Morocco Strengthens Energy Resilience with Ambitious Petroleum and Renewable Projects

Morocco is ramping up its energy strategy with plans to significantly enhance petroleum storage capacity and renewable energy production by 2030.

Energy Transition and Sustainable Development Minister Leila Benali announced a MAD 5 billion ($488 million) investment to expand the nation’s petroleum storage by 1.8 million cubic meters. This initiative will add 41 days to the country’s national consumption reserves. Over 3,600 direct jobs and thousands of indirect opportunities are expected to emerge from this project, which reinforces Morocco’s focus on energy security.

Morocco’s renewable energy sector is also undergoing rapid transformation. By August 2024, the country’s renewable electricity capacity reached 5,300 megawatts, marking a 7.3% increase since the current administration took office. Wind energy surpassed hydropower in electricity production for the first time, supplying 20% of the country’s electricity demand.

Benali highlighted that her ministry had approved private renewable energy projects totaling over 2 gigawatts of capacity within two years, setting a new record. She noted that production costs for renewable energy, including advanced battery storage, have dropped to MAD 0.40 ($0.04) per kilowatt-hour, making the sector globally competitive.

Investment in renewable energy has seen a dramatic increase, rising from MAD 3.5 billion ($341 million) annually before 2021 to MAD 15 billion ($1.46 billion) per year after 2023. Future projects, valued at MAD 30 billion ($2.93 billion), include a high-capacity 3-gigawatt electrical interconnection line linking southern and central Morocco.

To accelerate its renewable energy transition, Morocco introduced three new decrees. These measures include:

Mandating smart meters to improve grid efficiency. Issuing renewable electricity certificates of origin to promote green energy. Supporting energy service companies in implementing energy-saving measures.

These reforms align with Morocco’s vision of achieving energy independence and sustainability while positioning itself as a renewable energy frontrunner in Africa.