As of 2023, Libya has installed solar power capacity, with a total of 8 MW.⁵

In its renewable energy strategy for the period 2013-2025, the Libyan government established targets to achieve 450 MW by 2025. Additionally, it aimed to develop 800 MW of concentrated solar power (CSP) by 2025.⁶

⁷

The major source of electricity generation is Fossil Fuel in Libya is hydro i.e. 99.98%.

• The average cost of electricity generation from Fossil Fuel is $0.004 per kilowatt hour (kWh).

⁸

Libya previously faced severe load-shedding issues, with power outages lasting up to 20 hours daily in some areas, especially during peak summer months when temperatures exceeded 40°C. However, since mid-2023, significant improvements have been made in electricity supply, particularly in Tripoli, due to restructuring efforts by the General Electricity Company of Libya (GECOL) and increased stability in the region. Despite these advancements, challenges in strengthening the grid persist, and periodic load-shedding still occurs in some regions.⁹

¹⁰

Approximately 12,000 rooftop solar systems have been installed throughout Libya with the help of USAID. This is currently the known figure.

Projected installations ¹¹

The exact number of homes projected to have solar energy systems in Libya is not explicitly stated in the available reports.

• However, Libya’s Renewable Energy Strategic Plan aims to install 6 GW of renewable energy capacity by 2030, with solar expected to constitute a significant portion.
• Based on estimates, this capacity could potentially power over 2 million homes if fully implemented, assuming an average household consumption aligned with typical residential solar outputs.

^10121314

Installed Solar Farms

Exact number of solar farms is not given but;

• Current Solar Initiatives are 12,009 systems (12,000 rooftop solar + 9 hospitals). (Known figure)

 Projected Solar Farms

2 major solar parks with a combined capacity of 700 MW.

¹⁵

Current Off-Grid Solar Market Demand in Libya:

• Libya faces significant challenges in providing electricity to its rural and remote areas, where approximately 200 villages with populations of 25-500 people are situated more than 25 km away from the national grid. Many of these households still rely on kerosene lamps for lighting, resulting in both high greenhouse gas emissions and indoor air pollution.
• On average, a Libyan household consumes about 3.6 liters of kerosene per month, spending 2.1 Euros, which constitutes 13% of their monthly expenditure.
• The demand for off-grid solar solutions is increasing, with the deployment of solar photovoltaic (PV) systems, solar irrigation pumps (SIPs), and solar mini-grids (SMGs).
• Solar PV systems ranging from 1 kW to 3 kW are being installed in health centres, schools, and community facilities. These installations help to ensure reliable power for essential services in areas where the grid is unreliable or non existent.
• The Libyan government has committed to increasing its renewable energy capacity as part of the 2018-2030 Renewable Energy Strategic Plan, which targets 22% of the country’s energy mix from renewable sources by 2030. A total of 1,750 MW of solar power capacity is planned by 2024, with a significant portion expected to come from off-grid solutions.
• The government has also partnered with international organizations to enhance rural electrification, focusing on solar installations in off-grid areas.

Future Off-Grid Solar Market Demand in Libya:

• The future off-grid solar market in Libya is projected to grow rapidly due to government support and private sector involvement.
• By 2024, Libya plans to install 1,750 MW of solar energy capacity, 1,250 MW of which will come from large-scale solar farms, while the remaining 500 MW will be focused on off-grid solutions, including solar irrigation pumps and solar mini-grids.
• The demand for solar-powered irrigation pumps is expected to rise significantly, particularly in agricultural areas like the desert regions, where farmers currently rely on diesel-powered pumps. The shift to solar irrigation pumps is expected to reduce operational costs and increase agricultural productivity.
• Additionally, solar mini-grids will see increased deployment in remote areas like Misrata, Tawergha, and other rural regions, where off-grid energy solutions will be crucial for local economic development and community welfare.
• The cost of solar technology continues to decrease, making solar solutions more affordable for both private developers and end-users. The entry of private developers into the sector is expected to accelerate market growth, enabling broader adoption of off-grid solar technologies.

