The share of renewable energy in Tunisias' total energy mix is expected to increase as demand for electricity is estimated to reach 5,687MW by 2031, says a report by Timetric.
According to the country's national agency for energy management Agence Nationale de la Maîtrise de l'Energie (ANME), electricity demand was 3,750MW in 2014.
Titled 'Construction in Tunisia - Key Trends and Opportunities to 2020', the report reveals that growth in demand for electricity is being driven by industrialisation, urbanisation, and population growth. Authorities have introduced measures to meet this growing consumption by promoting renewable energy.
The country's energy and utility construction market will also benefit from the growth of clean energy, adds the report.
The government is also trying to lure foreign companies and investors to establish manufacturing facilities in Tunisia and has introduced numerous favourable reforms. The country's banking law and investment policies have undergone a change to make conditions more conducive for foreign investors. The manufacturing facilities will also be enhanced and upgraded as part of the government's industrial modernisation programme.
The Timetric report further forecasts that the construction industry is also expected to grow at a compound annual growth rate of 1.54% from 2016 to 2020 backed by investments in power infrastructure. The industry has witnessed a flat growth period due to low investor confidence, which is now set to change owing to new reforms and policies launched by Tunisian authorities.