Chakib Khellil forced Sonelgas to pay fines for the Canadian SNC Lavalin

The general prosecutor of the court of Algiers has instructed the finance brigade to complete the investigations over the scandal that surrounded the deal sealed between the Algerian energy company Sonelgaz and the Canadian SNC Lavalin for the construction of a power plant in the province of Tipaza, 40 KMS west of Algiers, that cost billions of dollars to the national treasury.

Reliable sources have revealed to Echourouk that the scandal broke out following several irregularities noticed during the signature of the deal including granting the contract to the Canadian company through mutual agreement in addition to obliging the Algerian company to buy power capacities from Lavalin over 20 years.

Documents, of which Echourouk received a copy, reveal that Sonelgaz pays the Canadian company although Algeria is not in need of energy that this one produces, forcing many national power plants to stop their activities like the one based in the municipality of Larbaa, eastern Algiers.

Among the incentives granted to the Canadian company, the of gas to for its power plant for free while the national plants have to pay their bills on regular basis, the use of sea water for free to cool its turbines in addition to a free acquisition of a land slot to erect its project.

The company has also benefitted from a three year period tax exonerations as part of the agreement signed with the National Agency for the Promotion of Investments and other related taxes.

The company’s CEO has indicated that he had obeyed to instructions given by the former energy minister Chakib Khellil.