Morocco banks on green hydrogen to reach energy goals

A project by the UAE's Taqa and Spain's Cepsa to produce ammonia and fuel was also approved, together with a plan by Morocco's Nareva to make ammonia, fuel and steel, it said.

Saudi Arabia's Acwa Power will make steel, while Chinese firms UEG and China Three Gorges will team up to produce ammonia, it said.

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Morocco would offer each project up to 30,000 hectares of land once a preliminary agreement was signed, it said.

The government hopes green hydrogen - produced by splitting water through electrolysis using renewable energy - will help it meet its domestic energy goals as well as boost exports to the European Union after the bloc announced a Green Deal to reduce carbon emissions, calling for the import of 10 million tons of renewable hydrogen by 2030.

Massive green energy investment

In March last year, Morocco said a first phase would allocate 300,000 hectares to integrated projects covering electricity generation from renewable energies and electrolysis to the conversion of green hydrogen into ammonia, methanol, and synthetic fuel.

France's TotalEnergies signed a deal with the government in October to develop green hydrogen, while Engie agreed with Moroccan phosphates and fertiliser giant OCP to produce ammonia from green hydrogen.

Morocco aims for renewables to make up 52% of installed capacity by 2030 from 45% now.