Outdated laws strangle hydrocarbon market, union raises alarm

Outdated laws strangle hydrocarbon market, union raises alarm

The absence of crucial implementing texts for Law No. 67.15, governing the hydrocarbon sector in Morocco, continues to negatively impact competition, despite its enactment eight years ago. The implementation of this law, focusing on the import, export, refining, packaging, storage, and distribution of petroleum, hinges on the publication of corresponding implementing texts outlined in its sixth article.

The Minister of Energy Transition and Sustainable Development, Leila Benali, attributed the delay to a series of constraints during an oral questions session in the House of Councilors earlier this week.

The National Labor Union in Morocco’s Council of Advisors raised concerns with the Minister, pointing out that the government’s failure to release these essential texts subjects the liquid fuels sector to an outdated legal framework dating back to 1973.

According to the union, the non-implementation of Law No. 67.15 has left the hydrocarbon market constrained by obsolete regulations that no longer align with the constitutional principles of free competition.

In response to the delay, a committee, comprising the Ministry of Energy Transition and Sustainable Development, the Ministry of Finance, the National Federation of Gas Station Owners, Merchants, and Managers in Morocco, the Energy Federation, and the Oil Petroleum Association, was formed in January to address the shortcomings and reconsider the law comprehensively.

The law was submitted to the General Secretariat of the Government on October 18, with preliminary discussions already underway.

However, despite promises made by Minister Benali, there has been no resolution.

Jamal Zrikem, President of the National Federation of Gas Station Owners, Merchants, and Managers in Morocco, expressed frustration over the lack of progress since Benali took office and urged the ministry to expedite committee meetings for the production of these critical regulatory texts.

Zrikem stressed that the absence of these texts has allowed unfair competition practices to persist in the fuel market.

He emphasized the imperative role of regulatory texts in addressing market imbalances, ensuring quality control, and tracking fuel distribution to prevent illegal sales on the black market. The urgency to resolve these issues remains critical for the stability and fairness of the hydrocarbon sector in Morocco.

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