M’sila, and Abadla.
Algeria is structuring its strategy to become a key clean energy supplier for Europe through three pillars. First, the Medlink submarine interconnection will link Algeria to Italy via Tunisia with a 2,000 MW capacity, enabling annual exports of around 28 TWh—nearly 8% of Italy’s electricity demand—and generating €1.5–2 billion in revenue. Second, the SouthH2 Corridor will transport 4 million tonnes of green hydrogen annually by 2040 from the Sahara to Germany via Italy and Austria, fulfilling 10% of projected European demand. Third, domestic renewable energy targets aim for 15,000 MW by 2035, supplying 30–40% of Algeria’s energy mix. The immediate 2024–2026 program will build 3,000 MW across 15 solar plants in 12 wilayas, including Béchar, Laghouat, and Touggourt, powering both local consumption and the nation’s digital infrastructure.
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Algeria also aims to become a hub for hyperscale data centers, leveraging sustainable energy to attract major digital infrastructure investments. The upcoming Algiers summit, hosting delegations from Algeria, Tunisia, Italy, Austria, and Germany, will coordinate the practical implementation of the SouthH2 Corridor, translating strategic ambitions into operational realities.
