Decarbonisation of energy production and consumption will require new green fuels and feedstock such as green hydrogen, kerosine, methanol, ammonia, gasoline, diesel and others. These green fuels will be produced from renewables in a newly named “power-to-x” industry. Morocco is very well positioned to be a frontrunner in this nascent industry. Unleashing this potential is of significant relevance for the country and worldwide decarbonisation efforts.

An outstanding position

Three major factors place Morocco at the forefront of the power-to-x industry.

• It has amongst the highest levels of solar radiation and wind speeds in the world, potentially making it one of the lowest costs producers of synthetic fuels;
• Its proximity to Europe and exporting infrastructure position it as a key ally in helping Europe to meet its sustained efforts to decarbonisation;
• The county has strong international partnerships to build on to lower trade costs and tackle innovation hurdles.

Far reaching benefits

Establishing a global power-to-x industry would render significant benefits in Morocco.

The country has a carbon intensive energy matrix and its supply is heavily dependent on imports. The last decade, oil made up more than half of primary energy sources consumed, most of which were procured from international markets. Enhancing the use of its renewable energy potentials represents a pertinent option for decarbonising its economy and for strengthening its security of supply.

The benefit of developing a PtX industry in Morocco transcends its borders. Synthetic fuels are at the centre of worldwide decarbonisation strategies by enabling close to immediate substitution of pollutant fuels, the continued use of existing energy infrastructure and providing a real clean alternative for hard-to-decarbonise sectors.

Paving the way

In close cooperation with PAREMA, the GIZ and the Moroccan Institute of Research in Solar and New Energies (IRESEN), Frontier Economics developed a roadmap to 2050 to establish a global PtX industry in Morocco. The study has substantial contributions Energy Handle and is in line with our previous study on "International Aspects of a Power-to-X roadmap" for the World Energy Council.  It served as a building block of Morocco's Green Hydrogen Roadmap and Hydrogen Strategy that the Moroccan Ministry of Energy Transition and Sustainable Development recently published. We provided additional indications of the power-to-x potentials of the country, required investments and socioeconomic benefits.