The Tunisian government has increased its budget allocation for the energy sector in 2027, aiming to strengthen the country's production, storage, and transportation infrastructure. The move comes after a challenging summer in 2026, marked by frequent power outages due to an imbalance between energy production and consumption. The minister of equipment and housing, Salah Zouari, presented the budget plan on November 3, 2026.
The 2027 budget allocates 7.89 billion dinars to the ministry of industry, mines, and energy, a 48.2% increase from 5.33 billion dinars in 2026. This represents an increase of 2.565 billion dinars. The energy program will receive 7.2 billion dinars, up from 5.115 billion dinars in 2026. In contrast, the industry program will receive 169.3 million dinars, down from 188.9 million dinars in 2026.
A significant portion of the budget increase will be dedicated to the energy program, which aims to improve the country's energy infrastructure. The program "Mines" will receive 508.2 million dinars, a substantial increase from 8 million dinars in 2026. This rise is largely due to a 500 million dinar allocation for financing chemical fertilizers for agricultural use through the Tunisian Chemical Group.
The 2027 budget also includes resources for the transition to renewable energy. A total of 45 million dinars will be allocated to the Fund for Energy Transition, part of a larger 129.4 million dinar envelope for special treasury funds. These resources are expected to contribute to a 3% annual reduction in energy intensity and help achieve the goal of generating 35% of electricity from renewable sources by 2030.
The budget plan also highlights the importance of investment in the energy sector. The payment credits dedicated to the ministry's investment expenditures amount to approximately 6.9 million dinars. This figure emphasizes the distinction between the overall resources allocated to the ministry and the specific financing dedicated to modernizing the electrical system.
The increased budget for the energy sector is a response to the challenges faced by Tunisia during the summer of 2026. The country experienced frequent power outages due to an imbalance between energy production and consumption. The government aims to address this issue and prevent similar challenges in the future.
The Tunisian government's efforts to improve the energy sector are crucial for the country's economic development and environmental sustainability. The increased budget allocation for 2027 is a step towards achieving these goals, and the government will need to ensure effective implementation of the budget plan to achieve the desired outcomes.
Key points
- The 2027 budget allocates 7.89 billion dinars to the energy sector, a 48.2% increase from 2026.
- The energy program will receive 7.2 billion dinars, up from 5.115 billion dinars in 2026.
- The government aims to generate 35% of electricity from renewable sources by 2030.
