Spain has pledged €340 million (approximately MAD 3.65 billion) to support the construction of what is set to become Africa’s largest desalination plant, located in Casablancam Morocco, reports Morocco World News.
The financial agreement was signed on Wednesday during an official event attended by Spain’s Secretary of State for Trade, Amparo López Senovilla, and Morocco’s Minister of Economy and Finance, Nadia Fettah Alaoui. Also present were Tarik Hamane, Director General of Morocco’s National Office of Electricity and Drinking Water (ONEE), Spain’s Ambassador to Rabat, Enrique Ojeda Vila, and members of the bilateral business community.
“This project not only responds to a vital need, but also symbolizes the excellence of economic relations between Spain and Morocco, based on trust and business cooperation,” said López Senovilla during the event.
The project will be developed by a consortium that includes ACCIONA, as well as Moroccan companies Green of Africa and Afriquia Gaz. It is expected to produce 838,000 cubic meters of water per day, totalling around 300 million cubic meters annually. The facility is designed to supply water to approximately 7.5 million residents in the Casablanca region.
The plant is under construction in the Lamharza Essahel commune of El Jadida province. Construction is reported to be 20% complete, with the first phase expected to be operational by February 2027
During the ceremony, López Senovilla highlighted the project’s integration of “resource management, innovation, and energy transition,” adding that the facility will be powered by renewable energy.
Minister Fettah Alaoui referred to the plant as “one of the most emblematic achievements of the national sustainable water management strategy,” which aims to mobilize 1.7 billion cubic meters of drinking water by 2030 through roughly twenty desalination facilities. Currently, 320 million cubic meters are available.
The Spanish funding package includes three components. The first is a €250 million loan from the Fund for Business Internationalization (FIEM), which will finance the design, construction, and operation of the plant. The second is a €70 million financing component, backed with 80% coverage from the Spanish Export Credit Insurance Company (CESCE), and provided by Société Générale. The third element is €31 million from the Foreign Investment Fund (FIEX), managed by COFIDES, which will support ACCIONA’s equity participation.
The plant is under construction in the Lamharza Essahel commune of El Jadida province. Construction is reported to be 20% complete, with the first phase expected to be operational by February 2027, delivering 548,000 cubic meters daily. A second phase, planned for August 2028, will increase capacity to over 800,000 cubic meters per day.
The project will follow a 30-year public-private partnership model, consisting of three years of construction followed by 27 years of operation and maintenance. It will use advanced desalination technologies and integrate renewable energy systems.
