Power Sector Transition in Morocco

From Global Energy Monitor

Introduction

Morocco is put in an increasingly precarious position by climate change, becoming a "global warming hotspot" with the potential for rainfall declining 20-30% by end of the century.[1] Morocco is one of the most water-stressed countries in the world, and is rapidly approaching the absolute water scarcity threshold of 500 cubic meters of water per person per year. At the same time, the country has experienced 20 major flooding evens in the past 20 years.[2]

Reliance on imported fossil fuels (which meet 90% of Morocco's energy needs) is starting to dwindle in the face of massive renewables projects.[1] However, projects like the world's largest CSP solar plant, the 510MW Ouarzazate Noor Complex, can also dry out critical dams and displace thousands of people.[3]Since the mid 2000's Morocco has been pushing for enormous renewable projects, boasting year-round sunshine for solar projects.[1] This rapid growth in the renewable energy sector has given the country more energy independence and brought prosperity to some in rural and remote areas.

That said, Morocco is making active efforts to decrease its reliance on fossil fuels and build out renewable energy sources. In late 2023, Morocco became the sixtieth nation to join the Powering Past Coal Alliance, which allows for coordination on coal phase-out planning.[4] In addition, the country plans to add 9.6GW of capacity by 2027, 7GW of which are to be renewables.[5]

Current System Description

Current Power Capacity Mix

Graphs showing Morocco's electricity production by source from 2000-2020. While renewables have increased dramatically, hydrocarbons have skyrocketed, too. Via Our World in Data.


The installed capacity of Morocco in 2023 in Global Energy Monitor's trackers:[6][7][8][9][10]

While not included in this table, Morocco also has 1,031MW of operational fuel oil, heavy fuel oil, diesel, and crude oil-powered plants.
Energy Source Installed Capacity Plant number Percentage
Coal 4,257MW 4 plants(14 units) 49.77%
Gas 870MW 2 plants 10.17%
Hydropower 1,395MW 7 plants 16.31%
Solar 740MW 6 plants 8.65%
Wind 1,291MW 16 plants 15.09%
Total: 8,553MW

Prospective Capacity

Announced, Pre-construction, under construction from Global Energy Monitor's trackers

Energy Source Announced Pre-construction Construction Total
Gas[11] 3,700MW 457MW 4,157MW
Hydropower[9] 128MW 935MW 1,063MW
Solar[12] 12,500MW 15,209MW 1,321MW 29,030MW
Wind[13] 17,500MW 7,773MW 698MW 25,971MW

Renewable Energy in Morocco

Renewable Targets

Morocco’s 2009 National Energy Strategy and Paris Agreement NDC: In 2009 Morocco planned to have 42% renewable installed capacity by 2020-- with wind and solar both increasing exponentially since then; the country hit 37% in 2021[1]That goal was increased once to 52% and then again to 64% by 2030 by the Moroccan government. It should reach 52% by 2025.[14] The country has also committed to reducing greenhouse gas emissions by 17-18% by 2030, with a stretch target of 42-46% if the country receives international support.

COP 26: 40% of Morocco's electricity is coming from coal, but the country committed to building no new coal plants at COP26.[1]

Other Moroccan Government Plans: Decrease consumption by 15% from 2016 levels through efficiency measures. Morocco’s strategy includes an efficiency target of 20 percent by 2030, including specific energy consumption reduction targets and to implement development plans for transportation (-24%), construction (-14%), industry (-22%), agriculture and public lighting (-13%).[15]

Major Renewable Projects

Operating Renewable Energy Project[12][13]

Project Name Energy Type Installed Capacity Operating Year
Akhfenir wind farm Onshore Wind 202MW 2014
Al Koudia wind farm Onshore Wind 50MW 2000
Amougdoul Essaouira wind farm Onshore Wind 60MW 2007
Haouma wind farm Onshore Wind 51MW 2014
Khalladi wind farm Onshore Wind 120MW 2021
Lafarge wind farm Onshore Wind 32MW 2005
Midelt wind farm Onshore Wind 210MW 2020
Tangier wind farm Onshore Wind 140MW 2009
Tarfaya wind farm Onshore Wind 300MW 2014
Ben Guerir solar farm Solar 18MW 2021
Noor Ouarzazate solar farm Solar 72MW 2018
Noor Tafilalt Erfoud Solar Solar 40MW 2020
Noor Tafilalt Missour Solar Solar 40MW 2021
Noor Tafilalt Zagora Solar Solar 40MW 2021
ISCC Ain Beni Mathar solar farm Solar Thermal 20MW 2010
Noor Ouarzazate solar farm Solar Thermal 510MW 2016

Renewable Energy Projects being announced, pre-construction, and under construction stages[12][13]

