Casablanca – Saudi Arabia’s Acwa Power is preparing a new phase of expansion in Morocco, focusing on renewable energy generation, green hydrogen production, and seawater desalination projects as the kingdom accelerates its energy transition and seeks to strengthen both energy and water security.

The company, one of the world’s largest private investors in power generation and desalinated water production, has identified Morocco as a strategic market thanks to its abundant solar and wind resources, growing industrial demand for clean electricity, and ambitious plans to develop a low-carbon economy.

Recent statements by company officials indicate that Acwa Power intends to deepen its involvement in the Moroccan market through additional investments that align with national objectives to expand renewable energy capacity, develop green hydrogen production, and increase access to non-conventional water resources.

Renewable energy remains at the core of expansion plans

Renewable energy continues to represent the cornerstone of Acwa Power’s activities in Morocco. The company already operates several major projects across the country, including participation in the Noor Ouarzazate solar complex, one of the largest renewable energy developments in Africa, as well as wind and solar facilities located in different regions of the kingdom.

Among the company’s flagship assets is the Khalladi Wind Farm in northern Morocco. The facility has become a reference project within Acwa Power’s international portfolio and demonstrates the growing role of private investment in Morocco’s renewable energy sector.

The wind farm currently has an installed capacity of approximately 120 megawatts and generates around 375 gigawatt-hours of electricity annually. According to company estimates, this level of production is sufficient to supply electricity to roughly 400,000 people each year.

The project also serves Moroccan industrial customers seeking renewable power through long-term supply agreements, reflecting a broader shift among manufacturers toward cleaner energy sources as sustainability requirements become increasingly important in international markets.

New capacity planned to meet rising industrial demand

Acwa Power recently received authorization to expand the Khalladi facility by an additional 40 megawatts.

The expansion project is expected to require an investment of approximately $56.7 million and is scheduled for completion within the next two years.

The additional generation capacity is primarily intended to respond to growing demand from Moroccan industrial companies seeking access to electricity generated from renewable sources. Sectors such as cement production, steel manufacturing, and textiles have increasingly turned to green electricity as they pursue decarbonization strategies and seek to improve competitiveness in export markets.

The planned expansion reflects wider trends in Morocco’s energy market, where demand for renewable power continues to rise alongside industrial growth and the country’s climate commitments.

The Khalladi project has also established itself as one of the company’s most successful renewable assets. Operational availability exceeded 99% during the past year, surpassing contractual targets and highlighting the reliability of the installation.

Morocco’s green hydrogen ambitions attract global investors

Beyond traditional renewable energy projects, Acwa Power is positioning itself to participate in Morocco’s emerging green hydrogen sector, which has become a strategic priority for the government.

Morocco has launched a national strategy aimed at establishing itself as a major producer and exporter of green hydrogen and its derivatives. The initiative seeks to capitalize on the country’s extensive renewable energy resources and strategic location near European markets, where demand for low-carbon fuels is expected to increase significantly over the coming decades.

The Saudi company was selected among the first group of investors participating in Morocco’s initial green hydrogen development program. Discussions with Moroccan authorities are continuing regarding project implementation, including land allocation procedures and other regulatory requirements necessary to move projects toward construction.

Green hydrogen is widely viewed as a critical component of global decarbonization efforts, particularly in sectors that are difficult to electrify directly, such as heavy industry, maritime transport, aviation, and chemical production.

For Morocco, successful development of the sector could create new export opportunities, attract industrial investment, and strengthen the country’s position within international clean-energy supply chains.

Desalination emerges as a new growth area

In addition to renewable power generation and hydrogen production, Acwa Power is also exploring opportunities in seawater desalination.

The sector has become increasingly important for Morocco as recurring drought conditions and pressure on conventional water resources have accelerated the search for sustainable water solutions.

Desalination projects powered by renewable energy are expected to play an expanding role in the country’s water strategy, helping secure supplies for households, agriculture, and industry while reducing dependence on rainfall and groundwater reserves.

Given Acwa Power’s extensive international experience in water production infrastructure, the company views desalination as a natural extension of its activities in Morocco.

The integration of renewable electricity generation with desalination facilities could also contribute to lowering operational costs and reducing environmental impacts compared with conventional water production methods.

A growing investment footprint

Acwa Power has steadily expanded its presence in Morocco over the past decade and now ranks among the country’s most significant foreign investors in renewable energy infrastructure.

The company estimates the total value of its investments in Morocco at approximately $3 billion, covering solar energy, wind power, and other strategic projects.

Its Moroccan portfolio includes the Noor Ouarzazate solar complex, the Khalladi Wind Farm, and solar power stations in Laayoune and Boujdour. Together, these projects support Morocco’s efforts to diversify its energy mix and reduce reliance on imported fossil fuels.

Globally, Acwa Power operates across 15 countries and manages a diversified portfolio spanning renewable energy, conventional power generation, green hydrogen, and water desalination.

Its total asset base exceeds $124.4 billion, with nearly 97.9 gigawatts of installed generation capacity worldwide, including approximately 52.2 gigawatts from renewable energy sources.

Morocco strengthens its position in the energy transition

The planned expansion of Acwa Power’s activities highlights Morocco’s growing attractiveness as a destination for clean-energy investment.

The kingdom has established ambitious renewable energy targets and continues to develop infrastructure, regulatory frameworks, and industrial ecosystems designed to support long-term sustainable growth.

Strong solar irradiation, favorable wind conditions, political stability, and proximity to European markets have contributed to increasing international interest in Moroccan energy projects.

As demand for clean electricity, green hydrogen, and sustainable water solutions continues to expand, investments from major international players such as Acwa Power are expected to play an important role in supporting Morocco’s transition toward a more resilient and low-carbon economy.

The company’s latest plans also reflect a broader trend of growing international confidence in Morocco’s renewable energy potential. By combining renewable electricity generation, green hydrogen development, and desalination infrastructure, Morocco is positioning itself as a regional hub for sustainable energy production and environmental innovation, while attracting long-term investments capable of supporting economic growth and industrial competitiveness in the years ahead.