Spain’s Electricity Exports to Morocco Surge, Saving North African Nation Millions

Spain subsidized the purchase of electricity by Morocco last year, during which it quadrupled its electricity imports from Spain. According to data from Redeia (formerly Red Eléctrica), Spain sold a total of 1.8 million MW to Morocco, with one of the highest peaks recorded in May, after the normalization of relations between the two countries in March, reports El Independiente.

Morocco benefits from the interconnections with Spain and the mechanism put in place by the Moncloa last June to lower the price of electricity, which has led to a reduction in the cost of the megawatt for Spaniards and, by extension, for other countries including Morocco having an interconnection with the Spanish system. This "Iberian exception" will lead to an increase in gas consumption," the International Energy Agency explained in a recent report.

Algeria closed the Maghreb-Europe gas pipeline (GME) crossing Morocco in October 2021. Last June, the kingdom reached an agreement with Spain to transport gas via the GME in the opposite direction. Spain’s change of position on the Sahara has irritated Algeria, which has threatened to raise the price of gas sales and break its gas contract with the country if a molecule of its gas was sent to Morocco.