Algeria introduces wind tariff

ALGERIA: The Algerian government has introduced a guaranteed premium purchase price for wind energy, similar to the French model.

Algeria's only wind project uses Gamesa 850kW turbines
Algeria's only wind project uses Gamesa 850kW turbines

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The rate, which is guaranteed for 20 years, is governed by capacity and the number of operating hours. Projects under 5MW receive DZD 13.10/kWh (EUR 0.12) for the first five years.

After this it will switch to DZD 9.55-16.66/kWh for the next 15 years, depending on the number of full load hours per year.

For facilities over 5MW, the rate is DZD 10.48/kWh for the first five years, followed by DZD 7.64-13.33/kWh for the remaining period.

The annual payment to any plant is capped at the maximum electricity that could be produced at full charge. Above this, producers receive the average rate for electricity generated from conventional sources.

Algeria completed its first 10MW pilot project late last year at Adrar, using Gamesa 850kW turbines. The country aims to generate 40% of its electricity from renewable sources by 2030, including 2GW from wind.

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