September 25, 2013

Morocco will invest €10 billion ($13.5 billion) over the next four years to boost power generation and meet rising demand, with renewables providing nearly half of the increase, newspapers reported.

With no significant oil or gas reserves, Morocco is aiming to become a world-class producer of green energy, notably with vast solar power projects in its southern desert region.

Under the plan drawn up by the department of water and electricity (ONE), 112.3 billion dirhams (€10 billion) will be spent on raising electricity production by 4,584.5 MW, or 67 per cent of currently installed capacity, by 2017. Some 45 per cent, or 2,090 MW, of the incremental production will come from solar and wind power, according to ONE, cited in Moroccan newspapers.

ONE says it will provide 35.3 billion dirhams (€3.15 billion) of the required investment, and it remains unclear how the remaining costs will be funded.

In May, the kingdom officially launched the construction of a 160 MW solar power plant near the desert city of Ouarzazate. A Saudi-led consortium won the contract to build the complex at an estimated cost of €630 million. A 150 MW wind farm at Taza, near the central city of Fez, is another showcase renewable energy project forming part of Morocco’s green power plans.