Morocco Offers Incentives to Green Investors

The Moroccan government is set to allocate 1 million hectares of land to green hydrogen projects as part of a plan to incentivize investors. The authorities will provide some 300,000 hectares for investors in a first phase, as part of the long-awaited plan announced on March 11 by Morocco’s Prime Minister Aziz Akhannouch, according to Bloomberg.

The plots will range from 10,000-30,000 hectares and the offer applies to integrated projects, including renewable power generation, conversion of green hydrogen into ammonia, methanol and synthetic fuels, and related logistics, the government said.

The offer applies to projects proposing offtake both for export and for domestic use, it said. Some 100 national and international investors have already expressed interest in producing green hydrogen in Morocco, according to the report.

Moroccan phosphates group OCP Group SA plans to invest 130 billion dirhams ($12.3 billion) between 2023-2027 to ramp up its transition to carbon neutrality. The company last month received a $188 million loan from the African Development Fund (AfDB) to go towards the construction of three desalination plants powered by renewable energy as part of its green investment plan (GM Feb. 23, p. 35).

Last year, OCP lined up a €100 million green loan from the International Finance Corp. (IFC) to help fund the building of two solar power facilities that will provide clean energy to its operations in the Moroccan mining towns of Benguerir and Khouribga (GM Oct. 13, 2023).