On June 30, 2026, the Multilateral Investment Guarantee Agency (MIGA), home of the World Bank Group Guarantee Platform, issued a guarantee of €13.05 million to Aeolus SAS (France), a joint venture between CFAO SAS (France) and Eurus Energy Holdings Corporation (Japan), both wholly owned subsidiaries of Toyota Tsusho Corporation (Japan), for their investment in Scatec Khobna PV Power SARL in Tunisia. The guarantee covers the risks of transfer restriction, expropriation, war and civil disturbance, and breach of contract for a period of up to 20 years.

 

The guarantee will support the development, financing, construction, operation, and maintenance of a 100-MW grid-connected solar photovoltaic power plant in the Mezzouna delegation of Sidi Bouzid Governorate, c. 260 kilometer south of Tunis and adjacent to the first 50MW grid-connected Sidi Bouzid solar plant also supported by MIGA (see https://www.miga.org/project/tozeur-and-sidi-bouzid-solar-plants-1 to learn more about the MIGA guarantees issued to Aeolus SAS for their investments in the 50MW grid-connected Tozeur and Sidi Bouzid 1 solar projects in Tunisia). The project comprises a photovoltaic plant and high-voltage transmission infrastructure, which includes 12 kilometers of overhead transmission lines. Electricity generated from the projects will be sold to the state-owned utility, Société Tunisienne de l’Electricité et du Gaz, under a 25-year power purchase agreement.

 

The project is being developed in partnership with Scatec (Norway) and financed by the European Bank for Reconstruction and Development (EBRD) and European Investment Bank (EIB). The project supports the government of Tunisia’s efforts to enhance energy security, improve energy efficiency, and reduce reliance on imported energy through the expansion of renewable energy. Tunisia currently relies on fossil fuels for 94 percent of its domestic power generation, with ambitions to increase the share of renewables to 35 percent by 2030. The project is strategically important for Tunisia, helping the country to meet growing demand for energy sustainably.

 

The Project is classified as Category B under MIGA’s Policy on Environmental and Social Sustainability (2013). See https://www.miga.org/project/sidi-bouzid-ii-solar-pv-0 for the Project’s Environmental and Social Review Summary.

 

The Project is expected to yield significant development impact in Tunisia, with key benefits including: (i) improved sustainability and affordability of the power sector through increased renewable energy generation and reduced average electricity generation costs; (ii) enhanced energy security by reducing dependence on imported fossil fuels and diversifying Tunisia’s energy mix; (iii) climate change mitigation benefits through the avoidance of greenhouse gas emissions associated with conventional thermal power generation; and (iv) support for Tunisia’s renewable energy transition, contributing to the government’s target of achieving 35 percent renewable energy generation by 2030.