Moroccan utility ONEE awarded $340 million for energy transition

The European Investment Bank and the German state lender KfW have granted ONEE, the Moroccan water and electricity utility, a loan of 300 million euros ($340 millions) to support the integration of renewable energies into the national grid.

The package includes 170 million Euros from the EIB, and 130 Million Euros from KfW. According to the utility, this money will be used for the expansion of its electricity transmission system by 730km.

ONEE has plans to invest up to $19 billion into its electricity development plan by 2030, when Morocco, Spain, and Portugal will host the World Cup.

By 2027, the plan aims to reach 56% of total electricity generation in the country from renewable sources. This is three years earlier than the 2030 target.

The installed renewable energy capacity is currently at 45% or 5.5GW.

ONEE has announced that it will install 15GW of electricity capacity by 2030, 12GW of which will be renewable.

Last week

Sign up for our Newsletter

A deal was signed with TAQA of the United Arab Emirates to build a 1,400 km transmission line capable of 3,000 Megawatts, connecting Western Sahara renewable energy sites with central Morocco.

More than 70% of Morocco’s energy is still produced by coal.

In April, Morocco launched a process of tendering to build a terminal for liquefied gas in the Mediterranean port city of Nador. (Reporting and editing by David Goodman, Susan Fenton, and Ahmed Eljechtimi)

(source: Reuters)