Casablanca – Taqa Morocco, Morocco’s leading private electricity producer, closed the 2024 financial year with stable profitability despite a significant drop in revenue. The company’s net income attributable to the group reached $108.5 million, reflecting a 1.5% increase compared to 2023. This performance was supported by an improved operating margin of 24.2%, up 3.7 percentage points from the previous year, as well as financial optimizations.
A key player in Morocco’s energy sector
Taqa Morocco is a subsidiary of Abu Dhabi-based Taqa Group, one of the largest energy suppliers in the Middle East and North Africa. Operating in Morocco since 1997, the company is a key contributor to the country’s electricity supply, providing 38% of the nation’s total power production.
Its main asset is the Jorf Lasfar coal-fired power plant, the largest independent power producer (IPP) in Africa, with a total installed capacity of 2,056 MW across six units. The plant supplies the Office National de l’Électricité et de l’Eau Potable (ONEE) under a long-term power purchase agreement.
Revenue drop due to lower coal prices
Taqa Morocco reported a 17.5% decline in revenue, totaling $1.12 billion in 2024, compared to $1.36 billion in 2023. This decrease was primarily due to the 13% drop in international coal prices, which led to lower energy costs and, consequently, reduced electricity sales revenue.
Despite this decline, the company maintained a strong operational performance, with a 93% availability rate across its power units, slightly lower than 93.7% in 2023. This minor dip was due to scheduled maintenance operations, including:
- A 25-day minor overhaul on Unit 2
- An 11-day inspection of Unit 3
By the fourth quarter of 2024, revenues stood at $282 million, while availability rates improved to 93.9%, compared to 89.6% in the same period of 2023.
Stronger financial stability and increased dividends
Taqa Morocco has maintained a stable financial position, with a net debt of $575 million, slightly up from $569 million a year earlier. This reflects ongoing debt repayments and efficient cash flow management.
As a sign of confidence in its financial strength, the company’s board has proposed a 6% increase in dividends, bringing the payout to $3.81 per share for 2024, rewarding shareholders for the company’s resilience.
Expansion into low-carbon energy
As part of its 2030 strategy, Taqa Morocco is committed to diversifying its energy mix, focusing on low-carbon energy projects. The company aims to develop 1,000 MW of additional renewable energy capacity by the end of the decade.
Key upcoming projects include:
- The Boujmil Wind Project (Phase 1): Set to launch in 2025, this project will begin with 100 MW, with a planned expansion to 144 MW.
- Green Hydrogen & Ammonia Production: In partnership with Moeve (formerly CEPSA), Taqa Morocco has been selected as part of Morocco’s green hydrogen initiative. The consortium plans to develop a facility for producing green ammonia and industrial fuels, with feasibility studies and land acquisition processes currently underway.
A sustainable future
Beyond energy production, Taqa Morocco is also reinforcing its commitment to sustainability and corporate social responsibility. Through its “Taqa Morocco for the Community” initiative, the company continues to support education, healthcare, and environmental projects.
Additionally, the company has implemented the “Taqa Morocco WAY” leadership model, designed to promote innovation, operational efficiency, and cultural transformation, ensuring its workforce remains adaptable and forward-looking.
Outlook for 2025 and beyond
Despite market challenges, Taqa Morocco remains a key pillar of Morocco’s energy infrastructure and is well-positioned for future growth. With a strong commitment to operational excellence, financial stability, and renewable energy expansion, the company is set to play a leading role in Morocco’s energy transition and sustainable development goals.
