The International Finance Corporation (IFC) has made a significant commitment to Morocco’s sustainable water supply, announcing a €100 million (about $108 million) loan to OCP Group, a leading global entity in plant nutrition and phosphate fertilizers. This funding is crucial for constructing a 219-kilometer pipeline along with a new pumping station to transport desalinated water from OCP’s desalination facilities at Jorf Lasfar on the Atlantic coast to its production sites in Khouribga, located in central Morocco.
As construction advances, the pipeline is slated for timely completion. Once operational, it will boast an impressive annual capacity of 80 million cubic meters, enough to fill over 32,000 Olympic-sized swimming pools. This initiative is especially vital as Morocco grapples with significant water stress, which poses threats to agriculture and economic development. The project aims to ensure that OCP Group has a consistent water supply while also benefiting farmers, businesses, and households in the Khouribga region.
OCP Group’s Chairman and CEO, Mostafa Terrab, expressed gratitude for the IFC’s support, stating that this collaboration is fundamental to addressing the urgent issue of water scarcity. He emphasized that securing a reliable source of desalinated water will not only facilitate the company’s growth but also provide essential resources for local communities.
IFC Managing Director Makhtar Diop reiterated the importance of this project, citing water scarcity as a formidable barrier to economic progress in Africa. He noted that OCP Group’s innovative approach represents how businesses can craft solutions to complex challenges. By backing this pipeline, IFC enables OCP Group to meet its water demands while simultaneously aiding community resource accessibility, fostering a more resilient and food-secure future for the region.
This pipeline is an integral aspect of OCP Group’s broader water management strategy, operated through its subsidiary, OCP Green Water. The company intends to rely entirely on non-conventional water sources by the end of 2024 and aims to invest $611 million by 2027 to achieve a desalinated water production capacity of 560 million cubic meters along with 60 million cubic meters of treated wastewater annually. This strategy not only addresses the company’s own water needs but also offers surplus capacity to bolster local resilience against climate change.
The project aligns perfectly with Morocco’s commitment to sustainable development and is aligned with the World Bank Group’s strategic objectives in the country, particularly emphasizing climate resilience. Full operation of the pipeline is expected to transition to renewable energy sources by 2030, thereby enhancing the access to sustainable water resources.
Furthermore, this initiative complements the IFC’s country strategy for Morocco, which encourages investments in sustainable infrastructure and promotes inclusive growth. Since 2021, IFC and OCP Group have been working together on various projects aimed at developing sustainable food systems, advancing solar power solutions, and fostering green fertilizer production.
For over 60 years, IFC has played a pivotal role in supporting Morocco’s economic development, mobilizing more than $1 billion over the past three years to further sustainable growth across various sectors in the country.
