Spain has committed €340 million (approximately MAD 3.65 billion) to support the construction of what will become Africa’s largest desalination plant, located in Casablanca, Morocco,
The funding agreement was signed during an official ceremony attended by Spain’s Secretary of State for Trade, Amparo López Senovilla, and Morocco’s Minister of Economy and Finance, Nadia Fettah Alaoui. Also in attendance 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 addresses a critical need but also reflects the strength of economic relations between Spain and Morocco, grounded in trust and business cooperation,” López Senovilla stated at the event.
The project will be executed by a consortium including Spain’s ACCIONA and Moroccan firms Green of Africa and Afriquia Gaz. Once completed, the plant is expected to produce 838,000 cubic meters of water per day—approximately 300 million cubic meters annually—providing water to around 7.5 million people in the Casablanca region.
Construction is underway in the Lamharza Essahel commune of El Jadida province, with progress currently at 20%. The first phase, delivering 548,000 cubic meters per day, is slated for completion by February 2027. A second phase, expected by August 2028, will boost capacity to over 800,000 cubic meters daily.
López Senovilla emphasized the project’s focus on “resource management, innovation, and energy transition,” noting that it will be powered by renewable energy sources.
Minister Fettah Alaoui described the project as “one of the most emblematic achievements of the national sustainable water management strategy,” which targets the mobilization of 1.7 billion cubic meters of potable water by 2030 through the construction of approximately twenty desalination plants. Currently, Morocco has access to around 320 million cubic meters of desalinated water annually.
Spain’s €340 million funding package comprises three components:
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A €250 million loan from the Fund for Business Internationalization (FIEM) to finance the design, construction, and operation of the plant.
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A €70 million financing facility, backed by 80% coverage from the Spanish Export Credit Insurance Company (CESCE) and provided by Société Générale.
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A €31 million equity investment from the Foreign Investment Fund (FIEX), managed by COFIDES, to support ACCIONA’s stake in the project.
The plant will operate under a 30-year public-private partnership model, consisting of three years of construction followed by 27 years of operation and maintenance. It will incorporate advanced desalination technology and renewable energy integration to ensure long-term sustainability.