Work on the $8.2 billion Italy-Tunisia-Algeria power link is gradually taking shape as it set to commence at the start of 2027. Also known as the Medlink cross-border electricity interconnection project, it is expected to link the three nations. The project’s engineering design is complete and permitting is about to start, the report said. In November 2024, Italy-based engineering consultancy CESI said in its Energy Journal that it is leading the feasibility phase of the Medlink project. Moreover, it detailed AC transmission designs for Algeria and Tunisia and mapped submarine cable routes across the Mediterranean.
It also said it is responsible for planning grid integration in Italy. It is spearheaded by Italy-based private developer of clean energy projects Zhero and backed by the governments of Italy, Algeria and Tunisia. The Medlink project aims to install 10 gigawatts (GW) of solar and wind capacity split equally in Algeria and Tunisia. Furthermore, it includes dedicated battery energy storage systems (BESS) to eventually produce 30 TWh/year for local use and export. Other than the Italy-Tunisia-Algeria power link, such projects are becoming a go to option in power supply and distribution. One of these is the controversial Morocco-UK power link which was cancelled due to UK’s hesitation on getting behind the project.
Project Factsheet
Significance:
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$8.2 billion cross-border electricity interconnection linking Italy, Tunisia, and Algeria.
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Plans to install 10 GW of solar and wind capacity, split equally between Algeria and Tunisia.
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Expected to generate 30 TWh/year, exporting up to 22.8 TWh/year to Italy while supporting local use.
Infrastructure:
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AC transmission designs completed for Algeria and Tunisia, with submarine cable routes mapped across the Mediterranean.
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Dedicated battery energy storage systems (BESS) included for grid stability and continuous supply.
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Full engineering design completed; permitting phase about to begin.
Developer/Consortium:
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Spearheaded by Zhero, Italy-based clean energy project developer.
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Backed by governments of Italy, Algeria, and Tunisia, with feasibility led by CESI.
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Also attracted interest from TotalEnergies, Baker Hughes, Technip Energies, Azimut, and other investors.
Funding/Timeline:
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Total investment: $8.2 billion.
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Included in the EU’s CB RES list, making it eligible for Connecting Europe Facility (CEF) funding.
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Construction scheduled to commence in 2027, with operations expected by 2028.
State of Affairs Regarding the Italy-Tunisia-Algeria Power Link Project
The Italy-Tunisia-Algeria power link is one that has gained international traction having been included in the European Commission’s list of cross-border renewable energy (CB RES). Through this, the project is eligible to seek funding under the CB RES window of the Connecting Europe Facility (CEF) programme. Last year, CEF had provided a €307.6 million grant to the similar 600 megawatt (MW) ELMED interconnector between Tunisia and Italy. The plant is expected to start operations in 2028. Medlink will export up to 22.8 TWh/year of clean electricity to Italy.
In Europe, Italy has cross-border electricity connections with France, Switzerland, Austria, Slovenia, Montenegro, Greece and Malta. TotalEnergies, Baker Hughes, Technip Energies, Azimut and other investors had signed preliminary agreement in August 2023 to invest in Medlink’s promoter Zhero. Their aim is to develop large scale renewable energies projects in Europe and Africa. These projects span across renewable power generation, interconnections and green molecules.
Italy-Tunisia-Algeria Power Link Will Compliment the “ELMED”
July 28, 2023: The Tunisia-Italy power line receives a US$268 million loan from the World Bank Group to fund an electricity interconnection project that will connect power grids between Tunisia and Europe. The aim is to strengthen the World Bank Group’s longstanding partnership with the Tunisian government in the energy sector, while at the same time positioning the country as a regional hub for renewable energy through a 600-megawatt undersea cable.
Funding from the World Bank Group will cover part of the total investment for the construction of a main converter station and associated substations on the Tunisian side, including support for the implementation of the interconnector. The World Bank Group’s technical assistance includes support for the establishment of a Renewable Energy Center of Excellence to position Tunisia as a training center for renewable energy projects in the North African region.
Tunisia’s 600 megawatt power line interconnection project will connect Capo Bon to Sicily. It is also being carried out by Terna of Italy and Steg of Tunisia and is due to be completed by 2028. The agreement, signed by Tunisian Economy and Planning Minister Samir Said, falls within the framework of the partnership between Tunisia and the World Bank for the period 2023-2027, which was suspended on March 6th.
World Bank Country Manager for Tunisia, Alexandre Arrobbio, stated: “ELMED is the first World Bank project under the new Country Partnership Framework (CPF) 2023-27 announced last week. Support for the Tunisian Government’s Energy Strategy 2035, which aims to rapidly increase renewable energy to 35% of total energy consumption is one of the Bank’s key priorities in implementing the new CPF.”
Read more: Feasibility study underway for Elmed Mediterranean (Italy-Tunisia) electricity interconnector