Project Name Energy Type Status Installed Capacity
Total Eren-Guelmim-Oued Noun wind farm Unknown Wind Type Announced 5,000MW
Morocco-UK wind farm Offshore Pre-Construction 3,500MW
Akhfenir wind farm Onshore Pre-Construction 50MW
Tangier 2 wind farm Onshore Pre-Construction 70MW
Taza wind farm Onshore Pre-Construction 150MW
Aferkat wind farm Onshore Construction 80MW
Al Koudia wind farm Onshore Construction 320MW
Cap Cantin wind farm Onshore Construction 108MW
Jbel Lahdid wind farm Onshore Construction 270MW
Oualidia wind farm Onshore Construction 35MW
Noor Midelt solar farm Solar Thermal Construction 400MW
Noor PV II solar farm Solar Announced 67MW
GPM1 solar farm Solar Construction 34MW
Noor Midelt solar farm Solar Construction 400MW
Ain Beni Mathar solar farm Solar Pre-construction 69MW
Bejaad solar farm Solar Pre-construction 48MW
El Hajeb solar farm Solar Pre-construction 36MW
Green Power PV Plant solar farm Solar Pre-construction 30MW
Guercif solar farm Solar Pre-construction 48MW
Jerada-Marco Photovoltaique solar farm Solar Pre-construction 10MW
Kelaa Sraghna Solar Solar Pre-construction 48MW
Morocco-UK Solar Power Solar Pre-construction 7000MW
Noor Atlas Ain Beni Mathar solar farm Solar Pre-construction 42MW
Noor Atlas Bouanane solar farm Solar Pre-construction 30MW
Noor Atlas Boudnib solar farm Solar Pre-construction 42MW
Noor Atlas Boulmane (Enjil) solar farm Solar Pre-construction 42MW
Noor Atlas Outat El Haj solar farm Solar Pre-construction 36MW
Noor Atlas Tan Tan solar farm Solar Pre-construction 36MW
Noor Atlas Tata solar farm Solar Pre-construction 36MW
Sidi Bennour Solar Solar Pre-construction 48MW
Taroudant Solar Solar Pre-construction 36MW
Total Eren-Guelmim-Oued Noun Solar Solar Pre-construction 5000MW

Potential of Renewables

Solar: Morocco has an average solar potential of 5 kilowatt hours (kWh) per square meter per day, although this varies geographically. [15]

According to the Ministry of Energy, Mines and Sustainable Development, Morocco could potentially generate 25,000 MW of wind power. At present, Morocco has an installed capacity from wind energy of 1466 MW, the second largest volume in Africa behind South Africa.[15]

Wind: Morocco has an estimated potential of 22 GW of fixed offshore wind and 178 GW of floating offshore wind potential within 200 km of its coast.[16]

Hydrogen: The Ministry of Energy estimates that Morocco will be able to achieve a valuable share of the green hydrogen market, between 2 percent and 4 percent of global production by 2030.[15] However, in order to meet its 2040 targets for green hydrogen exports, the country would need to expand its capacity eight-fold to 78.7 GW: new additional capacity of solar photovoltaics (26 GW), wind (10 GW) and concentrated solar power (10 GW) along with 36–38 GW of electrolyser capacity.[17] Other nations are eyeing Morocco as a strategic location for hydrogen development, as exemplified by Germany's decision to produce up to 10,000 tonnes of green hydrogen for use in domestic steel manufacturing.[18]

Potential impacts from renewable expansion

In Morocco proper, around 80% of the population in rural areas surrounding the Noor complex works in agriculture. With an already arid landscape, water became even more scarce after the project used up supplies from the crucial Al-Monsour Ad Dhabi dam-- which eventually dried up completely.[19] Pastoralists were paid a pittance for their land, and were not informed of the impact Noor would have on water supplies.

CSP plants like Noor require vast quantities of aluminum, silver, steel, copper, glass (silica), and fluids (molten salt and synthetic oil) to run. Many of these materials can be recycled, though heat transfer fluids like molten salt and synthetic oil need to be treated as hazardous waste.[20]

If Morocco meets its goal of producing 2.7 million metric tons of green hydrogen, 24.3 million metric tons of water will be required.[17]

Fossil Fuel in Morocco

Fossil Resources and Retirement

Coal plants: 1670 MW(2 plants, 3 units) were cancelled[7]

Oil and Gas: Morocco has one major gas field that is under development, Anchois Phase 1, which was discovered in 2009 and production is set to start in 2027.[21] Other fields are known to exist, but have not been pursued due to high costs.[22]

There are no specific rules relating to decommissioning activities at the end of a plant’s operations, except in the context of independent power production projects developed under Law 13-09. Moroccan authorities can still request an operator to restore a site damaged by its activities, in accordance with environmental regulations.[23]

The Nigeria-Morocco Gas Pipeline, an extension of the West African Gas Pipeline, was proposed in 2016; it would connect all of the coastal countries in West Africa. Ending in Tangiers, Morocco and Cádiz, Spain, the pipeline it is estimated to be completed in 2046 and would be the world's longest offshore pipeline.[24][25]

Overview of current fossil fuel impacts

Imported fossil fuels including refined oil, gas, and coal, currently provide over 90 percent of Morocco’s energy needs.[26]

