The European Bank for Reconstruction and Development (EBRD) has approved a EUR 200 million loan for OCP Group, Morocco’s phosphate giant, to build large-scale desalination facilities in Morocco, according to a statement on Thursday.
The project is intended to address Morocco’s chronic water scarcity by developing new seawater desalination plants for OCP’s industrial sites in El Jadida (Jorf Lasfar) and Safi.
OCP Group plans to use the desalination facilities, which will have a combined capacity of around 35 million cubic meters, to support its fertilizer production operations.
The project will reduce the group’s reliance on local freshwater supplies by providing a sustainable water source for its water-intensive industrial processes.
Morocco faces significant water stress, with annual water availability at just 790 cubic meters per person, far below the threshold for chronic water scarcity. Demand often exceeds supply, particularly in areas like El Jadida and Safi, which are further affected by recurring droughts.
The EBRD funding is in line with its Green Economy Transition Strategy for 2021-2025. “We are proud to support OCP Group’s Green Investment Program,” EBRD President Odile Renaud Basso said, explaining the partnership’s importance in addressing water scarcity and promoting sustainable industrial practices.
“Our partnership with OCP Group exemplifies our shared commitment to supporting Morocco’s journey toward a more sustainable future,” Basso added.
OCP Group Chairman and CEO Mostafa Terrab reiterated the commitment to sustainability, highlighting the organization’s goal of reducing its annual water consumption by 3 million cubic meters and sourcing 100% of its water from non-conventional sources like desalination.
“Today’s collaboration highlights our commitment to addressing water scarcity and promoting resilience in Morocco and beyond,” Terrab stated.
Morocco, a founding member of the EBRD, has received over EUR 4.7 billion in funding from the bank since 2012, supporting 105 projects that promote sustainable growth across the country.