North Africa’s thirst for power highlights need for structural changes in domestic markets
The power sector in North Africa is the main driver of gas consumption in exporting countries Algeria, Egypt and Libya, as well as in transit states Tunisia and Morocco. With demand for electricity expected to continue on its upward trend in the medium term, exporting countries are facing pressure on their export expansion plans, while Morocco and Tunisia have to make tough decisions to secure future supplies. Internal reforms are also needed to attract more investments in power projects and the stalemate over the removal of artificially low domestic prices is a prime example of the difficulties ahead.
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