¹⁶

Current On-Grid Solar Market Demand in Libya:

• Libya’s on-grid solar market is in its infancy, with the majority of solar installations being small-scale projects rather than large utility-scale plants. While Libya has significant solar potential, there is still a lack of infrastructure and large-scale investments in on-grid solar power.
• The country’s energy generation is predominantly reliant on fossil fuels, with gas and oil-based power plants accounting for the majority of the electricity supply.
• In recent years, the Libyan government, with support from international organizations like the European Union (EU) and the German Development Bank (KfW), has started laying the groundwork for solar energy development.
• Key projects include pilot solar installations and collaborations with international investors to attract financing for future large-scale solar plants. Notably, in 2023, Libya’s Ministry of Electricity announced plans for the construction of a 500 MW solar park in the Fezzan region, marking the country’s most ambitious solar project to date.
• Despite these efforts, the market remains limited by political instability, regulatory challenges, and a lack of a fully developed renewable energy policy framework.

Future On-Grid Solar Market Demand in Libya:

• The future demand for on-grid solar energy in Libya looks promising, with solar power expected to play a central role in the country’s energy mix.
• The Libyan government aims to develop up to 2 GW of solar capacity by 2030, aligning with global sustainability goals and reducing dependence on fossil fuel-based power plants.
• The country’s first 500 MW solar park in Fezzan is a crucial step in the development of the on-grid solar market, which, if successful, could pave the way for additional large-scale projects in the coming years.
• The addition of solar capacity to the national grid will help address power shortages, particularly during peak demand times when the grid struggles to meet the needs of both residential and industrial consumers.
• One of the main drivers for future growth is the increasing emphasis on energy security. Libya’s heavy reliance on conventional power plants and the vulnerability of its electricity grid to disruptions makes the integration of solar energy a more reliable and resilient solution
• In the coming years, as Libya attracts more foreign investment and secures funding for solar projects, the country is expected to see significant developments in its on-grid solar infrastructure. This includes not only large-scale solar parks but also smaller distributed solar installations that can help reduce the strain on the national grid.
• By leveraging solar energy, Libya can create a more sustainable and diversified energy system that will support the country’s long-term economic growth while addressing environmental and energy security concerns.

¹⁷

• Average Salary: $5,220.60 per year.
• Lowest Salary: $2,868.60 per year.
• Highest Salary: $8,748.60 per year.

The current population of Libya is 7,415,678.¹⁸

Estimate for Factory Rent

Monthly Average Warehouse Rental Cost ¹⁹

The minimum and maximum warehouse rental prices in Libya are as follows:

• Minimum in Misrata $315/month and maximum in Misrata, Al-Skeirat: $27,930/month

Key Components of Administrative Costs

Salaries and Wages: ¹⁷

• Average Salary: $5,220.60 per year.
• Lowest Salary: $2,868.60 per year.
• Highest Salary: $8,748.60 per year.

Commercial Electricity Prices ³

The commercial electricity rate is USD 0.009.

Monthly Rents for Office Space ²⁰

The amounts can range from about 167 USD to 175.35 USD for the standard options and 261.80 USD to 275.89 USD for the premium options.

Electricity Generation ²¹

• In 2021, Libya produced a total of 34,629 gigawatt-hours (GWh) of electricity, with nearly all of this output (34,621 GWh) coming from non-renewable sources, accounting for almost 100% of the total generation.

Transmission & Distribution ²²

• In the Libyan power grid, the main voltage levels for transmitting electricity from generating plants to regional load centres are 400 kV and 220 kV.
• Within local regions, power is distributed through lower-voltage lines operating at 66 kV, 32 kV, and 11 kV​.

 Energy Access ²³

• In 2022, the percentage of the population with access to electricity in Libya was reported to be 70%​.

