Taqa to invest in Morocco’s energy and water security

• $14bn investment agreed
• Power lines and stations
• Desalination and water networks

The Casablanca-listed subsidiary of Abu Dhabi’s Taqa has agreed to develop multi-billion-dollar large-scale power and water projects in Morocco along with local partners, according to a statement.

Taqa Morocco Group, Nareva, a wholly-owned subsidiary of Morocco’s Al Mada Group, and the sovereign Mohammed VI Investment Fund signed agreements with the Moroccan government and the Office National de l’Electricité et de l’Eau Potable (ONEE), a state entity, to invest AED52 billion ($14 billion) to support energy transition and water security.

The projects include buying an existing combined cycle gas turbine (CCGT) power plant, developing low-carbon gas-fired power and renewable power generation projects, seawater desalination, as well as building water and electricity transmission infrastructure.

The seawater desalination projects will have a capacity of 2.5 million cubic metres per day. The water transmission networks will have a 2.2 million cubic metres per day capacity.

The companies will acquire a 400 megawatt (MW) CCGT power plant in Tahaddart, in the north of Morocco, and explore the potential to develop a 1,100 MW greenfield CCGT power plant.

They will also develop a new 3,000 MW high voltage direct current transmission infrastructure connecting the south and centre of Morocco and build 1,200 MW of new renewable energy projects.

“This collaboration plays a significant role in supporting Taqa’s growth ambitions for 2030,” said Farid Al Awlaqi, chairman of Taqa Morocco.

In December 2023, UAE President Sheikh Mohamed bin Zayed Al Nahyan and Morocco’s King Mohammed VI agreed to boost economic cooperation. In April, UAE-controlled Maroc Telecom and Inwi, a domestic rival owned by Morocco’s royal family, settled a long-running dispute and agreed to launch joint ventures to expand and upgrade the kingdom’s telecom networks.

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In June last year, construction began on a $653 million seawater desalination plant to combat water shortages in Casablanca, the largest city in Morocco. The plant at Sidi Rahal is a public private partnership with Acciona of Spain and a consortium of Afriquia Gaz and Green of Africa, both part of the local Akwa Group. 

Taqa Morocco, listed on the Casablanca Stock Exchange, produces 34 percent of Morocco’s power needs through the 2.05 gigawatt Jorf Lasfar power complex.

Taqa shares listed on the Abu Dhabi Securities Exchange closed at AED3.14 on Monday, down 11 percent year to date. Abu Dhabi Power Corporation owns more than 90 percent of Taqa.