Nourredine Boutarfa, CEO of Algerian state utility Sonelgaz says it will bring 18GW of generating capacity online by 2017. Yet, speaking on state radio this week, he also said increased electricity and gas prices are not planned, highlighting a tricky balancing act to complete the development program.
Subsidized energy in Algeria has led to annual deficits among Sonelgaz’s transmission and distribution subsidiaries of nearly AD80bn ($1.02bn). This is currently being covered through bank loans, with “the state obliged to recapitalize these companies regularly.” (CONTINUED - 429 WORDS)
