Algeria expands electricity output and gas production amid energy sector push

Algeria ranked fifth among Arab nations in electricity generation in 2025, producing 103.5 TWh—up 2.3 % from the previous year—behind Saudi Arabia, Egypt, the United Arab Emirates and Iraq. The growth reflects rising domestic demand and ongoing reliance on natural‑gas‑fired plants, while renewable capacity is gradually increasing.

In the first five months of 2026 the country’s natural‑gas output rose 5 % to 45.841 billion m³, with May’s production reaching 8.342 billion m³, a 6 % gain over the same period in 2025. Domestic consumption grew 1.1 %, driven by the power sector, which draws 99 % of its fuel from gas. The surge follows President Abdelmadjid Tebboune’s order for Sonatrach to double hydrocarbon production and a $60 billion investment plan for 2026‑2030, targeting 200 billion m³ of gas by 2030. Gas exports rose more than 11 % in May, bolstered by new fields such as Tin Fouye Tabankort Sud and In Amenas II, and by Europe’s search for alternative supplies amid the Ukraine war and renewed Middle‑East tensions.