Morocco's OCP to invest $12.3 bln to fully rely on renewables by 2027

Morocco's phosphates and fertiliser producer OCP said it will spend 130 billion dirhams ($12.3 billion) to increase fertiliser production using renewable energy by 2027, the company's chief executive said on Saturday.

OCP will invest in solar and wind projects as it seeks to reach carbon neutrality by 2040, CEO Mostafa Terrab said during a meeting chaired by Morocco's king, the palace said in a statement.

State-owned OCP, one of the world's biggest fertiliser companies, also plans to invest in desalination powered by renewables to supply both its industrial plants and adjacent farmlands, he said.

Investment in renewable energies would help the group cut ammonia imports and produce green hydrogen and green ammonia, he said without offering further details.

OCP is one of the world's largest importers of ammonia -- key for producing soil nutrients -- with imports surging to $1.65 billion in the first ten months this year, up 234% due to the repercussions of the war in Ukraine.

Phosphates and derivates, including fertilisers, drove Morocco’s exports to a record $9.5 billion in the first ten months this year on the back of high prices in the international market.

The share of renewables in Morocco’s installed capacity grew to 38% last year and the country plans to increase it to 52% by 2030.