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Solar energy powers more competitive and sustainable agriculture

Investor
IB Arome
Location
Marrakech, Morocco
Investment
Installation of a 201.6 kWp ground-mounted solar photovoltaic power plant to supply electricity to the agricultural operations
Investment Size
€ 144,189
Financial results
Payback period: 5.76 years
Renewable energy
363.3 MWh per year
CO2 savings
207 Teq CO2 per year
Impact
Reduced operating costs/ Reduced dependence on grid electricity/ Improved environmental performance/ Enhanced competitiveness
Donor
EU, GCF, KTACA, and EBRD SSF.

A solar photovoltaic plant covers 64% of the farm’s electricity needs while reducing energy costs and emissions

Based in Marrakech, IB Arome is a Moroccan SME specializing in the production of aromatic and medicinal plants, as well as essential oils, hydrolats, and vegetable oils for domestic and international markets.

Since its establishment in 2007, the company has progressively expanded its activities across four farms and a distillation facility. With more than 60 plant species cultivated, 1,500 tonnes of raw materials processed every year, and a distillation capacity exceeding 20 tonnes per day, IB Arome relies on an integrated production model to support its continued growth.

At the heart of these operations, irrigation plays an essential role in sustaining agricultural production. At the 150-hectare Zemrane farm, where citrus fruits, roses, jasmine, and various aromatic and medicinal plants are cultivated, water is pumped from wells and distributed through a drip irrigation system.

Operating these installations required significant amounts of electricity supplied by the national grid. Faced with rising energy costs and seeking to reduce its dependence on conventional electricity, IB Arome decided to harness one of the farm’s most abundant natural resources: solar energy.

The company invested in the installation of a 201.6 kWp ground-mounted solar photovoltaic power plant. Operating for self-consumption, the solar plant supplies electricity directly to the farm’s equipment, particularly the pumping systems required for irrigation, while the national grid provides additional electricity when needed.

Thanks to this investment, the farm generates approximately 363.3 MWh of renewable electricity every year, reducing its electricity consumption from the national grid by 64%. The new energy source also enables the company to achieve annual energy cost savings of approximately € 33,217.

Beyond its economic benefits, the project significantly improves the farm’s environmental performance. The production of renewable electricity avoids approximately 207 tonnes of CO₂ equivalent emissions every year.

By turning solar energy into a driver of agricultural performance, IB Arome demonstrates how renewable energy can help businesses reduce operating costs, strengthen competitiveness, and support the development of a more sustainable agricultural sector.

Green Value Chain (GVC) in Morocco is a credit facility of the European Bank for Reconstruction and Development (EBRD) to provide funding to local partner financial institutions for on-lending to Moroccan SMEs belonging to agribusiness, processing industries and logistics value chains and ecosystems. Supported by the European Union, the Green Climate Fund (GCF), the Korean Technical Assistance and Cooperation Account (KTACA) and the EBRD Shareholder Special Fund (EBRD SSF), the facility aims to improve competitiveness of SMEs and that of their value chains and ecosystems through highly efficient green investments.