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X-Links President warns of relocating Morocco-UK energy project amid UK delays

X-Links President warns of relocating Morocco-UK energy project amid UK delays
Wednesday 02 - 11:20 By: Dakir Madiha
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X-Links President and former Tesco chief Dave Lewis has issued a stark warning regarding the future of a groundbreaking £25 billion renewable energy initiative linking Morocco and the UK. Due to ongoing government delays, Lewis indicated that investors may consider shifting the project to Germany or other markets if the UK does not act swiftly.

“Government hesitation could permanently derail this opportunity,” Lewis cautioned in a recent interview with The Telegraph. He highlighted that while funding is available, bureaucratic obstacles are hindering progress.

The ambitious project aims to transport solar and wind energy generated in Morocco’s Saharan region, near Tan-Tan, to the UK via 4,000 kilometers of undersea high-voltage cables. Once operational, it is expected to supply power to nine million British homes and reduce the UK energy sector’s CO2 emissions by 10 percent.

Morocco’s favorable climate conditions would enable the system to generate electricity for approximately 19 hours daily, offering renewable energy at around £70 per megawatt-hour (MWh). This price point is competitive compared to nuclear, biomass, or tidal power, although British offshore wind farms also provide similar rates but are subject to unpredictable weather.

Lewis noted that the X-Links operation in Morocco is anticipated to create 10,000 jobs, emphasizing the nation’s role as a leader in renewable energy.

Describing Morocco as a “future renewable energy powerhouse,” Lewis asserted that the project is financially viable, with investors already committing £8 billion. Market tests aimed at raising the remaining £17 billion have produced results exceeding expectations.

Despite being designated a “project of national importance” 18 months ago, X-Links is still awaiting a long-term guaranteed purchase contract from the UK government, a crucial step for securing full investment.

The decision now lies with UK Energy Minister Ed Miliband, whose approval is essential for establishing a stable purchase price for the electricity.

These administrative delays also jeopardize plans for a cable factory in Scotland, which would create 1,200 jobs. After four years of development, project advocates are growing increasingly frustrated with the bureaucratic bottlenecks.

“We have the money, we have the technology, we have willing partners in Morocco – what we lack is timely decision-making in London,” Lewis emphasized, underlining that renewable energy investors have numerous global options for their capital.

Morocco has been proactively positioning itself as a leader in green energy, significantly investing in renewable projects such as solar and wind installations. According to Bloomberg, the North African nation aims to more than double its green energy capacity from 1.3 gigawatts to 2.7 gigawatts by 2027.

With its world-class Noor Ouarzazate complex, Morocco has showcased impressive advancements in solar technology, reinforcing its commitment to sustainable power generation. As it seeks to meet increasing electricity demands, Morocco is rapidly expanding its renewable energy infrastructure into the southern regions.

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