Fuel prices, refinery crisis spur renewed calls to revive Morocco’s SAMIR

Amid soaring fuel prices, the National Front for the Rescue of the Moroccan Refinery (SAMIR) has urged the government to restore fuel price regulation until the sector is restructured in a way that reflects average Moroccans’ purchasing power.

In a statement issued Thursday, the group blamed the current crisis on the removal of fuel subsidies and the 2015 price liberalization, which occurred despite the absence of real market competition.

 It said the state must now assume responsibility and address practices that violate Morocco’s competition laws.

The group warned of worsening deterioration at the SAMIR refinery, with equipment decay, lost industrial capacity, and thousands of workers still denied their salaries and pensions since the facility was placed under court-ordered liquidation in 2016.

Despite fines imposed on the top nine fuel distributors by Morocco’s Competition Council, the group said there has been no improvement in transparency or competition. 

It noted that combined industry profits rose from an annual average of MAD 8 billion between 2016 and 2021 to MAD 12.3 billion in 2023–2024, with cumulative profits reaching MAD 80 billion by end-2024.

The group also criticized the decision to liberalize prices, arguing it was driven by profit margins rather than cost savings or improved public services. 

It cited profit margins per ton rising from MAD 600 to over MAD 2,500, while cheaper Russian diesel imports were ignored.

The Front called on the government to show “political courage” by restarting operations at SAMIR, which it claims could meet 67% of Morocco’s fuel needs and add over 45 days to national reserves. 

Restarting refining, it said, would save MAD 25 billion in foreign currency annually, restore 4,500 jobs, and revive over MAD 1 billion in local economic activity.

Separately, the Casablanca Commercial Court ruled Friday to sell the assets of Avanti Hotel (formerly SAMIR Hotel) as part of the ongoing liquidation process. The hotel was sold to a private company under a final judicial ruling.