Morocco will not subsidize green hydrogen projects unless they demonstrate that they are economically viable and will provide renewable energy at competitive prices in international markets, Leïla Benali, Minister of Energy Transition and Sustainable Development, declared on Wednesday.
Speaking before a parliamentary committee on Morocco’s national energy strategy and green hydrogen offering, Benali confirmed that twelve projects are currently being evaluated for land allocation under the “Moroccan Offer” launched in 2022.
One project has already been authorized, while others may be allocated plots ranging from 100 to 300 square kilometers, totaling one million hectares available from the state.
Responding to concerns raised by deputies regarding potential conflicts of interest in certain energy projects, including the desalination of water in Casablanca and water resource management, the minister referred to certain in-depth studies that have already been concluded. “These studies refute the allegations and are based on joint observations from private investors and public institutions,” she asserted.
Benali also addressed delays in the implementation of some energy projects, such as public lighting, attributing them to “political and electoral differences.” She stated that since 2011, Morocco has adopted strategic and political choices, such as advanced regionalization and the expansion of local authorities’ responsibilities. “These guidelines are our reference and are non-negotiable,” she noted.
During the session, the opposition Justice and Development Party (PJD) criticized the increasing role of private actors in infrastructure projects, calling one company involved “the government’s fourth ally.”
Benali pushed back, “Regardless of your opinion on seawater desalination, there is a consensus on the need to act in the face of persistent drought.”
Asked about recent criticism by Morocco’s Supreme Council of Auditors regarding anomalies in the energy transition, the minister defended the government’s decisionmaking. “We work closely with constitutional institutions and base our actions on solid economic data. These recommendations help us correct our actions and strengthen our strategic projects,” she said.
Addressing concerns over investments in energy infrastructure, Benali blamed lack of planning in 2021.
“The lack of planning raised our alarms, but we rectified the situation in 2022, in coordination with our partners.” Overall, she concluded, the government’s goal is clear: “To provide green, clean, and low-cost energy.”
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