ONEE Secures €104.7 Million AfDB Grant to Enhance Water Systems and Digitalization

Tuesday 10 December 2024 - 13:50

By: Dakir Madiha

ONEE Secures €104.7 Million AfDB Grant to Enhance Water Systems and Digitalization

The funding aims to address Morocco's urban water demands and modernize supply systems in response to climate and population pressures.

Morocco’s National Office of Electricity and Drinking Water (ONEE) has secured €104.7 million (MAD 1.15 billion) in funding from the African Development Bank (AfDB) to bolster water infrastructure and digitalization initiatives. The agreement was formalized during a signing ceremony in Rabat, attended by ONEE’s General Director, Tarik Hamane, and AfDB Vice President, Nnenna Nwabufo, alongside Morocco’s Minister of Economy and Finance, Nadia Fettah, and AfDB President, Akinwumi Adesina.

The financing, part of the Africa Investment Forum (AIF), is expected to modernize water management systems in several regions, including Asfalou, Bouhouda, and Agourai. This initiative addresses Morocco’s increasing water demands amid climate change and population growth challenges.

“This financing marks a first in our collaboration with AfDB, targeting innovative projects that incorporate digital tools into water management,” ONEE stated.

The project aligns with Morocco's broader water strategy, aiming to enhance operational efficiency and sustainability. The initiative integrates cutting-edge technology with infrastructure improvements to meet urgent needs while building resilience to future water crises.

Addressing Critical Challenges

Morocco is grappling with one of its worst droughts in six years, with rainfall levels more than 40% below average. The country's water reserves have plummeted by 75%, and underground resources are dwindling rapidly. Minister of Agriculture Mohamed El Bouari recently reported that agricultural dams hold only 3.9 billion cubic meters of water, with a filling rate of just 28%.

The financing also underscores international confidence in ONEE’s capacity to execute impactful projects. Since 1978, AfDB has invested nearly MAD 9 billion (€880 million) in Morocco’s water and sanitation sectors, supporting transformative initiatives across the nation.

As part of the agreement, ONEE’s General Director signed a loan guarantee convention with Hicham Zanati Serghini, Director General of the National Company for Business Guarantee and Financing, further strengthening the deal.

A Step Toward Sustainability

The AfDB funding reinforces Morocco's commitment to advancing sustainable water management solutions. By merging infrastructure development with technological innovation, the project aims to alleviate current pressures while preparing the country for long-term water security challenges.

Morocco’s efforts to address its water crisis reflect a critical need for resilience in the face of worsening climate conditions. This initiative serves as a model for leveraging partnerships to tackle global environmental and resource challenges effectively.