HPR: loan to finance smart grid electricity distribution project passed
- May 14, 2019 4:00 pm GMT
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14/05/2019 17:02, TUNIS/Tunisia
(TAP) - The House of People’s Representatives (HPR) passed at a plenary session Tuesday a bill adopting the loan obtained from the French Development Agency (AFD) for the benefit of the Tunisian Electricity and Gas Company (STEG) to fund the smart grid electricity distribution project.
The €120-million loan (more than 400 million dinars) will be repaid over 20 years, with a grace period of 7 years.
The Smart Grid Electricity Distribution Project, which is part of the national energy transition strategy, aims to introduce electricity production from renewable energies and address the problem of electricity theft, as well as to reduce customer arrears.
The project also seeks to improve the invoicing system, by automatically and remotely measuring consumption and helping to control energy demand, especially during peak hours.
The project consists in supplying the Sfax region with approximately 400 thousand low-voltage smart electricity metres and 40 thousand low-voltage gas metres, representing 10% of all metres, on a national scale.
It also provides for the establishment of the necessary infrastructure for the installation of 20,000 medium-voltage smart electricity meters throughout the country, in addition to the design of a computer system for the electricity networks within the country.
The overall cost of the project is estimated at about 121 million euros (more than 400 million dinars). It will be financed by AFD, with a loan of 120 million euros and a grant of 1 million euros.