MOROCCO —The International Finance Corporation (IFC) has approved a loan of US$108 million to Morocco’s Office Chérifien des Phosphates (OCP), the nation’s largest fertilizer producer and exporter, to address water scarcity in Morocco.
Morocco has been grappling with a severe and prolonged drought, which has significantly impacted its water resources.
This situation is restricting access to drinking water, irrigation supplies, and water for industrial use. In response to these challenges, the International Finance Corporation (IFC) has stepped in to support the country’s effective management of its water resources.
OCP, which contributes around 70% of Morocco’s phosphate production from its Khouribga mining basin, has committed to using the funds to build a 219-kilometer pipeline and a pumping station.
This pipeline will transport desalinated seawater from the company’s plants in Jorf Lasfar, located on the Atlantic coast, to its production facilities in Khouribga, situated in central Morocco.
The pipeline, which is expected to have an annual capacity of 80 million cubic meters, is designed to meet both the water demands of OCP’s industrial operations and the needs of surrounding communities.
“By supporting the construction of this pipeline, IFC is enabling OCP Group to not only meet its own water needs but also provide vital water resources to communities and support the production of high-value crops,” the IFC stated.
The pipeline project is a key part of OCP’s broader strategy to source 100% of its water from unconventional sources, including desalinated seawater and treated wastewater, by the end of 2024.
This aligns with the company’s sustainability goals and Morocco’s national water policy, which aims to conserve freshwater resources amid the country’s growing water stress.
Morocco has experienced a sharp decline in water availability over the past several decades. According to the World Bank, Morocco is now classified as experiencing structural water stress, with its total annual water resources estimated at just 22 billion cubic meters.
The agricultural sector, which consumes around 88% of Morocco’s water resources, has been hit particularly hard by the drought, raising concerns over the country’s food security.
The government has implemented various measures, such as expanding desalination and irrigation systems, but water shortages continue to pose significant risks.
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