Oil production in Morocco, especially compared to neighboring Algeria, is a small 9,000 tons per year or about 100 barrels per day in 2018. The country has two oil refineries with a total refining capacity of 150,000 barrels per day. Domestic production of energy in general is eclipsed by imports, which make up around 90% of the total.[22]

In 2021, Greenpeace MENA published a report mentioning the air pollution from coal in Morocco. Casablanca was the most polluted city in Morocco in terms of NO2. To the south west of Casablanca, pollution from the Jorf Lasfar power station is clearly discernible as a hotspot.[27]

Another report from the Greenpeace MENA report, Toxic Air: The Real Cost of Fossil Fuels, mentioned that Morocco is one of the countries with the highest estimated number of related deaths per year, 5,100 in 2018, ranks after Egypt, the top on the list for air pollution-related deaths. From the economic perspective, the average annual cost Morocco suffers due to air pollution caused by fossil fuel emissions is estimated at 0.9% of its GDP, or $1.1 billion (MAD 11 billion) annually.[28][29]

Employment

Current employment by sector

According to a World Bank report in 2021, people working in the Electricity, gas, and water sectors in 2019 was 10,231. No breakdowns on what proportion of the total worked in coal and gas power plants.[30]

In 2020 Morocco's renewable energy sector was projected to create 26,000 jobs.[31]

The Noor I CSP plant created around 1,000 construction employment opportunities and 60 permanent jobs during the operation and maintenance phase. [32]

Prospective employment from the renewable energy sector

An estimated 8.1 million jobs in renewable energy could be created across the African continent by 2050 under the 1.5 degree C scenario. These jobs range across manufacturing, installation and maintenance, sales, decommissioning, and throughout the entire value chain.[33]

The Forum EuroMediterraneen des Instituts de Sciences Economiques (FEMISE) released a study in May of 2012 that estimated the renewable energy and sustainable development sectors in Morocco could create up to 482,005 jobs by 2040.[34]

The Xlinks Morocco-UK Power Project is expected to create nearly 10,000 jobs in Morocco, and 2,000 of those positions will be permanent.[35]

Morocco's new initiative, the "Moroccan offer," which focuses on hydrogen and renewables as a driver of GDP, promises to create 400,000 new jobs.[36]

The country is also ramping up local production of wind turbines, with the establishment of its first Megawatt-class blade production facility in Nador, which is expected to employ 3,332 people.

Land availability

8,000 villagers lost access to collective pasture in 2010 due to land acquisition for renewables projects with little recourse since the Moroccan Agency for Sustainable Energy (MASEN) asserts it’s an empty, arid waste– which was used to legitimize buying the land for 15 cents a square meter.[3]

A number of plants are slated to follow the same trend and be built in the disputed Saharan Provinces or Western Sahara.[37][37]

In March of 2024 Morocco announced that 1 million hectares of land would be set aside specifically for green energy projects.[38]

Civil Society Engagement

Mosques more sustainable w/ solar panels (Moroccan Youth Center for Sustainable Energy)[1]

Protests that did occur against land acquisition by MASEN were short-lived mobilizations that involved mostly men and which quickly shifted into competition among residents to secure one of the 2,000–3,000 jobs that MASEN had promised them on the construction site.[3]

Protests did occur during the land sale phase for Noor, and lead to a series of community development projects, such as programs to get girls into middle and high school, but these ended up being paid for largely by residents rather than the company.

In 2017 eight activists were jailed after a series of demonstrations demanding jobs, including a nine-day hunger strike.[37]

The heavily coal-reliant electricity sector increased consumer prices in 2015 for the first time since 2009, sparking protests.[31]

Civil society organizations have also become more active on climate issues in Morocco. These organizations work locally for resilient rural development and energy efficiency, as well as working to advancing climate initiatives nationally. In August of 2021, the Alliance Marocaine pour le Climat et le Développement Durable (AMCDD), one of the largest networks of environmental CSOs, published its “ White Paper for an Alignment Between Post-COVID Public Policies and the Paris Agreement,” which calls for a better alignment of public policy with national climate ambitions.[39]

In 2024 Morocco launched the Moroccan National Energy Transition Consortium (MNETC), which brings together researchers, industry professionals, and experts to foster collaboration and innovation in sustainable energy. MNTEC aims to bridge the gap between academia, industry, and government.[40]

Symbolic Importance

Morocco’s transition to renewables and expansion of its grid are creating not only a path towards energy independence, but a shift toward independence from French colonial rule. Physical and trade infrastructure built under French rule was designed to exploit Morocco and benefit France; this could be seen clearly when France caused 95% of Morocco's trade deficit in 1950 and exploited mineral and agricultural goods from the Kingdom as part of its recovery from World War II.[41]

Mosques more sustainable w/ solar panels (Moroccan Youth Center for Sustainable Energy)[1]

With Noor, extractive governance and development come intertwined in farming initiatives, road paving, health care campaigns and schooling programs, among other projects. In this way, villagers have daily encounters with extractivism as development and with MASEN as a new governing authority.[3]

Governmental information

The Monarchy has vast influence over energy policy in Morocco. In recent decades, there has been a massive push for rural electrification and renewable energy, with the King's unconditional support.

