Niger and Algeria have launched the construction of a 40 MW gas-fired power plant in Niamey, designed to secure the capital’s energy supply and strengthen the country’s energy sovereignty. This project, led by Sonelgaz and NIGELEC, is scheduled to be operational by the end of June 2026 and is part of the strategic partnership between Algiers and Niamey.

Niger’s Energy Context

Niger remains heavily dependent on electricity imports, even as demand increases with urban and population growth. In 2022, the electricity access rate was only 19.5%, illustrating the scale of the energy deficit that needs to be addressed to support economic and social development.

Since the embargo imposed on the country, the Nigerien authorities have made “energy independence” a central pillar of their strategy, with the goal of drastically reducing the share of imports in national consumption. The effort focuses both on new means of production and on diversifying partnerships, particularly with neighboring countries like Algeria.

Characteristics of the 40 MW power plant

The new “Algerian-Nigerian Solidarity” power plant will be located at the Gourou Banda site in Niamey. The project involves the installation of two 20 MW gas turbines, bringing the total capacity to an additional 40 MW for the Nigerien grid.

Commissioning is scheduled for the end of June 2026, making it a short-term project within the country’s energy infrastructure portfolio. The plant will strengthen the existing capacity of the Gourou Banda power plant and improve grid stability, especially in the capital where demand is most concentrated.

A project at the heart of Niger-Algeria cooperation

The project is the culmination of a memorandum of understanding signed between the Algerian state-owned company Sonelgaz and the Nigerien Electricity Company (NIGELEC), following discussions that began in 2024. It was officially launched on the instructions of Algerian President Abdelmadjid Tebboune, following the visit of the Nigerien Head of State, General Abdourahamane Tiani, to Algeria in February 2026.

The groundbreaking ceremony took place on March 24, 2026, in Niamey, in the presence of Prime Ministers Ali Mahaman Lamine Zeine and Sifi Ghrieb, as well as members of both governments. For Niamey, the authorities present this power plant not as a simple donation, but as a concrete lever for partnership to support Niger’s commitment to energy independence.

Expected Impact for Niamey and the Nigerien Economy

With 40 MW of additional capacity, the power plant is expected to help reduce recurring power outages in Niamey and secure the electricity supply for households, public services, and businesses. Improved electricity service quality is crucial for industrialization, the growth of digital services, and the capital’s attractiveness to investors.

This strengthening of the local supply will also help to limit, in the long term, the energy import bill and improve the country’s resilience to regional geopolitical shocks. In the longer term, the authorities present this project as an intermediate step towards a more diversified energy mix, integrating more solar power and new domestic production capacity.

Medium-Term Challenges and Prospects

Beyond the purely quantitative contribution in megawatts, the Niamey power plant symbolizes a repositioning of Niger within its energy and economic alliances. Enhanced cooperation with Algeria paves the way for further joint energy and infrastructure projects, as the Sahel seeks a new political and financial balance.

The main challenge now lies in adhering to the timeline, ensuring gas availability, and integrating these 40 MW into a still-fragile grid. If these conditions are met, this power plant could represent one of the first tangible milestones on a path toward greater energy sovereignty for Niger.