The Regie Libanaise de Tabacs et Tombacs inaugurated on Friday its strategic hybrid power plant at its Hadat headquarters, in the presence of Chairman and General Manager Eng. Nassif Seklaoui and Finance Minister Yassine Jaber.
During the event, Jaber said that “The state, with all its institutions, is committed to implementing a transparent program, in cooperation with the International Monetary Fund (IMF),” urging the international community “to exert pressure on Israel to end its ongoing aggression and to fully comply with the provisions of resolution 1701.”
Among those present at the inauguration ceremony were Rima Makki, acting chairperson of the Supreme Customs Council; Raymond el Khoury, acting director general of Customs; Georges Aoun, mayor of Hadat; Alia Abbas, advisor to the finance minister; and Lamia Moubayed Bissat, president of Institut des Finances Basil Fuleihan.
The event was also attended by Regie Board Members Eng. Georges Hobeika, Dr. Issam Salman, Dr. Mazen Abboud and Eng. Imad Bissat, as well as Government Commissioner to the Regie Mirna Baz and Financial Auditor Carol Youssef.
The Regie explained in an introductory video that the hybrid power plant is a strategic project for the institution, “as it increases the share of renewable solar energy in its consumption from 20% to 40%, resulting in substantial reductions in operating costs and considerable financial savings.”
It added that “A total of 2.5 million dollars was invested in this project, with an annual return on investment of 35%,” and noted that the cost is expected to be recovered within six years.
Jaber
Before cutting the ribbon, Jaber delivered a speech in which he highlighted that the Regie “constantly strives for development, driven by a purposeful will to increase production and achieve success, time and again (...).
It is one of the few self-sustaining and self-developing state institutions, and contributes to the Treasury while also working toward genuine development.”
“The Regie plants, manufactures and exports, thereby providing fairly paid job opportunities across the agricultural, industrial, administrative and commercial sectors to a large workforce including men and women, both young and old.
In turn, thanks to its efforts and strategic planning, the Regie generates calculated profits, supporting the state with significant revenues — indeed, among the best revenues we receive,” he said.
“The Regie is not only a tobacco and tunbac administration, but it is also an administration of resilience, production and development,” he added. “Whether in southern Lebanon, in the Bekaa or in the northern part of the country, it offers support, guidance and contributions to farmers. It has even assisted and partially compensated municipalities, to the extent possible, in areas affected by the Israeli war on Lebanon. This reflects what it truly means to foster resilience and attachment to the land, which is, in itself, an act of faith in the face of any crisis, no matter how severe the storms may be or whatever form they may take.”
“One of the most pressing socio-economic challenges is the creation of job opportunities in the absence of adequate infrastructure,” Jaber stated.
“Compared to other peripheral areas in the country, southern Lebanon has benefited from infrastructure that facilitates access to education and healthcare.
Distances have also been reduced thanks to the highways connecting the region to Beirut and other major cities. In addition, southern Lebanon is home to several schools, universities and hospitals,” he noted. “Here, we must acknowledge the role of Parliament Speaker Nabih Berri and his parliamentary bloc, who have consistently worked toward development for more than thirty years.”
“Job opportunities in southern Lebanon, however, remain insufficient to absorb the entire workforce. As a result, many residents relocate to urban areas, leading to internal migration and rural depopulation,” he explained.
“This is where the Regie plays an important role, as it helps farmers remain on their land by providing them with a decent income. As the saying goes: ‘A self-sufficient farmer is a king in disguise.’ Many doctors and engineers from southern villages and from other regions were able to pursue their education thanks to tobacco cultivation.”
“During harvest season, tobacco farmers turn their homes into a workshop where the entire family, young and old, women and men alike, work all together to prepare the crops for delivery,” he continued.
“At the Ministry of Finance, we have never left behind – nor will we ever leave behind – remote areas. We have taken all possible measures to ease the hardship of residents having to travel to distant administrative centers.
This includes expanding the network of land registry offices in Sour, Nabatieh and Jezzine. We are also working on opening additional branches in other districts to bring the administration closer to the people.”
“This initiative is a small step on the path toward developmental decentralization. However, what matters most is the reconstruction process, which remains a primary concern for most Lebanese people, especially for tobacco farmers who remain steadfast on their land and whose homes were damaged or even destroyed,”
Jaber said.
“Based on this, and using the Treasury’s own available resources, we began providing compensation for the damages. Initial payments have already been made to the Council for the South and to the High Relief Committee, and additional installments will follow. This is being implemented as part of a serious plan, for which the government has formed a committee that has already begun practical work to assess damages, estimate their cost and determine assistance mechanisms,” he explained.
