Algeria will invest nearly 15 billion euros ($20.5 billion) over the next 20 years to boost electricity production from renewable energy sources, the public Sonelgaz group said on Monday.

"The total sum of electricity production development between 2011 and 2021 is nearly 2,600 billion dinars (25.9 billion euros, $35.4 billion), 1,500 billion of which (15 billion euros) will be dedicated to renewable energy," Nordine Bouterfa, the head of Sonelgaz, told a press conference.

"By 2030 some 40 percent of electricity production for national consumption will come from renewable" energy, he said.

Algeria currently produces nearly all of its electricity from natural gas.

In July Algeria inaugurated a hybrid power plant that produces electricity using both solar panels and natural gas. The plant is Algeria's first solar plant, has a capacity of 150 megawatts and is located in the Saharian region of Hassi R'mel, some 500 kilometres south of the capital Algiers.