BMI View: Algeria's power sector will continue to expand at a moderate pace driven by gas-firedgeneration, which is expected to account for more than 97% of the total generation in the coming decade.Despite ambitious government's plans for non-hydro renewables, growth in the sector will be limited by thecountry's weaker fiscal situation in the lower oil-price environment. Electricity demand will remain robust,supported by population expansion and sustained economic development. However, potential reforms to theenergy subsidy scheme pose a downside risk to our forecast.
Latest Updates And Structural Trends
Algeria's power sector will continue to expand at a moderate pace in the coming decade. Electricitygeneration and capacity are forecast to increase by average annual rates of 5.2% and 4.5% between 2017and 2026 respectively.