ONEE, Morocco's only major energy producer, had a monopoly on electricity production until 1994.[42] ONEE still has a monopoly over the construction and operation of transmission lines, and is responsible for the operating and expanding the Moroccan grid.[23]


In 2014 the Moroccan government reformed fossil fuel subsidies that benefitted rural communities, ending those for gasoline and oil, cutting subsidies for diesel, but continuing to pay for butane. This reduced the government's spending on fossil fuels by billions of dollars over the past several years, which could then by funneled into renewable energies.[31]

While there has been a decrease in government support for fossil fuels, they account for two thirds of Morocco's annual budget deficit.[1]

Related government papers

Law No. 39-89: authorized the transfer of public enterprises to the private sector, which kick-started the wave of privatizations in the early 1990s.[42]

Legislative Decree No. 94-503 of 1994: ended the monopoly of ONE and allowed private electricity producers to enter the market[42]

Law No. 1-95-141 of 1995: allowed the liberalization of the petroleum products market.[42]

The Ministry of Energy, Mines, and Environment has submitted an amendment to Law 13-09 on Renewable Energy and Law 16-08 on Self-Generation to the General Secretariat of the Government. These amendments aim to improve the legislative and regulatory framework governing renewable energy projects by the private sector, while guaranteeing the security and viability of the national electricity system. “[15]

In addition to these domestic activities, several initiatives, declarations, and resolutions have been passed in recent years in support of climate action and low-carbon development that span across African countries. These initiatives include:[33]

  • Agenda 2063: 50-year plan focused on developing sustainably between 2013 and 2063. Developing renewable energy and associated infrastructure is a tenant of the plan.
  • African Single Electricity Market: Aims to connect various power pools across Africa into a singular, comprehensive marketplace for selling and purchasing electricity, resulting in increased security, lower prices, and greater access.
  • Continental Power Systems Masterplan (CMP): Long-term roadmap for connecting Africa’s energy systems. The Masterplan is unique in that it was entirely driven by African nations, with collaboration and responsibility shared across member countries. The CMP also highlights the importance of investing in renewables, as they are the most cost-effective means of addressing Africa’s rapidly growing energy demand.
  • African Union Climate Change and Resilient Development Strategy and Action Plan: Foundation for Africa’s collaborative efforts on climate action between 2022 and 2032, in line with Agenda 2063. The Plan highlights low-carbon energy and increasing access to clean energy as major goals.
  • Nairobi Declaration on Climate Change and Call to Action: Cross-country commitment to collaborate on decarbonizing African (and global) economies, which includes a drastic increase in renewable energy capacity. This Declaration was adopted at the first ever Africa Climate Summit in 2023.
  • The "Morocco Offer": Identifies land (~1 million Ha), structures such as ports and pipelines, and investment, tax, and customs incentives (such as an import duty exemption) for "green hydrogen." The Morocco Offer is governed by MASEN, the Green Hydrogen Steering Committee, and the Green Hydrogen Investment Committee.[43]

Relevant political coalitions

Morocco has positioned itself as a lifeline to the European Union. With ambitious climate goals and the potential for vast amounts of renewable energy, countries in the UK and Mediterranean are increasingly looking to Morocco to solve their own energy crises. In 2023, the EU committed $688.6 million to Morocco's energy transition.[44] Projects like the massive Xlinks undersea cable between the UK aim to provide a direct link between Morocco's growing renewable energy stores to Europe. (See more under "Transmission" section)

A study from the Forum EuroMediterraneen des Instituts de Sciences Economiques (FEMISE) suggests that Morocco and Tunisia partner with European Union neighbors to create sustainable energy infrastructure both to promote development in the African countries, and to help EU countries meet their emissions targets. However, studies like this are biased toward the EU, and go on to mention China's increasing influence as a trade partner in Morocco.[45][46]

Mediterranean Energy Regulators, or MEDREG, is a regional organization founded in 2007, comprising 27 regulators from the 22 countries of the Mediterranean basin. Its members, which include Morocco, aim to integrate all of their energy markets into a single Euro-Mediterranean market.[47]

RegulaE.Fr, the French-speaking energy regulators’ network, consists of 28 energy regulation authorities from Africa, Europe, the Americas, and Asia-Pacific. The group shares information on good practices, training programs for members, and facilitates cooperation between them.[48]

RETA, or the Regulatory Energy Transition Accelerator, connects regulators globally to support their mobilization in favor of effective, swift, and equitable decarbonation of their energy systems. This initiative provides the lesson learned from sectors which have seen significant progress. RETA was launched by the British regulator, OFGEM, in collaboration with the International Energy Agency, the International Agency of Renewable Energies, and the World Bank.[49]

Transmission

Current transmission resources

Morocco has been a net exporter of electricity since 2019, with 1,207.7 gigawatt hours (Gwh) exported. This mainly results from the start of commercial operation of the 1600 MW Safi thermal power plant activities in December 2018, which has capacity to meet 25% of the national electricity demand.

