Three priorities are shaping Libya’s electricity investment landscape: upgrading transmission and distribution infrastructure, integrating renewable energy into the national grid and expanding gas-to-power capacity. Together, they represent a significant pipeline of projects as the country works to improve reliability while supporting industrial and economic growth.

Modernizing the Grid

Transmission and distribution investment will be central to this expansion. Libya’s electricity system continues to face pressure from rising demand, aging infrastructure and fuel-supply constraints, with power cuts again highlighting the need for additional generation and stronger networks.

Regional interconnection could provide another source of capacity. Egypt is targeting an expansion of its overall cross-border electricity interconnection capacity to around 3.9 GW, while its interconnection with Libya is also being upgraded, with capacity expected to reach around 150 MW.

For investors and infrastructure companies, opportunities extend across high-voltage transmission, substations, distribution networks, grid automation and other equipment required to modernize Libya’s power system.

Solar Moves Toward Scale

Renewable energy is also becoming a larger part of Libya’s power strategy. The country’s 2023–2035 National Strategy for Renewable Energies and Energy Efficiency targets 4 GW of renewable capacity and a 20% share of electricity consumption from renewable sources by 2035.

The 500-MW Al-Sadada solar project is emerging as a key test of Libya’s ability to move from renewable-energy targets to large-scale project delivery. Developed by TotalEnergies in partnership with the Renewable Energy Authority of Libya and the General Electricity Company of Libya, the project has completed its implementation procedures, with further development expected as Libya accelerates its renewable-energy program.

The project is part of a wider pipeline. In early 2026, REAoL completed site demarcation for three large-scale solar locations at Al-Sadada, Ghadames and Brak Al-Shati, with combined estimated potential of 4.7 GW. The work was designed to support project development and attract investors to Libya’s solar sector.

Smaller projects are also demonstrating the potential for distributed solar. In May 2025, Libya commissioned its first 1-MW solar plant in Kufra, developed by Infinity Libya and Al-Jouf Free Zone. The facility is now operational and supplies the Al-Jouf Free Zone, providing an early example of how solar can complement conventional power supply in remote and industrial areas.

Gas-to-Power Remains Critical

Gas will remain central to Libya’s electricity mix as the country seeks to increase generation while making better use of its domestic resources. Natural gas has historically accounted for more than 70% of Libya’s electricity generation, with oil accounting for most of the remainder. Gas shortages and insufficient infrastructure have nevertheless forced power plants to rely on petroleum products during periods of peak demand.

That creates opportunities to expand gas gathering, processing and transmission infrastructure alongside new and existing power-generation capacity. Projects to improve gas transmission and reduce flaring could help direct more domestic gas toward power generation.

The potential revival of the NC-7 gas development could also strengthen Libya’s gas supply base. The National Oil Corporation has explored development of discovered gas resources in the block with potential participation from Eni, TotalEnergies, ADNOC and Turkish Petroleum, although the project remains subject to further development decisions.

For Libya, the challenge is increasingly one of execution: developing enough generation, strengthening the grid and securing reliable fuel supplies while bringing renewable capacity into the system. For investors, that creates opportunities across power infrastructure, solar development, gas networks, engineering and associated services.

The Power & Renewables Forum at LEES 2027 will bring these opportunities together, examining the projects, partnerships and investment structures needed to expand Libya’s electricity system. As the country moves to improve reliability and diversify its energy mix, the forum will provide a platform for government, developers, investors and technology providers to assess the next phase of power-sector development.

Join industry leaders at the Libya Energy & Economic Summit 2027 in Tripoli and explore investment opportunities in one of Africa’s most dynamic energy markets. For more information visit www.libyasummit.com. To sponsor or participate as a delegate please contact sales@energycapitalpower.com.