Bad News for Morocco's Clean Energy Exports
The Moroccan government has suffered a setback in its clean energy export ambitions. Last week, the British government announced the abandonment of the Xlinks energy project. This mega-project aimed to produce 11.5 GW of renewable energy, 22.5 GWh of battery storage, and a 3.6 GW high-voltage direct current interconnection to transport solar and wind power from Morocco to the UK. The electricity would have been transmitted via a 4,000-kilometer undersea cable network directly connecting solar farms and wind turbines in southern Morocco to the UK.
However, the UK government's change of heart, seeking to strengthen local production capacities and achieve energy independence, has put an end to this project. The British government refused to grant Xlinks a 25-year power purchase agreement, guaranteeing a fixed price for imported electricity. Despite this, the project could have reduced the UK's energy sector CO₂ emissions by around 10%. Financing efforts had shown that the project's funding was secured, with top investors such as TotalEnergies. The company had already mobilized £100 million for development financing.
To achieve its ambitious climate goals, including reducing greenhouse gas emissions by 81% by 2035 (compared to 1990 levels) and reaching carbon neutrality by 2050, the UK government is now banking on nuclear energy. Investments of over £30 billion are planned. This approach differs from that of southern European countries, which have consolidated ties with North African nations. This is crucial for the latter, as otherwise, all planned investments will not see the light of day.
