Morocco and the potential of green hydrogen

Green hydrogen
Green hydrogen is positioned as one of the fundamental pillars for the global energy transition, and Morocco emerges as one of the key players in this scenario thanks to its strategic location, its capacity to generate renewable energy and its alignment with international climate objectives
  1. Strengths
  2. Weaknesses
  3. Opportunities
  4. Realities and uncertainties

The recent agreements within the framework of COP29 and the development of the ‘Morocco-EU Green Partnership’ reinforce this position, positioning the country as an energy bridge between Europe and Africa.

Strengths

Morocco has ideal natural resources for the production of green hydrogen: large areas with high solar irradiation, strong winds and privileged access to the European market. These factors, together with its political stability and commitment to sustainability, have attracted significant investment.

For example, the OCP group plans to produce one million tonnes of green ammonia by 2030, and strategic projects such as MASEN's ‘Power to Hydrogen’ explore innovations in electrolysis powered by renewable energy.

Weaknesses

However, Morocco faces challenges, such as limited infrastructure for green hydrogen exports, the need to develop a more robust regulatory framework, and international competition in the sector.

The initial investment required for large projects remains a considerable barrier, although steps are being taken to attract foreign capital and strategic alliances, but efforts must be multiplied to open up opportunities, avoiding inbred attitudes that may limit or discourage international investment interest.

Opportunities

Agreements with the European Union to regulate the production and export of green hydrogen open up a range of opportunities. Europe, in its quest to diversify energy sources in the face of geopolitical crises, sees Morocco as a reliable and close partner. This is reflected in initiatives such as the 300 million dollar investment fund signed with the Netherlands for water and renewable energy projects.

Realities and uncertainties

The growing demand for clean energy and the tensions in the hydrocarbon market present a favourable context. However, long-term success will depend on factors such as technological evolution, geopolitical dynamics and the effective implementation of inclusive and sustainable energy policies.

Morocco is well positioned to lead the transition to a green hydrogen economy. Its ability to become a key exporter will not only strengthen its economy, but also contribute significantly to global decarbonisation goals. The key is to build on its competitive advantages, overcome internal challenges and continue to establish strategic partnerships with global players.