Morocco strengthens its position in global renewable energy market, especially solar

A recent report by the British company Solar Power Europe said Morocco has solidified its position on the global renewable energy map, especially in solar energy. 

The report highlights that strengthening public-private partnerships and developing specialized training programs to build local expertise in solar energy will be crucial in accelerating Morocco’s ambitious renewable energy goals.

The report said that Morocco is actively working to increase the share of renewable energy in its national energy mix, noting that the country’s geographic advantages provide significant energy potential. 

Morocco is focused on harnessing this potential through major projects that will develop electricity networks and connect solar-rich areas in the south with consumption hubs in the north, improving energy transmission efficiency.

The report also underscores Morocco’s strong wind energy potential, particularly in regions with high wind speeds. These include the far north (Tangier, Tetouan) and the coastal area of Essaouira, where winds average 7 meters per second, as well as the southern Atlantic region from Tarfaya to Lagouira, where wind speeds average 10 meters per second, according to the International Energy Research Institute.

To reduce reliance on traditional energy sources, the report highlights Morocco’s ambitious strategy to diversify its energy mix, focusing on renewable sources such as solar, wind, and hydropower. 

Specifically, Morocco aims to have at least 52% of its energy from renewable sources by 2030, positioning itself as a regional leader in Africa’s energy transition.

While Morocco has made significant strides in its energy goals, its full potential in photovoltaic solar energy remains untapped. The report attributes the moderate development of the photovoltaic sector to several factors, including a growing focus on concentrated solar power, delays in photovoltaic project development, and challenges with grid integration.

The report notes that Morocco’s vast solar potential has attracted European developers and solar equipment suppliers. However, it stresses the importance of continuing to liberalize the electricity market to attract more private investment and support companies in advancing renewable energy efforts.

The report recommends increasing support for the power purchase agreement market by establishing clearer legal frameworks, stronger incentives for companies, and creating a public guarantee mechanism to improve financing options. It also suggests introducing tax incentives or a carbon tax system.

The company suggests encouraging energy-intensive industries to participate in this market, which could significantly help Morocco reach its renewable energy goals. Self-generation, particularly for industries with high energy demands, could play a critical role in cutting costs and reducing the carbon footprint.

The report advises the Moroccan government to apply VAT exemptions on solar equipment, offer tax reductions for solar energy infrastructure investments, and enhance financing mechanisms like green bonds and low-interest loans. It also recommends creating renewable energy funds in collaboration with international financial institutions to make long-term financing more accessible.

The report suggests developing regulations to facilitate the export of solar energy to neighboring countries, including setting competitive export tariffs, negotiating bilateral agreements, and continuing investment in cross-border grid connections to ensure that export capabilities align with the sector’s development goals.