Alumni Insights

Why Are Energy Strategies So Crucial? 

Afaf Zarkik, Class of 2015 

In 2009, Morocco launched its National Energy Strategy, an ambitious and cutting-edge long term energy program. This large-scale project was based on two main axes: on the one hand, the reinforcement of electricity production capacities with additional installed power capacities of renewable origin and, on the other hand, the rationalization of energy use or energy efficiency. From my perspective, this strategy was an emblem of Morocco’s voluntarism in sustainable development and in cutting-edge innovative areas. 

As I graduated from my alma mater, Al Akhawayn University, with a bachelor degree in Engineering and Management, full of potential and eager to pursue my graduate studies, I cannot say that my decision to pursue a master’s degree in energy strategies was not swayed by our country’s grandiose project. The way I consciously (and maybe also unconsciously) saw it, although I can now put it in more economic terms, is that the State’s adoption of this proactive policy in terms of sustainable development and investment in renewable energies not only meant increasing our country’s strategic autonomy and energy security by reducing our dependence on im- ported fuels, but also gaining competitive advantages and economic attractiveness. The latter would translate into growth, strengthening cooperation and partnerships, creating more opportunities and jobs for the future, but mostly giving hope and confidence to young generations and freeing up their talents and energies. 

However, this policy, which is visionary in essence and has an undeniable emblematic significance, is beginning to show some signs of exhaustion. This is no longer the diagnosis of a wide-eyed college student, but rather that of the economist I am today. This is also the general observation made by various energy and governance experts, reinforced by the diagnosis of the Special Commission on the New Development Model (NMD). The NMD report concedes several advances in the energy field, but also points to dysfunctions and outlines a more ambitious and laborious roadmap for this sector, which is as complex as it is cross-cutting. “In-depth reform of the energy sector to achieve competitive energy is now a necessity to trigger the structural trans- formation of the economy “, underlines the report, adding that “the sub-optimal treatment of the energy sector is the result of several constraints linked, in particular, to shortcomings in terms of governance, which make the rules of the game unclear and complicate any projection in terms of energy policy “. 

The energy issue is central when addressing issues of economic and social development of emerging or developing countries. Energy policies are included in the construction of “national energy commons “, as a national asset made up of energy infrastructures, operators, the progressive construction of choices, and methods of contracting with consumers/ citizens. All of these elements form components of a path of growth, even of a national identity. In addition to the eco- nomic and social domains, this strategic sector constitutes a core around which other important domains gravi tate, such as industrial, environmental, social and geopolitical policies. It is not destined for boasting or boosting ego. While younger me saw giant solar power plants as a form of grand victory, I see it today as somewhat the reflection of a still and dull outlook, by betting yet again on large- scale mega-projects led and managed by large utilities instead of small-scale decentralized network installations, which in heart translate the true spirit of energy autonomy. 

Indeed, officials steering our energy policies are caught between: i) their heritage in terms of energy policies; ii) the multiplication of stakeholders because, in reality, five ministries respectively manage public policy (Ministry of Energy Transition and Sustainable Development), price competitiveness and the financial aspect (Ministry of Economy and Finance), and more indirectly industrial strategy (Ministry of Industry and Trade) and infrastructure (Ministry of Equipment and Water). The electricity sector is two-headed, since it is, in fact, under the supervision of two ministries (interior and energy transition); iii) Morocco’s position as a net importer of fossil fuels, synonymous with supply risk, unpredictable costs and a permanent balance of payments deficit; iv) a particularly unfavorable global energy situation (exacerbated by the termination of the natural gas supply contract) which occurs while the Moroccan economy has not yet fully recovered from the deleterious effects of the Covid-19, v) without forgetting the game of international climate negotiations.

If the Covid-19 crisis has taught us anything, it is that we no longer have the luxury of fighting one crisis at a time. The same observation is essential today in the Moroccan energy context. Future leaders must understand energy issues in their multiple dimensions, with their structural constraints which are intertwined with a world energy situation in crisis, while taking stock of the distributive impacts of their decisions. In the midst of these challenges, a new momentum and dynamism with innovative forms of governance, accompanied by cutting-edge technologies, must be reinvented. I find it fitting to conclude with the Minister of Energy Transition and Sustainable Development, Leila Benali’s favorite quote: “The pessimist complains about the wind; the optimist expects it to change; the realist adjusts the sails. “-William Arthur Ward.