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The country is implementing several strategies to increase renewable energy output For the first time, Morocco is permitting private sector participation in its electricity network, with the government announcing this week that it intends investing MAD30 billion (around $2.9bn) in projects to upgrade and expand its national grid by 2030. The country is also increasing investment in renewable energy projects. During a parliamentary session this week, Dr Leila Benali, the country’s Minister of Energy Transition and Sustainable Development, highlighted some of the Ministry’s accomplishment in the sector. “In just two years, we have licensed more than 2,000 megawatts [of renewable energy projects], the largest capacity licensed by the ministry in its history,” she said. She also pointed out efforts by the government to promote and increase renewable energy output. “Numerous measures have been taken since the launch of the National Energy Strategy in order to secure the national energy supply.” This is being achieved by: Reducing energy dependency, Developing renewable energy sources, Promoting energy efficiency, Strengthening regional integration, and Managing the energy transition. Benali said “significant transformation” is being led by the ministry during the current government administration. These measures include accelerating the pace of work; simplifying procedures and licenses; encouraging investments; creating new job opportunities; developing a new institutional organisational framework; and an integrated plan for the necessary infrastructure “in accordance with the high Royal directives.” Encouraging private sector investment in renewable energy projects in Morocco Also, in a bid to promote investment into the sector, the government has shortened the processing time for the majority of application and has digitised the system for “greater transparency.” This means that most renewable energy project requests are now processed within 30 days. Dr Benali said that during the “first half of this government mandate” 2,000MW of renewable energy projects had been approved. “… with an investment of more than 19 billion Dirham (around $1.8bn), creating more than 300 direct jobs and thousands of indirect jobs.” Refocusing government entities The government is also adopting “strategic measures” to reduce the cost of energy, she said. This will see the role of the National Electricity Regulatory Authority (ANRE) enhanced and the restructuring of the National Office of Electricity and Drinking Water (ONEE). This encompasses the implementation of the separation between the production, transmission and distribution activities of the two entities. Renewable energy landscape and sector investment in Morocco Benali also confirmed that 5.4GW of installed renewable energy capacity was now operational, supplying around a fifth or 20% of the country’s electricity demand. She re-emphasised Morocco’s renewable energy ambitions for the next few years. “More than 9GW are being programmed for between 2023 and 2027, with a total investment of nearly 90 billion Dirhams (around $8.9bn). We are doubling the pace of renewable energies by more than four times a year and scaling up investment to exceed our targets.” In terms of private sector investment, She said: “We are enabling the private sector to invest in the grid for the first time. Total investment in the grid is estimated at 30 billion Dirhams between 2024 and 2030, without counting the [3GW] South-Central Electricity Interconnection Line. Reducing energy consumption in the North African kingdom Also this week, the Minister said a new energy efficiency approach could help Morocco save at least 20% in energy consumption by 2030 Speaking at the House of Representatives, Benali said this approach takes into account the goals of the National Sustainable Development Strategy as well as the recommendations of the New Development Model. It targets transport, building, industry, agriculture and public lighting sectors. Government news agency Agence Marocaine de Presse (MAP) reports that this is primarily based on adhering to energy efficiency principles in new investment projects, integrating energy efficiency measures into public spending and programmes benefitting from state subsidies, and placing energy efficiency at the core of concerns for professionals and citizens. Energy efficiency is the second pillar of Morocco’s energy strategy, launched under the leadership of King Mohammed VI, she noted. It represents a promising area for job creation in the energy sector, with 100,000 job opportunities expected by 2030. According to data from the Moroccan Agency for Energy Efficiency (AMEE), she pointed out, a 6.58% saving was achieved in 2020. Looking to curb the cost of public lighting MAP reported that Benali said applying energy efficiency measures in public lighting will help reduce lighting consumption by 40%. “She pointed out that public lighting expenses are the second-largest item in local government budgets, after staff costs, and are the biggest energy expense for local authorities,” said the news agency. MAP said the minister emphasised the significant impact of energy efficiency measures in public lighting, which could help reduce consumption by 40%, she pointed out. After personnel costs, public lighting is one of the largest budget items for local authorities and accounts for their highest energy expenditure, she said. |
