ONE-Rural Electrification and Smart Metering

Overview
Project Summary Document
Environmental and Social Documentation
Procurement
Complaints

Overview

The EBRD granted a loan to the Office National de l'Electricite et de l'Eau Potable ("ONEE") of Morocco in 2013. The sovereign-guaranteed senior loan of EUR 60 million financed the final phase of the Global Rural Electrification Programme ("PERG"). The remainder of the project costs have been met by ONEE. The project implementation has been successfully completed in June 2018.

Project ID 44057

Status Repaying

Location

Morocco

Business Sector

Energy

Notice Type

State

Project timeline

Exploratory
Passed Concept Review
Passed Structure Review
Passed Final Review
Board Approved
Signed
Implementing
Completed

Company Contact Information

Charlotte WANG
wangc@ebrd.com
+212 522649150
https://www.ebrd.com/home

Project ID 44057

Status Repaying

Location

Morocco

Business Sector

Energy

Notice Type

State

Environmental Category

Approval Date

29 Jan 2013

Disclosure date

05 Sep 2012

As permitted by paragraph 2.6 of Section III of the Access to Information Policy, disclosure of this PSD was deferred in accordance with paragraph 1.4.4 of the Directive on Access to Information.

Project description

Project objectives

The initial objective of the Project, to electrify 1,234 villages corresponding to 34,667 households, has been exceeded during the project implementation to reach 1,250 villages corresponding to 35,446 households. Under the PERG programme, ONEE has succeeded in providing electricity services to remote areas, covering in aggregate more than 99.58% of the Moroccan rural population at mid-2018.

Client information

OFFICE NATIONAL DE L ELECTRICITE ET DE L EAU POTABLE

The Office National de l'Electricite et de l'Eau Potable (the "Company" or "ONEE") is a state-owned electricity and water company incorporated in the Kingdom of Morocco. It was created following the merger of the national electricity company Office National de l'Electricite ("ONE") and the national water company Office National de l'Eau Potable ("ONEP") in April 2012. ONEE provides both electricity and drinkable water to its customers, as well as is managing the collection of sewage and rainwater, water sanitation and public lighting.

EBRD Finance Summary

EUR 59,008,556.00

Sovereign-guaranteed senior loan of up to EUR 60 million.

Total project cost

EUR 76,008,552.00

EUR 77 million.

Additionality

The EBRD transaction offered a long term financing that was not generally available for ONEE following the merger between ONE and ONEP that formed the company. The Bank brought experience in renewable energy framework development. Its involvement in decentralised generation also strengthened its ability to support policy dialogue for the development of regulation and markets. The transaction also requires adherence to the Bank's procurement policies, environmental and social policies and agreement and implementation of an ESAP.

Environmental & Social Summary

The Project was categorised B in accordance with EBRD's 2008 Environmental and Social Policy.

Phase IV of the rural electrification programme (PERG IV), consisted of the construction of new low-and-medium voltage distribution lines, has resulted in significant benefits for 1,250 villages that previously were not connected to the power grid. Environmental risks and impacts associated with the construction of the distribution lines were limited and managed appropriately by the Office and its contractors.

Due diligence carried out in 2012 included a site visit by the Bank and the resulting ESAP agreed with ONE focused on contractor management worker and community health and safety, and overall good practice managing environmental and social construction risks.

Project implementation was monitored via annual monitoring reports and a second site visit carried out during 2014. Despite some delays in project and ESAP implementation, the overall E&S performance of ONEE was deemed satisfactory.

Technical Cooperation and Grant Financing

Alongside the investment, three technical cooperation (TC) components are being implemented with the support of expert consultants:

(i) TC for the assessment of the social, gender, environmental and financial impact of the PERG program since 1995 on residential and non-residential users and small local communities.

(ii) TC for the gap analysis between ONEE's accountability standards and International Financial Reporting Standard ("IFRS") to enable the Company access international capital markets in the future and improve its corporate governance, transparency and accountability standards.

(iii) TC for the review of ONEE's existing Service Level Agreement ("Cahier de Charges ONEE") which regulates its relationship with its customers since 1975, and which revised version will form part of the future regulation for the sector.

Company Contact Information

Charlotte WANG
wangc@ebrd.com
+212 522649150
https://www.ebrd.com/home

Implementation summary

The initial objective of the Project has been exceeded during the project implementation by electrifying 1,248 villages corresponding to 35,331 households. Under the PERG programme, ONEE has succeeded in providing electricity services to remote areas, covering in aggregate more than 99.58% of the Moroccan rural population at mid-2018.

The PERG programme success contributed to the creation of a recognised expertise in the rural electrification at both ONEE and local private sector's levels. Morocco is now supporting several African countries in their rural electrification programmes. The project also improved the quality of life in these remote areas through improved safety, hygiene, medical and educational services. A thorough environmental, social and financial impact study, financed by EBRD through SEMED cooperation funds account, will be finalised in Q2 2020 and disclosed in 2020.

