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Tunisia News

Tunisia · Europe · Geopolitics: the daily brief
Background

Power and water cuts

The July 2026 heatwave brought rotating power cuts to Tunisia, and water rationing with them, because SONEDE's pumping stations run on the grid. The argument since is whether the heat created the electricity shortage or only exposed one that was already there.

Tunisia's July 2026 power cuts followed a decade of falling investment. The Tunisian Economic Observatory counts STEG's spending on generating plant down 87 percent, from 1.947 billion dinars in 2016-2020 to 248 million in 2021-2025. STEG blames the heat.
Power and water cuts

Tunisia's rotating power cuts began on 12 July 2026. Inkyfada puts them mostly between 1pm and 5pm, when air conditioning drives demand to its daily peak. STEG, the state electricity and gas utility, switches off zones in turn for short periods so that the whole network does not go down at once. On 17 July an engineer at the national meteorology institute, Anis Satouri, told national radio that Kairouan had reached 49.7C, one of the ten highest readings in the world that day.

STEG's chief executive, Fayçal Trifa, put consumption in the 2pm to 4pm peak at 5,000 MW, about 30 percent above normal. Supply from Algeria was weak, he said, because Algeria was under the same heat. Inkyfada traces the fall in imports to a breakdown at Sidi Okba, in Algeria. SONEDE, the national water utility, is STEG's main customer. Its chief executive, Abdelhamid Mnaja, says about 1,500 pumping stations run on grid power, so cuts can lower how much water it produces.

In a report in early August, the Tunisian Economic Observatory put STEG's investment in generating plant at about 1.947 billion dinars over 2016-2020 against 248 million over 2021-2025, a fall of 87 percent. Demand grew 3.8 percent a year between 2021 and 2025. It counts about 870 MW of STEG projects stalled since 2018, their tender files complete, waiting for approval from the industry, mines and energy ministry.

Nobody agrees on how far demand outran supply. The economic observatory's record peak is 4,888 MW, set on 14 August 2024. Trifa's 5,000 MW is consumption during July's peak hours. Fathi Msalmi, who leads the STEG union, puts summer demand near 5,800 MW against about 4,200 MW available. Those are not the same measure: the observatory counts power called on the grid, imports included, and Msalmi counts what Tunisia's plants deliver. Inkyfada puts the 2026 reserve margin at a provisional 20 percent of peak consumption, against 28 percent in 2022.

STEG's figures to parliament put the 2025 selling price at 291 millimes a kilowatt-hour, against 456 to produce. On 23 June 2026 it carried 7.36 billion dinars of debt and 6.06 billion in unpaid bills. In November 2025 the World Bank approved TEREG, 430 million dollars over five years to speed renewables and lift STEG's cost recovery from 60 to 80 percent. Parliament approved state guarantees for those loans on 14 July 2026, two days after the cuts began.

3,46520143,59920153,40020164,02520173,91620184,24720194,03020204,47220214,67720224,82520234,88820244,8372025
Annual peak power called on Tunisia's grid · MW · Source: Observatoire national de l'énergie et des mines
The measure is the maximum power called on the grid, the same measure as the 4,888 MW record of 14 August 2024, and not the peak-hours consumption STEG's chief executive put at 5,000 MW. Each year carries the highest monthly peak of that year, read off the monthly chart in the national energy and mines observatory's report, which prints one value per year. The 2025 value covers January to October 2025, as the report itself states. The series ends before the July 2026 heatwave.
”The staff must not pay the price for the authorities' failure to act”
Fathi MsalmiSecretary general of the General Federation of Electricity and Gas, the STEG union affiliated to the UGTT

The numbers

Highest reading in Tunisia on 17 July 2026
49.7C
49.7C at Kairouan on 17 July 2026, among the ten highest readings in the world that day
Peak-hours consumption reported by STEG in July 2026
About 5,000 MW in the 2pm to 4pm peak, roughly 30 percent above normal, per chief executive Fayçal Trifa
Record peak, per the economic observatory
4,888 MW
4,888 MW on 14 August 2024, the record peak in the observatory's report of early August 2026
STEG investment in generating capacity
87% lower
About 1.947 billion dinars over 2016-2020, against 248 million over 2021-2025, a fall of 87 percent, per the Tunisian Economic Observatory
Tendered generation projects stalled since 2018
870 MW
The Tunisian Economic Observatory's total is about 870 MW: a 500 MW combined-cycle plant at Skhira, an 80 MW wind farm at Djebel Tebaga and six photovoltaic plants totalling 300 MW, which add to 880. All are held up for want of approval from the industry, mines and energy ministry
Grid reserve margin
20 percent of peak consumption in 2026 against 28 percent in 2022, calculated by Inkyfada from STEG and national energy observatory data. The 2026 value is provisional
Selling price against production cost, and STEG debt
291 millimes per kWh sold in 2025 against 456 millimes to produce. On 23 June 2026 STEG carried 7.36 billion dinars of debt and 6.06 billion dinars in unpaid customer bills
World Bank programme for the power sector
TEREG: 430 million dollars over five years, including 30 million in concessional financing from the Climate Investment Funds, approved 11 November 2025. The bank expects it to lift STEG's cost recovery from 60 to 80 percent and to cut state subsidies by 2.045 billion dinars

What the comparison shows

Where they agree

Nobody disputes that demand outran what STEG could deliver in the July 2026 heatwave. STEG's management and the utility's own union give the same reason for the rotating cuts. Trifa says they were ordered to keep the national grid from collapsing, and Msalmi says that without them the country could have gone to a general blackout.

