The European Bank for Reconstruction and Development (EBRD) is providing a €300 million financing package to Société Tunisienne de l’Electricité et du Gaz (STEG), Tunisia’s state-owned national electricity and gas utility company, to support the stability of Tunisia’s energy sector during the coronavirus pandemic in the medium term.
This programme will allow STEG to implement an ambitious corporate and climate reform roadmap that would anchor the shift towards a more sustainable and efficiently run company.
The package consists of two facilities. The first is an immediate €100 million emergency stabilisation facility under the EBRD’s Vital Infrastructure Support Programme. The second facility of up to €200 million will help refinance STEG’s short and medium-term liabilities. In addition, the European Union is providing an investment grant of up to €20 million to finance the implementation of an enterprise resource planning system, a necessary step towards the modernisation of STEG.
Since the start of its operations in Tunisia in 2012, the EBRD has invested close to €1.2 billion across 52 projects in the country, in both the private and public sectors.