EBRD Extends US$52 Million for Moroccan Hydropower Sector

The European Bank for Reconstruction and Development is providing a loan of up to €35 million(US$52 million) to the Office National de l Electricite et de l’Eau Potable for a rehabilitation programme of 12 small- and medium-sized hydropower plants in Morocco.

The overhaul will contribute to the extension of the lifespan of the plants and improve their energy efficiency. The loan is already the third transaction between the EBRD and ONEE.

The investment takes into account the risks to hydropower operations resulting from climate change and corresponding climate resilience measures. The project will also provide support to the adoption of environmental and hydrological best practice and enhance the management of the country’s water resources, which are highly exposed to climate change risks.

“Investing in renewable energy is a priority for the EBRD in Morocco,” said Laurent Chabrier, the EBRD Director for Morocco. “Extending the lifespan of the country’s hydropower plants in a most environmentally friendly way and increasing their efficiency is crucial to building climate resilience and mitigating risks associated with climate change.”

ONEE, Morocco’s state-owned electricity and water company, also manages the collection of sewage and rainwater, water sanitation and public lighting in certain areas. It owns and runs electricity transmission, half of domestic electricity generation and 59% of domestic electricity distribution in the country.

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