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Green Futures: Will Morocco Fulfill its Promise as Europe's Hydrogen Superpower?

Green Futures: Will Morocco Fulfill its Promise as Europe's Hydrogen Superpower?
Tuesday 20 February 2024 - 14:11
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Morocco stands at the cusp of a renewable energy revolution, poised to emerge as a titan in the field and a significant exporter of green hydrogen to Europe. However, amidst the promise lies a landscape fraught with uncertainties surrounding demand, infrastructure development, and policy support, which threaten to impede the nation's hydrogen ambitions.

With its abundance of world-class sun and wind resources, Morocco has set its sights on an ambitious target: producing 4TWh of hydrogen domestically and an additional 10TWh for export annually by 2030. This ambitious goal underscores the nation's potential as a low-cost hydrogen powerhouse, strategically positioned at Europe's doorstep.

The European Union, aiming for 10 million tonnes of annual hydrogen imports by 2030, has recognized Morocco as a pivotal partner in this endeavor. Initial agreements have been reached, promising collaboration on regulatory frameworks and financing for production facilities and export pipelines. However, progress has been slow and fragmented, hindered by logistical and economic uncertainties that obscure the pathway forward.

Amidst the uncertainties surrounding export projects, a beacon of hope emerges from domestic demand, particularly from the fertilizer giant OCP Group. With an $8.5 billion investment in green hydrogen plants, OCP Group aims to produce zero-carbon fertilizers, mitigating volatility in fossil fuel prices and contributing to sustainability efforts.

Currently, most export schemes in Morocco are in the early planning stages, awaiting finalization of incentive programs. Clear and transparent policies, coupled with long-term guarantees from European partners, could catalyze flagship projects proposed by developers such as HDF Energy and TAQA, targeting multi-gigawatt facilities.

Additionally, ambitious transcontinental pipeline projects have been proposed, including a 5,600km West African network and the potential to replace lost Algerian gas exports to Europe via Morocco. Companies like TotalEnergies and CWP Global have set their sights on establishing massive renewable energy and green ammonia hubs in Morocco's resource-rich south.

Morocco undeniably possesses the renewable energy potential to emerge as a hydrogen superpower. However, to realize this vision, both Morocco and its European partners must provide clearer signals on demand, infrastructure planning, and supportive policies. Without enhanced visibility and collaboration, the country's promising green future remains uncertain.


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