Energy Exports ²⁴

• Over the past five years, Libya’s exports have increased by $15.7 billion, rising from $20.3 billion in 2017 to $36 billion in 2022.
• The largest contributors to this growth include Crude Petroleum ($30.3 billion), Petroleum Gas ($3.04 billion), Gold ($744 million), Refined Petroleum ($700 million), and Scrap Iron ($250 million)​

²⁵²⁶

Renewable Energy Authority of Libya (REAOL) and Legal Framework

In 2007, the Libyan government established the Renewable Energy Authority of Libya (REAOL) through Law No. 426. REAOL’s primary objective is to implement policies that will help Libya achieve its renewable energy targets. The Authority is responsible for overseeing the development of renewable energy projects, supporting industries related to renewable energy, proposing relevant legislation, and assessing Libya’s renewable energy potential to prioritize key areas for investment by:

• Administrative Contracts Regulation 563/2007 (ACR) and CoM Decree 12/2023: These provide general guidelines for government procurement and contracts in the energy sector.
• Libyan Civil Code (1953) and Commercial Code (2010): These provide the legal basis for contract law and commercial transactions, including for renewable energy projects.
• Decree 207/2012 (now replaced by Decree 944/2022, though suspended): Regulates the activities of foreign enterprises in Libya and is a key consideration for international investors.
• Investment Laws (Law 9/2010 and Executive Regulations): These laws encourage investment in various sectors, including renewable energy, by offering incentives and frameworks for foreign and domestic investment.

Solar Energy and Regulatory Support

The policy primarily supports solar energy through the development of both solar photovoltaic (PV) and solar water heating (SWH) technologies. The government has incentivized projects in these areas to contribute to both residential and large-scale energy needs.

• Solar PV Systems

Regulations for solar PV projects focus on promoting installation in off-grid areas and enhancing grid-connected systems, especially where the grid infrastructure is unreliable. The government is encouraging investments in solar power, particularly for remote communities that lack access to conventional energy grids.

Long-Term Strategy and Collaboration with International Partners

Libya’s energy policy, including the promotion of solar energy, is supported by international partners like the European Union, USAID, and various financial institutions. These collaborations help Libya in creating frameworks for investment, sharing technical expertise, and addressing the challenges of political instability and legislative gaps.

²⁷²⁸¹²

The government of Libya has introduced several initiatives to promote solar energy and renewable energy development in the country.

Subsidies and Financial Support for Renewable Energy

Libya’s Renewable Energy Strategy, which includes solar and wind energy as key components, aims to diversify the national energy mix. Although specific subsidies for solar panel production are not detailed, the government has partnered with international organizations like USAID to provide technical assistance and improve transparency in the energy sector. These efforts indirectly support the adoption of renewable energy technologies, including solar power.

Incentives for Solar Energy Projects

Libya is focusing on large-scale solar energy projects as part of its strategy to meet its renewable energy targets, including a 20% share of renewable energy in the national energy mix by 2035. The government has been working on creating a more attractive investment environment, including proposing Public-Private Partnership (PPP) models to reduce investment risks. In these models, both the government and private investors share the financial burden of solar energy projects.

De-risking Foreign Investments

To address political instability and gaps in the legislative and banking systems, Libya is developing solutions like a guarantee fund to mitigate risks for foreign investors in renewable energy projects. Additionally, the government is exploring alternative guarantees from international financial institutions, such as the World Bank and MIGA, to encourage foreign investment in the solar energy sector.

^12131410

Current Projects

GoGreen National Renewable Energy Strategy

Location: Libya

Capacity: 500 MW (from 12,000 rooftop solar systems)

Inauguration Date: August 2024

Details:

• The GoGreen initiative is Libya’s first national renewable energy strategy, developed with support from USAID.
• It include incentives such as low-interest loans and tax breaks to encourage the installation of 12,000 rooftop solar systems, generating 500 MW of electricity across the country.
• The project aims to reduce reliance on fossil fuels, mitigate risks from climate-related disasters, and provide sustainable energy solutions to homes and businesses.
• The strategy will help Libya transition to renewable energy while addressing the economic burden of electricity subsidies.