ONEE has a monopoly on on construction and operation of transmission lines, and is responsible for operating and expanding the Moroccan power transmission grid. Aside from a small isolated network in the extreme south of the country, the transmission grid covers the entire country and is interconnected with the European and Algerian power networks. The transmission grid consists of 1,693 km of 400-kV transmission lines, 8,389 km of 225-kV transmission lines, 147 km of 115-kV transmission lines, 11,625 km of 60-kV transmission lines and 37 substations. (These stats are from 2015.)[50]

New transmission needed for renewables

Two maps of Africa showing the cross-border, continent-wide interconnections that are expected under the Continental Power Systems Masterplan (CMP) between 2023 and 2040. Existing connectivity exists across three main regions: North-East, with transmission connections stretching from Morocco to Egypt and down to Tanzania; South-Central, with transmission connections stretching from South Africa and Namibia north into the Central African Republic; and North-West, which connects Mauritania to Nigeria with gaps between Guinea-Bissau and Liberia. Expected interconnections in 2040 will connect more of North Africa to Europe and the Middle East, as well as connect existing regions via transmission projects in previously disconnected countries like Angola, Malawi, Niger, Gambia, Guinea Bissau, Guinea, Sierra Leone, and Liberia. By 2040, transmission capacity is expected to reach 167 GW with 1,001 TWh of cross-border trade.
Existing and upcoming cross-border interconnections in the Continental Power Systems Masterplan’s Full Continental Integration Scenario. Originally published by IRENA.

The Continental Power Systems Masterplan (CMP) aims to connect Africa’s five existing power pools through strategic and coordinated investments across participating countries. Under the Full Continental Integration scenario, electricity demand is expected to increase threefold by 2040, with total capacity increasing to 1200 GW and renewable capacity increasing to 750 GW. Cross-border transmission will expand dramatically from 23 GW in 2023 to 167 GW in 2040, and the Plan’s rollout will cost approximately USD$1.3 trillion by 2040 or USD$72 billion per year.[33]

Transmission interconnection with Spain:

The Spain-Morocco interconnection includes two 400 kV lines, commissioned in 1997 and 2006.The two countries are planning a third, and the three interconnections will be able to produce 1,500 MW. These lines export energy from Morocco to Spain.[51]

Xlinks Morocco-UK Power Project:

Morocco plans to export renewable energy to the UK through what will be the longest subsea cable in the world. The cable will eventually connect to the 10.5 GW solar and wind farm that will be built in Guelmim-Oued Noun region. A factory is being built in Scotland to manufacture these cables which will need to be 2,361 miles long and require 90,000 metric tons of steel. The project is expected to create nearly 10,000 jobs in Morocco, and 2,000 of those positions will be permanent. Morocco generates three to five times more power through solar than the UK does depending on the season.[35]

Social and environmental impacts of new transmission

Morocco’s rural electrification rate has skyrocketed from 18% in 1995 to nearly 100% today. These efforts were supported unconditionally by the monarchy, and relied heavily on solar– especially for areas where connecting to the grid was infeasible.[52] This expansion has benefitted rural communities across the country, helping farmers pump water and irrigate crops in the arid region.[53]

However, this rapid growth in the renewable energy sector has exacerbated land disputes driven by colonial-era laws. In rural Morocco where massive renewable projects are being constructed, most people are employed as farmers, and some are nomadic. Morocco's 1919 collective land law makes it so revenues from the sale or lease of collective land are deposited in accounts kept by the Ministry of Interior; tribal confederations cannot gain access to these funds or even find out how much is due to them.[37]

Ownership

Morocco's state utility the Office National de l'Electricité et de l'Eau Potable (ONEE), holds a monopoly over the country’s transmission network and is involved in all sales of electricity. ONEE also accounts for around a third of total generation, and over half of the electricity produced in Morocco is from private generation plants. More than half of the distribution and retail sectors of the power market are also controlled by ONEE, but private sector participation is also high.[54][55]

Major owners of current fossil capacity

Operating coal power plant ownerships:[56]

  • TAQA Morocco: 6 plants 2056MW
  • Safi Energy Company: 2 plants 1386MW
  • Office National de l'Electricité et de l'Eau Potable: 5 plants 465MW
  • Office National de l’Electricité (ONE), Sepco III: 1 plant 350MW


Gas power plant ownership:[57]

  • announced: Office National de l'Électricité du Maroc (ONE) [100%], 2400MW, 4 plants
  • construction: Energie Electrique de Tahaddart (EET) [100%], 457MW, 1 plant
  • operating: Energie Electrique de Tahaddart (EET) [100%], 400MW, 1 plant/ Office National de l'Électricité du Maroc (ONE) [100%] 470MW, 1 plant

Major owners of prospective renewables

Foreign private companies are some of the primary beneficiaries of Morocco's renewable transition. For solar installations, this includes the French company Engie, the Spanish Gamesa, the Saudi ACWA, the Emirati Taqa, and German company Siemens. The wind company benefitting most from the transition is Nareva, whose parent company Al Mada has a history of pollution disasters in its silver mining and sugar producing affiliates.

