The European Investment Bank (EIB), the European Union's (EU) development bank, announced today that it has signed a €70 million financing agreement with the National Office of Electricity and Drinking Water (ONEE) to strengthen the resilience of drinking water infrastructure in Morocco. This loan will modernize, secure, and optimize the production and transportation of drinking water in several regions of the Kingdom, particularly in small and medium-sized towns and rural areas, which are facing increasing pressure on water resources.
This new financing, granted with the support of the EU through its guarantee scheme, is part of a long-term partnership between the EIB and ONEE. It will support the implementation of ONEE's 2025-2030 Equipment Plan by financing local investments with a strong local impact.
Morocco will secure the drinking water supply in a context marked by a reshaping of the water mix leading to an increase in desalination, with an optimization of the allocation of conventional water resources
In a context of water stress aggravated by rising temperatures, the increased frequency of droughts, and increased consumption, this project will ensure reliable and equitable access to quality drinking water. It will modernize equipment, reduce network losses, improve the energy efficiency of facilities, and secure the supply of drinking water to vulnerable areas.
In line with the objectives of the National Drinking Water Supply and Irrigation Program (PNAEPI, 2020-2027), this operation is fully in line with Morocco's priorities in terms of adaptation to climate change and protection of natural resources. It also supports the European Union's commitments to Morocco within the framework of the Green Partnership with Morocco for a resilient and sustainable economy and support for the green transition.
The project will have concrete and lasting benefits for the beneficiary populations. It will contribute to improving the quality of public services, reducing water-related health risks, supporting economic activity in the affected areas, and creating local employment during the construction phase. More broadly, it will strengthen the regions' capacity to adapt to the effects of climate change, preserving a strategic resource for health, agriculture, industry, and territorial development.
On the occasion of the signing, Mr. Ioannis Tsakiris , Vice-President of the EIB, declared: “Ensuring sustainable access to drinking water is a vital priority, particularly for the territories most exposed to the effects of climate change. This new financing demonstrates the EIB’s commitment to supporting Morocco in the implementation of sustainable, local and resilient solutions.” He added: “By supporting projects with a high impact for the populations, we are acting at the heart of the shared priorities of the Kingdom and the European Union. And the climate is at the heart of these priorities. This is why, as a climate bank, we finance infrastructure that improves the daily lives of residents while protecting natural resources and strengthening capacities to adapt to climate change.”
EU Ambassador Patricia Llombart Cussac said: "The signing of this new financing contract responds to one of the priorities of modern Morocco and demonstrates a strong and structured partnership between the European Union and Morocco. For more than 20 years, Morocco and the European Union have been working together to address this common challenge. Our commitment, in a spirit of partnership, has resulted in particular in the investment of 22 billion dirhams by the EU and its Member States in reforms and infrastructure. It is more crucial than ever to promote water use that preserves this fragile resource, threatened by global warming and drought, in order to guarantee access to it for as many people as possible."
During this signing ceremony, Mr. Tarik Hamane , Director General of ONEE, declared : "Morocco is deploying under the High Royal Instructions to secure the Kingdom's drinking water supply in a context marked by a reshaping of the water mix leading to an increase in desalination within the framework of Public Private Partnerships with an optimization of the allocation of conventional water resources taking into account the hazards induced by the increased frequency of drought episodes. Through this funding, ONEE, as the armed wing of the State in the drinking water sector, will continue its deployment to guarantee secure and reliable access to drinking water for the population, in full consistency with the objectives of the National Drinking Water Supply and Irrigation Program (PNAEPI), 2020-2027 presented to His Majesty the King, may God assist him. This financial assistance, which is part of ONEE's 2025-2030 Equipment Plan, marks the continuity of a long-standing partnership between ONEE and the EIB and further consolidates our mutual partnership."
This operation is also in line with the objectives of the EIB's 2021–2025 Climate Roadmap and will directly contribute to several Sustainable Development Goals, in particular those relating to clean water and sanitation, and the fight against climate change.