Libya (Tripoli, Sebha, Benghazi)

Capacity: Not specified in terms of MW, but includes solar power systems for nine hospitals and five additional hospitals, along with solar street lights.

Inauguration Date: January 1, 2018 (initial announcement)

Details:

• Solar energy systems were installed by UNDP to provide uninterrupted power supply to nine hospitals in Tripoli, Sebha, and Benghazi, helping to ensure critical health services.
• The system consists of solar rooftop panels and high-capacity batteries to store energy and provide a stable power supply.
• The project aims to prevent power outages that previously jeopardized medical procedures and damaged hospital equipment.
• The initiative also helps hospitals reduce their annual electricity costs.
• This project is part of the UNDP’s broader Stabilization Facility for Libya, launched in 2016, to bridge the gap between humanitarian aid and sustainable development.

Future Projects

Ghadames Solar PV Park

• Capacity: 200 MW
• Location: Nalut, Libya
• Year Inaugurated: 2027
• Details: The Ghadames Solar PV Park is a ground-mounted solar PV power project planned over 500 hectares. It is currently at the permitting stage, with construction expected to commence in 2026. The project is owned entirely by AG Energies, which specializes in renewable energy solutions. Power generated from this plant will be sold to the General Electricity Company of Libya under a power purchase agreement.

Al-Sadada Solar PV Park

• Location: Tripoli, Libya
• Capacity: 500 MW
• Inaugurated Date: 2026
• Details: The Al-Sadada Solar PV Park is a ground-mounted solar PV project with a capacity of 500 MW, located in Tripoli, Libya. It is expected to generate 152,000,000 MWh of electricity using 1,200,000 solar modules. The project is fully owned by TotalEnergies, a global multi-energy company specializing in renewables, natural gas, and biofuels, among other energy sectors. Currently at the permitting stage, the construction is set to begin in 2025, with commercial operations commencing in 2026.

Solar Power Solutions Pvt Ltd

Location:

Headquarters: Libya

Website: solarpspl.com

Products and Services:

Solar Power Solutions specializes in providing comprehensive solar installation and EPC services, including rooftop solar plants, large-scale solar power plants, and solar EV charging stations. The company offers a wide range of solar energy products, such as solar panels, solar water heaters, solar pumps, and solar lights, designed to meet diverse energy needs. Their services encompass system design and consultation, ensuring tailored solutions for every client. Additionally, they focus on manufacturing and supplying high-quality solar panels, coupled with efficient commissioning and reliable after-sales support to guarantee customer satisfaction and optimal system performance.

LIBYAN SOLAR System Company

Location:

• Hay Al-andalus, Tripoli – Libya

Website: https://lssc.ly/en/

Products and Services:

The LIBYAN SOLAR System Company offers a comprehensive range of solar energy products and services tailored to meet diverse energy needs. Their product portfolio includes advanced battery solutions such as Lithium Tower Batteries, Solax Tower Systems/Hybrid batteries, and Lithium Dyness Batteries. They also provide high-performance solar panels, including the Hi-MO 5m LR5-72 HPH 550 M, designed for optimal energy efficiency. Additionally, the company specializes in cutting-edge inverters like the PDS51-4T011-E and PDS33 Agricultural Inverters, as well as models such as S6-EH3P10K2-H, S6-EH1P8K-L-PRO, and S6-EH1P6K-L-PRO, which cater to both residential and agricultural applications.

Sola Renewable Energy

Website: https://sola.ly/en/

Location: Khalid Bin Walid Street, Al-Qadisiyah Square, Tripoli, Libya

Product and Services

Sola Renewable Energy provides a range of services focused on the development and implementation of renewable energy solutions. They specialize in designing, installing, and maintaining energy systems tailored to the specific needs of their clients, which include prominent organizations such as MedSky, Hommer, Oillibya, and local airports. Operating from their headquarters at Khalid Bin Walid Street, Al-Qadisiyah Square, Tripoli, Libya, Sola is committed to delivering sustainable and efficient energy solutions aligned with their corporate values of innovation, reliability, and environmental stewardship.