Finance

Of the USD$2.8 trillion invested in renewable energy between 2000 and 2020, only 2% went to Africa, a share that dropped to less than 1% in 2021. Investments nearly tripled in 2022 and quadrupled in 2023 but still fell short of total financing needs. Approximately 40% of financing Africa received between 2010 and 2020 went to southern Africa, while 32% went to North Africa. Top recipients of financing were Egypt, Kenya, Morocco, and South Africa. 45% of direct investments came from public financing sources. Due to anticipated risk associated with projects in Africa, the continent experiences higher weighted average costs of capital (WACC) which makes it difficult to secure private investment.[33] Despite this, over 50% of the wind energy projects in Morocco are being developed by the private sector.[58]

Morocco has set a goal of investing $1 billion per year in solar and wind power, and increased domestic renewables would cut its energy import bill by $15 billion per year. According to Leila Benali, Morocco's energy minister, this would be supplemented by a 300% growth in private investment.[59] A report by the World Bank from April of 2023 stressed that the country should increase its financing package for green energy projects to $2.6 billion annually through 2030, and to $17.4 billion annually by 2050.[60]

In 2023 it was announced that over a five year period the European Investment Bank (EIB) had invested €2.5 billion in Morocco's development, with 20% going to renewable energy and 19% to sustainable transport.[61]

The World Bank recommends that Morocco put in place a guarantee or public investment vehicle to de-risk and crowd in green commercial investments. It's also recommended that tax reform and water valuation policies would redirect public funds towards green initiatives. Specifically, eliminating "brown" tax expenditures, including subsidies for butane gas. However, this would have a disproportionate impact on poor and vulnerable populations, so compensation for these groups would be necessary.[39]

The "Solar Plan" is a project to invest $9 billion to develop 2 GW of solar capacity, and the "Green Morocco Plan" is a $2 billion investment to develop wind, solar, and hydro capacity.[62]

Potential providers of wind/solar finance

The African Development Bank Group, or AfDB, is the major financier of Morocco's renewables projects. A few examples include the Ain Béni Mathar Project, which received US$221.97 million (two thirds of the project cost) from the African Development Bank, and the second electrical interconnection between Morocco and Spain which got US$158 million.[53]

Some of the massive renewables projects, like the Noor Ouarzazate Complex, were funded by the AfDB at around €500 million Phase I was entirely funded by AfDB. Phase II required $2 billion in investment and consisted of 80% loan and 20% equity.[32]

In October 2023, the International Monetary Fund (IMF) loaned $1.32 billion to Morocco.[63]

Other

Another "green hydrogen" project worth mention is a potential deal with the Australian company CWP Global, which would involve $20 billion for a mega green hydrogen and green ammonia project.[63]