In the context of promoting a liberalised and transparent electricity market with more decentralised renewables, the Bank is assisting ONEE in updating its Service Level Agreements ("cahier de charges ONEE") that will be key for the future regulation of the energy sector. This technical assistance is provided alongside other Policy Dialogue initiatives of the Bank involving ONEE, such as the opening of the electricity market to private renewable energy producers under 13-09 law, and the drafting of the country's first Electricity Grid Code.

Finally, the collaboration between the Bank and ONEE engaged since 2013 is contributing to improve ONEE's environmental, social, health and safety reporting and management plans standards; as well as its corporate governance, transparency and accountability in internationally accepted standards through the introduction of IFRS accounts expected by FY2024.

PSD last updated

06 Oct 2020

Understanding transition

Further information regarding the EBRD’s approach to measuring transition impact is available here.

Business opportunities

For business opportunities or procurement, contact the client company.

For business opportunities with the EBRD (not related to procurement) contact:

Tel: +44 20 7338 7168
Email: projectenquiries@ebrd.com

For state-sector projects, visit EBRD Procurement:

Tel: +44 20 7338 6794
Email: procurement@ebrd.com

General enquiries

Specific enquiries can be made using the EBRD Enquiries form.

Environmental and Social Policy (ESP)

The ESP and its associated Environmental and Social Requirements (ESRs) set out the ways in which the EBRD implements its commitment to promoting “environmentally sound and sustainable development”. The ESP and the ESRs include specific provisions for clients to comply with the applicable requirements of national laws on public information and consultation, and to establish a grievance mechanism to receive and facilitate resolution of stakeholders’ concerns and grievances, in particular, about the environmental and social (E&S) performance of the client and the project. Proportionate to the nature and scale of a project’s environmental and social risks and impacts, the EBRD also requires its clients to disclose information, as appropriate, about the risks and impacts of projects or to undertake meaningful consultation with stakeholders and consider and respond to their feedback.

More information on the EBRD’s practices in this regard is set out in the ESP.

Integrity and compliance

The EBRD's Office of the Chief Compliance Officer (OCCO) promotes good governance and ensures that the highest standards of integrity are applied to all of the Bank's activities in accordance with international best practice. Integrity due diligence is conducted on all Bank clients to ensure that projects do not present unacceptable integrity or reputational risks to the Bank. The EBRD believes that identifying and resolving issues in the project assessment and approval stages is the most effective means of ensuring the integrity of Bank transactions. OCCO plays a key role in these protective efforts andhelps to monitor integrity risks in projects post-investment.

OCCO is further responsible for investigating allegations of fraud, corruption and misconduct in EBRD-financed projects. Anyone, either within or outside the Bank, who suspects fraud or corruption should submit a written report to the Chief Compliance Officer by email to compliance@ebrd.com. OCCO will follow-up all matters reported. It will review all matters reported. Reports can be made in any language of the Bank or of the Bank's countries of operation. The information provided must be made in good faith.

Access to Information Policy (AIP)

The AIP, which entered into force on 1 January 2025, sets out how the EBRD discloses information and consults with its stakeholders to promote better awareness and understanding of its strategies, policies and operations. Please visit the Access to Information Policy page to find out what information is available from the EBRD website.

Specific requests for information can be made using the EBRD enquiries form.

Independent Project Accountability Mechanism (IPAM)

If efforts to address environmental, social or public disclosure concerns with the Client or the Bank are unsuccessful (for example, through the client’s project-level grievance mechanism or through direct engagement with Bank management), individuals and organisations may seek to address their concerns through the EBRD’s Independent Project Accountability Mechanism (IPAM).

IPAM independently reviews project issues that are believed to have caused (or to be likely to cause) harm. The purpose of the mechanism is: to support dialogue between project stakeholders to resolve environmental, social and public disclosure issues; to determine whether the Bank has complied with its Environmental and Social Policy or the project-specific provisions of its Access to Information Policy; and where applicable, to address any existing non-compliance with these policies, while preventing future non-compliance by the Bank.

Please visit the Independent Project Accountability Mechanism webpage to find out more about IPAM and its mandate and how to submit a Request for review. Alternatively, contact IPAM by email at ipam@ebrd.com for guidance and more information on IPAM and how to submit a request.

Environmental and Social Documentation is not available for this project.

Selected procurement notices related to this project may be shown below. Further procurement opportunities related to this and other projects, if available, maybe be viewed in the EBRD Procurement Portal.

The EBRD's Environmental and Social Policy (ESP), Access to Information policy (AIP) and Project Accountability Policy (PAP) enable sound and sustainable development in its projects. The Independent Project Accountability Mechanism (IPAM) deals with complaints about environmental, social and disclosure matters related to the Bank’s investments.

No complaints about this project have been made so far.

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ONE-Rural Electrification and Smart Metering

Overview

Project timeline

Company Contact Information

Project description

Project objectives

Client information

EBRD Finance Summary

Total project cost

Additionality

Environmental & Social Summary

Technical Cooperation and Grant Financing

Company Contact Information

Implementation summary

PSD last updated

Understanding transition

Business opportunities

General enquiries

Environmental and Social Policy (ESP)

Integrity and compliance

Access to Information Policy (AIP)

Independent Project Accountability Mechanism (IPAM)