Morocco and France forge deeper ties on renewables investments

France wants in on Morocco's 3 GW power link to Western Sahara: France is interested in funding a 3 GW power cable linking the Moroccan city of Casablanca to the town of Dakhla in Western Sahara, French Economy and Finance Minister Bruno Le Maire said on the sidelines of a Moroccan-French business forum in Rabat, Reuters reported on Friday. France is also willing to back Moroccan projects in solar, wind, nuclear energy, and green hydrogen, La Maire said.

More about the project: The 1.4k km project is set to have a capacity of 1.5 GW by 2026 and the full 3 GW by 2028, Moroccan news outlet La Desk reported in November. Tenders for the projects are yet to be issued.

We knew this was coming: Regional and international developers have been eying Dakhla-Valley of Gold for green energy projects, with Taqa Morocco — a subsidiary of Abu Dhabi National Energy Company (Taqa) — already securing 70k hectares in Dakhla-Oued El-Dahab to develop a 6 GW renewables farm that will power a planned MAD 100 bn (c.USD 10 bn) green hydrogen project.

The area is contested: The EU said in November that it would not import energy from the Western Sahara — where Dakhla city is located — due to the disputed status of the territory, which it recognizes as separate from Morocco under international law. The EU’s statement came a month after NGO Western Sahara Resource Watch found that around 81% of the allocated land for projects to be developed in 2024 is located in the contested Western Sahara. France however backs Morocco’s investments in Western Sahara and reaffirmed support for Rabat’s autonomy plan for the territory in February, Reuters said.

France is also supporting OCP’s decarbonization efforts: The French Development Agency (AFD) is set to provide a EUR 350 mn loan to assist Morocco's OCP in its decarbonization efforts, La Maire added. OCP is currently raising funds to support its USD 12 bnstrategy to transition entirely to renewable energy for its industrial processes.

And backing EVs: Morocco’s Industry and Trade Minister Ryad Mezzour and Le Maire explored cooperation in sectors including electric battery manufacturing and green hydrogen, according to a statement on Friday.

IN OTHER MOROCCO NEWS-

Engie to sell Moroccan coal plant stake: French energy giant Engie has announced plans to offload its stake in Morocco's Safi coal plant by 2027 to shift towards renewable energy and infrastructure projects, Reuters reported on Friday. Engie holds a 33% stake in the Safi coal plant, which is being considered for conversion to green ammonia to reduce carbon emissions. Engie also operates a 300 MW wind park in Tarfaya and a desalination plant powered by a new wind farm in Western Sahara's Dakhla. The desalination plant — set to be operational after the wind park's completion next year — will allocate 90% of its water for irrigation and 10% for drinking water in Dakhla.

There’s a 400 MW wind farm in the works: The Moroccan Agency for Sustainable Energy (Masen) has begun the pre-qualification for the financing, construction, and operation of a 400 MW wind farm dubbed Nassim Nord, according to a press release (pdf) published on Thursday. The project will comprise the 150 MW Koudia Al Baida wind farm and the 250 MW Nassim Dar Chaoui wind farm. Masen will be accepting bids until June 24.

The kingdom is partnering with FAO on food security: Morocco has signed an agreement with the Food and Agriculture Organization (FAO) formalizing Morocco's participation in the USD 31.5 mn US Regional Initiative on Water Scarcity, MoroccoWorld News reported on Thursday. The initiative — set to run from June 2024 to September 2028 — aims to improve water management practices, build resilience in food systems, and promote sustainable agricultural strategies.

And with UNDP on sustainable agriculture: Morocco's Agricultural Development Agency (ADA) has signed an MoU with the United Nations Development Programme (UNDP) to boost entrepreneurship and sustainability in agriculture, MAP reported on Saturday. The initiative aims to strengthen job creation and climate resilience.