The National Energy Efficiency Fund (FNME : 2005-2013) (Fonds National de Maîtrise de l’Energie) has been converted to the National Energy Transition Fund (FTE) (Fonds de Transition Énergétique) in 2014 with an increase in its resources through the application of new taxes on energy products (law n°2013-54 art. 68) and the diversification of its intervention methods through the provision of credits and support for energy efficiency projects in the form of repayable grants or equity participation, as detailed in decree n°2017-983.
The new interventions of the FTE are operational following the publication of the procedural manual stipulated by article 25 of governmental decree n°2017-983, which was finalized in March 2020 and approved by ministerial order dated September 30, 2020.
The actions of the FTE are part of the national energy transition strategy, which provides, in accordance with the Paris Agreement on climate change ratified by Tunisia, for a 41% reduction in carbon intensity, a 30% reduction in energy demand by 2030 (15% for buildings, 8% for industry, 7% for transportation), and a 30% increase in the share of renewable energies in the country’s electricity mix by 2030 (13.8% wind, 11.9% photovoltaic, 3.5% concentrated solar thermal), 0.8% biomass.
The National Agency for Energy Management (ANME) (L’Agence Nationale pour la Maîtrise de l’Energie) under the Ministry of Energy, Industry and Mines of the Republic of Tunisia will implement an integrated communication plan to promote the interventions of the Energy
Transition Fund and encourage various economic institutions to engage in the national effort in this field.
Throughout recent years of activity, the FTE has been involved in actions to support material and immaterial investments aimed at energy management in energy establishments, through the provision of various financial assistance including: Grants for immaterial interventions, not exceeding 70% of the cost with a ceiling ranging from 30 to 200 million dinars depending on the operation, grants for material interventions at rates ranging from 20% to 30% with a ceiling ranging from 3 to 200 million dinars depending on the operation, subsidized credits to support material investments up to 25% of the investment cost, these credits cannot be granted without the allocation of a bank loan of the same value.
It also includes various interventions to encourage the implementation of energy management projects for its own account, projects aimed at providing energy management services for others, centralization projects for the production means and its distribution among energy-consuming establishments, and projects to produce electricity from renewable energies for self-consumption purposes. These interventions are in the form of grants not exceeding 10% of the equipment cost with a ceiling of 200 thousand dinars and which can be included in the financing scheme, repayable grants, or capital participation at a rate not exceeding 60% of the equity or capital and credits granted for energy management projects for their own account at a rate of 35% of the total investment cost with a ceiling ranging from 350 to 600 thousand dinars depending on the operation provided that a bank loan of the same value is granted.
The Fund also includes interventions to finance one-off national projects and programs carried out by the State and local authorities to reduce the state subsidy allocated to energy products. The Fund provides partial or total financing for these programs. Their execution modalities, target groups, costs, and financing schemes are determined by a joint decree of the ministers responsible for the organizations involved in the execution of these programs, upon proposal from the technical commission responsible for issuing opinions on the allocation of fund interventions.
