Accompanied by General Saïd Chanegriha, Chief of Staff of the National People’s Army, and several key ministers including those responsible for Energy, Interior, and Water Resources President Tebboune emphasized the strategic importance of such projects in a context marked by water stress and climate change. The Cap Djinet 2 plant is one of five large-scale desalination facilities being developed across Algeria, including in El Tarf, Béjaïa, Boumerdès, Tipasa, and Oran. Each will produce 300,000 cubic meters of water per day, bringing the total national output to 1.5 million cubic meters daily.
This $2.4 billion investment is a structural response to the challenges posed by drought and climate variability. By 2030, Algeria plans to further expand its desalination capacity with six additional plants, reinforcing its position as a regional leader in the field.
Beyond addressing water shortages, this strategy turns the water sector into a key economic driver, paving the way for strategic investment opportunities in the engineering and construction of desalination plants, the operation and maintenance of hydraulic infrastructures, and the development of innovative technologies to optimize water management
Attracting investors to modernize the water sector
The Algerian government is adopting a strategy of openness to foreign investors and public-private partnerships (PPPs) to accelerate the modernization of its water sector. Several areas are particularly promising : wastewater recycling and reuse. At present, only 50% of wastewater is treated. Algeria’s ambition is to increase this rate to 60% by 2030, involving investment in wastewater treatment plants, advanced filtration technologies and intelligent water resource management. Digitization and automation of water distribution are essential to limit losses and improve network efficiency. Solutions based on artificial intelligence and the Internet of Things (IoT) are increasingly in demand, as are storage and distribution infrastructures. Optimizing reservoirs and piping systems is a key issue in ensuring efficient water distribution throughout the territory. With an evolving regulatory framework and growing needs, Algeria is becoming an attractive market for companies specializing in water management and environmental technologies
Wastewater reuse : a strategic alternative
Algeria has 240 wastewater treatment plants, but their potential remains under-exploited. Increasing the reuse of treated wastewater in agriculture and industry could significantly reduce pressure on groundwater reserves and dams. This presents a vast investment opportunity for companies specializing in water treatment and resource recovery.
Protecting groundwater : a critical priority
In regions like Ouargla and El Oued, excessive groundwater extraction is causing rising water tables, leading to agricultural flooding and soil salinization. To address these risks, experts advocate for “aquifer contracts,” a collaborative management approach involving farmers, industries, and government authorities.
With water demand continuously rising, comprehensive sector reform has become a national priority. By diversifying its solutions expanding desalination, promoting wastewater reuse, improving groundwater management, and leveraging technology nAlgeria is laying out a sustainable roadmap for long-term water security. Beyond domestic supply, water is a fundamental resource for agriculture and industry. Efficient management will not only enhance food security but also drive broader economic growth.
Algeria is positioning itself as a leader in Africa and the Middle East, offering investors a unique opportunity in a rapidly expanding market. The country’s ongoing initiatives demonstrate its commitment to meeting future challenges while ensuring sustainable and responsible growth.