“Morocco’s green hydrogen might help the nation transition from dependence on gray energy to green energy sovereignty and even exportation by 2035,” according to the most recent analytical research from the Moroccan Institute of Strategic Intelligence (IMIS).
The strategic analysis, “Green Hydrogen in Morocco: Challenges and Opportunities for the Sherifian Kingdom,” published on Monday, outlines how diversifying renewable resources and creating a Mediterranean energy strategy are now essential for Morocco.
Morocco’s development of green hydrogen presents prospects in both the economic and environmental spheres.
Green hydrogen is anticipated to change the energy and resource landscape by 2030, and is estimated to create a market that could contribute a startling $1.4 trillion annually by 2050, paving the path for a more sustainable, resilient, and competitive economy in the long run.
Morocco hopes to play a significant role in the global energy transition by tying its potential for renewables through a strong green hydrogen infrastructure.
The Kingdom “could fully offset the deficits in the trade balance through the income from green hydrogen exports,” according to a research by Deloitte.
Morocco hopes to reduce its reliance on gray energy from around 88% to 35% by 2040 and subsequently to less than 17% by 2050, by investing the equivalent of 7% of its GDP in this sector.
Consequently, the analysis examines the development of green hydrogen in Morocco and throughout the world, putting forward nations like France, Spain, the United States, Brazil, and Germany, who have all been particularly engaged in the quest for green hydrogen, and expressed interest in Morocco’s potential production.
The analytical report also highlighted issues and challenges facing the sector, including costs, the legal system, transportation, water management and storage.
The creation of an effective legal and regulatory framework is crucial to advancing the development of this business, through ensuring legal clarity and attracting investment.
Transporting green hydrogen raises additional concerns as it needs specialized infrastructure that must be built and put in place, to ensure optimal operational continuity.
The analytical study called for cooperation between various players in the green hydrogen sector, including governments, regulatory agencies, businesses, universities, and research institutes, to develop appropriate policies and technologies, encourage innovation and research, and strengthen the financial and technical capacities required for the growth of this industry.