Articles and resources

Related GEM.wiki articles

References

  1. ↑ 1.0 1.1 1.2 1.3 1.4 1.5 1.6 1.7 Aida Alami. "How Morocco went big on solar energy". Retrieved 2023-06-13.
  2. ↑ "Climate Investments Will Reap Big Dividends for Morocco, Says World Bank Report". World Bank. Retrieved 2024-06-10.
  3. ↑ 3.0 3.1 3.2 3.3 Salime, Zakia (Spring 2021). "https://merip.org/2021/04/life-in-the-vicinity-of-moroccos-noor-solar-energy-project-2/". Merip.org. Retrieved 6/15/2023. {{cite web}}: Check date values in: |access-date= (help); External link in |title= (help)CS1 maint: url-status (link)
  4. ↑ “Morocco joins international campaign to phase out coal,” Reuters, December 8 2023
  5. ↑ Atalayar (2024-01-27). "Morocco expects an increase in green energy investments in the coming years". Atalayar. Retrieved 2024-06-07.
  6. ↑ Global Bioenergy Power Tracker, Global Energy Monitor, January 2024 release
  7. ↑ 7.0 7.1 Global Coal Plant Tracker, Global Energy Monitor, January 2024 release.
  8. ↑ Global Geothermal Power Tracker, Global Energy Monitor, January 2024 release.
  9. ↑ 9.0 9.1 Global Energy Monitor, Global Hydropower Tracker, April 2024 release
  10. ↑ Global Nuclear Power Tracker, Global Energy Monitor, January 2023 release
  11. ↑ Global Gas Plant Tracker, Global Energy Monitor, February 2024 release
  12. ↑ 12.0 12.1 12.2 Global Solar Power Tracker Global Energy Monitor, June 2024
  13. ↑ 13.0 13.1 13.2 Global Wind Power Tracker Global Energy Monitor, June 2024
  14. ↑ "Morocco raises renewables energy target to 64% by 2030 -newspaper". Retrieved 2023-06-13.
  15. ↑ 15.0 15.1 15.2 15.3 15.4 1. "Morocco - Energy". International Trade Administration | Trade.gov. Retrieved 2023-06-16.{{cite news}}: CS1 maint: numeric names: authors list (link)
  16. ↑ "Going Global: Expanding Offshore Wind to Emerging Markets" (PDF). worldbank.org. October 2019. Retrieved 6/22/2023. {{cite web}}: Check date values in: |access-date= (help)CS1 maint: url-status (link)
  17. ↑ 17.0 17.1 Shehabi, Manal (May 30, 2024). "Just Energy Transitions? Lessons From Oman and Morocco". CarnegieEndowment.org. Retrieved June 7, 2024.{{cite web}}: CS1 maint: url-status (link)
  18. ↑ “MENA in pole position for green steel race,” Institute for Energy Economics and Financial Analysis, September 19 2024
  19. ↑ Douglas, Georgia (03/21/2023). "SHINING A LIGHT ON THE INJUSTICES OF THE NOOR OUARZAZATE SOLAR PLANT". empowordjournalism.com. Retrieved 6/16/2023. {{cite web}}: Check date values in: |access-date= and |date= (help)CS1 maint: url-status (link)
  20. ↑ Tiwari, Aakanksha (October 22, 2020). "Environmental Burden of a Concentrated Solar Power Plant". CAG.org.in. Retrieved June 12, 2024.{{cite web}}: CS1 maint: url-status (link)
  21. ↑ Global Oil and Gas Extraction Tracker, Global Energy Monitor, February 2023
  22. ↑ 22.0 22.1 "Morocco: Oil and Gas Industry". mbendi.co.za. Retrieved 6/23/2023. {{cite web}}: Check date values in: |access-date= (help)CS1 maint: url-status (link)
  23. ↑ 23.0 23.1 "Electricity regulation in Morocco: Overview" (PDF). January 1, 2021. Retrieved 6/27/2023. {{cite web}}: Check date values in: |access-date= (help)CS1 maint: url-status (link)
  24. ↑ Africa Business Communities. "NNPC highlights benefits of Nigeria-Morocco gas pipeline". Africa Business Communities (in Nederlands). Retrieved 2023-06-29. {{cite news}}: |last= has generic name (help)
  25. ↑ Patrick M (2022-05-09). "Nigeria-Morocco Gas Pipeline (NMGP) Project Updates". Constructionreview. Retrieved 2023-06-29.
  26. ↑ “Four Reasons Why Morocco Is Becoming a Renewable Energy Powerhouse,” Columbia School of Professional Studies, November 20 2023
  27. ↑ DANGEROUS NO2 AIR POLLUTION IN MIDDLE EASTERN AND NORTH AFRICAN CITIES HAS INCREASED BACK TO PRE-COVID LEVELS Greenpeace MENA, Dec 2021
  28. ↑ Greenpeace MENA: Air Pollution Kills Over 5,000 in Morocco Per Year Morocco World News, June-24-2020
  29. ↑ TOXIC AIR: THE PRICE OF FOSSIL FUELS Morocco World News, June 2020
  30. ↑ [https://openknowledge.worldbank.org/server/api/core/bitstreams/21f7f2c5-cad0-57bf-8813-52d2c31f25fa/content Morocco’s Jobs Landscape Identifying Constraints to an Inclusive Labor Market] World Bank Group, 2021
  31. ↑ 31.0 31.1 31.2 "Morocco: Fuel Subsidy Reform Designed to Support a Just Transition to Renewable Energy". wri.org. April 1, 2021. Retrieved 6/27/2023. {{cite web}}: Check date values in: |access-date= (help)CS1 maint: url-status (link)
  32. ↑ 32.0 32.1 "Noor Ouarzazate Solar Complex in Morocco, World's Largest Concentrated Solar Power Plant". helioscsp.com. Retrieved 6/27/2023. {{cite web}}: Check date values in: |access-date= (help)CS1 maint: url-status (link)
  33. ↑ 33.0 33.1 33.2 33.3 “The energy transition in Africa: Opportunities for international collaboration with a focus on the G7,” International Renewable Energy Agency, April 2024
  34. ↑ Lorca, Alejandro (2013-12-13). "Renewable Energies and Sustainable Development in the Mediterranean: Morocco and the Mediterranean Solar Plan (MSP)?". Femise. Retrieved 2023-06-22.