“Moreover, we are expecting to start receiving loans, the first of which is a $250 million reconstruction loan from the World Bank. This loan is part of a foundational fund that could reach up to $1 billion.
France has so far contributed €75 million to this fund, and we await support from our friends and partners, some of whom have already expressed willingness to contribute. The participation of several investors in a conference held in Beirut two days ago was highly encouraging and gives us hope for promising days ahead.”
Jaber then pointed out that “The Regie has set a great example of public–private partnership. Although it is a state-owned institution, it has adopted a different approach and relies on the private sector in many of its operations, in line with the current government’s policy to encourage such partnerships.”
He revealed in this context that “The first public–private partnership project announced by the government was the René Mouawad Airport in Qleiaat, a project that had been discontinued for thirty or forty years.”
“When the project was announced, we expected that, given the country’s current circumstances, only three or four companies would express interest. To our surprise, 26 Arab and international companies submitted bids to compete for the implementation of this airport project,” he added.
Jaber also praised the partnership between the state and international and Arab companies in the gas sector, explaining that it “could reduce electricity generation costs by 40%, provide additional hours of power supply and contribute to a cleaner environment.”
“The state, with all its institutions, is committed to implementing a transparent program, in cooperation with the IMF,” he stressed.
“We have laid its foundations through a series of legislative measures and procedures, which are capable of restoring the international community’s trust in our country and reopening channels for investment. However, stability remains essential and is the main driver of economic growth.”
He affirmed that the government’s top priority is to find solutions to the depositors’ issue and to help the banking sector get back on its feet.
He compared the IMF to “a doctor who asks his patient to lose weight and quit smoking to stay healthy,” adding that “the IMF identifies the irregularities in one sector or tells us that another requires reform (...). It calls us to take action to improve our country’s situation, and if we fail to do so, we will remain in a bad situation. However, if Lebanon undertakes the reforms, the Fund issues a statement confirming that the country is complying with all international standards.”
“This partnership with the IMF is not up for debate. The government and its president have openly declared their commitment to it, and we are determined to move forward with it,” he insisted.
“From here, from this institution whose source of production is located in a region marked by ongoing tensions, we urge the international community and the countries sponsoring the ceasefire agreement to exert pressure on Israel to end its ongoing aggression and to fully comply with the provisions of resolution 1701.
Only then can southern Lebanon and all other regions once again become lands of safety and giving, built not on blood, but on prosperity and growth.”
The minister concluded, saying: “Congratulations on this new project aimed at transitioning to renewable energy. This type of energy not only lowers operating costs and provides more stable and efficient power, but it also respects environmental standards, which are a fundamental pillar of sustainable development. This project is part of the Regie’s ongoing development efforts, and we look forward to seeing further achievements. We would like to extend our thanks to the Regie’s successful management, without which the institution would not have been able to remain resilient, sustain production or become a sought-after workplace for many of those seeking decent employment.”
As for Seklaoui, he said that “The new power plant confirms that the Regie has chosen to show (...) what a public institution can achieve when there is a will, a vision and a sound decision-making mechanism.”
“In line with our institutional responsibility, we at the Regie dared to go further... We chose to anticipate decisions and initiate the environmental transition ourselves, of our own free will, after Lebanon committed to the climate agreement and before the issuance of any decrees or decisions requiring institutions to take this path,” he explained.
“Today, we are not merely inaugurating a power plant,” he continued. “We are announcing the Regie’s entry into a new phase of sustainability, continuous production and energy independence, a phase in which we reduce emissions, ease the burden on the state’s power grid and strengthen our position as an institution that is both environmentally and economically responsible. This new phase is the proof that the Regie’s success is not an exception, but the result of consistent efforts.”
“Despite the bleak image often associated with state institutions, we chose to be the light, to prove that a committed and united team can turn challenges into a new reality,” he added.
Seklaoui promised that “the journey of excellence and achievement will continue” and that “the Regie will remain a model to follow, an institution that shapes the future instead of waiting for it.”
Finally, he thanked Minister Jaber for “his trust and support” and expressed his gratitude to “all those who worked with dedication to make this achievement possible, with special mention to Eng. Paul Ghanimeh, head of the Local Production Department, Eng. Ola Sebaaly, head of the Central Equipment Maintenance Office, the entire General Maintenance team, as well as the companies EBCO (BITAR) and Edan Group.”
Ghanimeh delivered the technical briefing during Minister Jaber’s tour, outlining the hybrid power plant’s features, operating mechanism and benefits.
As for Sebaaly, she explained that the plant “relies on four European-made diesel generators, with a total power capacity of 4,400 KVA, and on an 800 KVA solar power system, supported by an advanced smart operating and control system that ensures maximum efficiency.”