Where they split

STEG's management points outward, to the heat and to weak Algerian supply after a breakdown at Sidi Okba. The Tunisian Economic Observatory points inward, to the investment collapse, and reads the cuts as the sign of a structural imbalance rather than of a hot week. The union and the solar installers' chamber share that diagnosis but part on the remedy. Msalmi wants investment accelerated and STEG's role in renewables strengthened. Kanzari wants a million households fitted with panels. The employers' organisation is not arguing about cause. It says it will sue STEG so that firms can claim their losses.

What nobody is saying

TEREG's two targets for STEG's finances, cost recovery up from 60 to 80 percent and 2.045 billion dinars less in state subsidy, say nothing about the price a household pays. The World Bank cites reforms such as cutting technical and commercial losses and raising the share of renewables, and expects electricity to become more affordable. It does not say whether the tariff rises. The unpaid bills point at the state as well: Inkyfada counts many public bodies among the customers who owe STEG 6.06 billion dinars.

Who says what

Fayçal Trifa, Chief executive of STEG, the state electricity and gas utility

Trifa presents the cuts as controlled and preventive. Afternoon demand ran about 30 percent above normal during the heatwave, he says, and supply from Algeria was weak because Algeria was under the same heat. Planned load-shedding lasts no more than an hour, and anything longer is a technical fault rather than a deliberate cut. Sensitive and strategic sites are spared. In his account the cause sits outside the utility: the temperature, the air conditioning that follows it, and Algeria's shortfall.

”la STEG se trouve obligée de recourir au délestage (coupure d'électricité préventive et temporaire), afin de maintenir un équilibre entre production et consommation”STEG finds itself obliged to resort to load-shedding (a preventive and temporary power cut), in order to maintain a balance between production and consumption
Abdelhamid Mnaja, Chief executive of SONEDE, the national water utility

Mnaja traces the dry taps to the grid. SONEDE runs about 1,500 electrically powered pumping stations and is STEG's main customer, so power cuts can lower water output and make distribution fluctuate. He says SONEDE is not cutting the water at all: what it applies is an adjustment between available supply and demand, set by production capacity and technical constraints. Night-time adjustments continue on Tunisia's central coast until new water infrastructure is running. He expects no major disruption on that coast in the summer of 2027, thanks partly to the Kalâa Kebira treatment plant due in December 2026.

”La mission de la SONEDE est d'assurer l'approvisionnement en eau des citoyens, sauf dans des circonstances exceptionnelles et indépendantes de sa volonté”SONEDE's mission is to guarantee citizens' water supply, except in exceptional circumstances beyond its control
Fathi Msalmi, Secretary general of the General Federation of Electricity and Gas, the STEG union affiliated to the UGTT

Msalmi says the shortfall was forecast and then ignored. STEG warned the authorities in 2024 that a deficit of about 800 MW was coming, he says, and the investment never followed. He puts summer demand near 5,800 MW against about 4,200 MW of available capacity, which left rotating cuts as the only way to hold the network up. Without them, he says, the country could have gone to a general blackout. He dates the commissioning of the last big plant on the grid, Radès C, to 2020 and 2021. Inkyfada dates that same commissioning to 2022.

”Les agents ne doivent pas payer le prix de l'absence de réaction des autorités”The staff must not pay the price for the authorities' failure to act
Yassine Gouiaa, President of the National Organisation of Entrepreneurs

Gouiaa's answer is legal rather than technical. His organisation says it will file a complaint against STEG, and more than 30 lawyers have volunteered to help firms document their losses and claim compensation. He names private clinics, restaurants and cafés among the businesses hit, and says more than 70 percent of cafés were affected.

”Nous avons confiance dans une justice équitable. Notre rôle est de protéger l'économie tunisienne ainsi que l'entreprise tunisienne, qui contribue à la création de richesse, à la croissance et à l'emploi”We have confidence in a fair justice system. Our role is to protect the Tunisian economy and the Tunisian firm, which contributes to wealth creation, growth and employment
Ali Kanzari, President of the national chamber of photovoltaic equipment installers and maintainers

Kanzari accepts that demand outran available capacity. He puts the cause in missing investment in new plant and in delayed renewable projects, which left Tunisia importing part of its electricity from Algeria and Libya. His answer is decentralised: simpler administrative procedures, cheaper photovoltaic equipment, and a national energy-citizenship programme letting a million families install free solar systems over five years. That, he says, could add close to 600 MW. Solar with battery storage, in his view, is one of the fastest ways to take pressure off the grid.

Kaïs Saïed, President of the Republic

The presidency says that where a cut cannot be avoided, citizens must be told in advance and the hours chosen with care. Its communique calls outages of more than twenty-four hours unacceptable, and calls the water cuts, the power cuts and the wildfires, taken together, abnormal phenomena. The state, it says, will not stand with its arms folded before anyone seeking to harm citizens and stoke tension.

”phénomènes hors normes”abnormal phenomena

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