  35. ↑ 35.0 35.1 Lewis, Michelle. "The world's longest subsea cable will send clean energy from Morocco to the UK [update]". Electrek.co. Retrieved 6/27/2023. {{cite web}}: Check date values in: |access-date= (help)CS1 maint: url-status (link)
  36. ↑ News, Jasper Hamann-Morocco World. "Morocco Eyes 'Privileged Partnership' With Germany on Renewables". www.moroccoworldnews.com. Retrieved 2024-06-10. {{cite web}}: |last= has generic name (help)
  37. ↑ 37.0 37.1 37.2 37.3 Atman, Aoui (Fall 2020). "Global Aspirations and Local Realities of Solar Energy in Morocco". Retrieved 6/16/2023. {{cite web}}: Check date values in: |access-date= (help)CS1 maint: url-status (link)
  38. ↑ "Morocco making waves with its green energy progress". Arab News. 2024-03-21. Retrieved 2024-06-07.
  39. ↑ 39.0 39.1 "Morocco World Bank Group County and Climate Development Report". openknowledge.worldbank.org. October 2022. Retrieved June 10, 2024.{{cite web}}: CS1 maint: url-status (link)
  40. ↑ News, Mahamadou Simpara-Morocco World. "Morocco Launches National Energy Transition Consortium for Sustainable Future". www.moroccoworldnews.com. Retrieved 2024-06-10. {{cite web}}: |last= has generic name (help)
  41. ↑ Samir Bennis - Morocco World News. "What Moroccan Schools Do Not Teach About the Toxic Legacy of France's Protectorate". https://www.moroccoworldnews.com/. Retrieved 2023-06-21. {{cite news}}: External link in |work= (help)
  42. ↑ 42.0 42.1 42.2 42.3 Seddiq Sebbahi (2019-03-11). "Legislative framework for renewable energy in Morocco". Renewable Energy World. Retrieved 2023-06-27.
  43. ↑ "MASEN - Offre Maroc Hydrogène Vert". www.masen.ma. Retrieved 2024-06-11.
  44. ↑ "Why Morocco is emerging as Europe's renewable-energy partner of choice". Arab News. 2023-08-08. Retrieved 2024-06-10.
  45. ↑ Luke Tyson - Morocco World News. "Renewable Energy to Create 400,000 Moroccan Jobs Over Next 20 Years". https://www.moroccoworldnews.com/. Retrieved 2023-06-22. {{cite news}}: External link in |work= (help)
  46. ↑ Amine Bennis (2021-01-26). "Power surge: How the European Green Deal can succeed in Morocco and Tunisia". ECFR. Retrieved 2023-06-22.
  47. ↑ "Who we are". www.medreg-regulators.org. Retrieved 2023-06-28.
  48. ↑ "Qui Sommes-Nous? Organisation". regulae.fr. Retrieved 6/28/2023. {{cite web}}: Check date values in: |access-date= (help)CS1 maint: url-status (link)
  49. ↑ "RETA – International collaborations - IEA". IEA. Retrieved 2023-06-28.
  50. ↑ Amegroud, Tayeb (2015). "Morocco's Power Sector Transition: Achievements and Potential" (PDF). Retrieved 6/27/2023. {{cite web}}: Check date values in: |access-date= (help)CS1 maint: url-status (link)
  51. ↑ "Morocco-Spain interconnection: Submarine power cable repaired". northafricapost.com. September 5, 2020. Retrieved 6/27/2023. {{cite web}}: Check date values in: |access-date= (help)CS1 maint: url-status (link)
  52. ↑ Jacquot, Gregiore (May 2020). "Reaching Universal Energy Access in Morocco: A Successful Experience in Solar Concessions" (PDF). Energy.mit.edu. Retrieved 6/21/2023. {{cite web}}: Check date values in: |access-date= (help)CS1 maint: url-status (link)
  53. ↑ 53.0 53.1 African Development Bank (2019-01-25). "Morocco making giant strides in electrification". African Development Bank Group - Making a Difference. Retrieved 2023-06-29.
  54. ↑ "Climate Scope: Morocco". climatescope.org. Retrieved 6/26/2023. {{cite web}}: Check date values in: |access-date= (help)CS1 maint: url-status (link)
  55. ↑ Usman, Zainab (November 19, 2019). "What Can Developing Countries Learn from Morocco's Experience with Power Sector Reforms?". blogs.worldbank.org. Retrieved 6/26/2023. {{cite web}}: Check date values in: |access-date= (help)CS1 maint: url-status (link)
  56. ↑ Global Coal Plant Tracker Global Energy Monitor, Jan 2023
  57. ↑ Global Gas Plant Tracker Global Energy Monitor, Feb 2023
  58. ↑ "Investment Opportunities in Morocco's Energy Sector". www.netzerocircle.org. Retrieved 2024-06-10.
  59. ↑ Rogers, David (2024-01-31). "Morocco to spend $1bn a year on renewables to slash energy imports". Global Construction Review. Retrieved 2024-06-07.
  60. ↑ News, Safaa Kasraoui-Morocco World. "IFC Pledges To Assist Morocco's Energy Transition Acceleration Plan". www.moroccoworldnews.com. Retrieved 2024-06-07. {{cite web}}: |last= has generic name (help)
  61. ↑ "EIB Global in Morocco: Large-scale investment of €2.5 billion with a private sector focus". European Investment Bank. Retrieved 2024-06-10.
  62. ↑ Laaroussi, Amale; Laarousi, Ouiame (July 14, 2023). "Environmental impact study of the NOOR 1 solar project on the Southern Region of Morocco". rees-journal.org. Retrieved June 12, 2024.{{cite web}}: CS1 maint: url-status (link)
  63. ↑ 63.0 63.1 Le-Lannou, Alizée (2023-12-13). "Morocco and IMF Resilience and Sustainability Trust: Balancing debt, privatisation and neocolonial dynamics". Bretton Woods Project. Retrieved 2024-06-10.
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