Morocco reinforces its commitment to hydrogen and competes with Spain to be the great supplier of Europe – CincoDias.
The answer to the challenge of decarbonizing Europe seems to lie in the south of the continent. Although the latitude remains to be seen. Spain, which has ambitions to become a big player in the hydrogen market , sees immediate competition from its southern neighbor Morocco, which is looking to become a heavyweight in the sector.
A study commissioned by the European Commission indicates that the North African country could exceed Spain’s production by more than 30% by 2050, up to a total of 160 terawatts, becoming an important supplier for the Twenty-seven by supplying more than 5% of the continental demand.
Given the geographical proximity between the two countries, the study carried out by the German Fraunhofer Institute highlights that, despite close competition, Spain can become the second great hydrogen power in Europe with an electrolysis capacity of more than 120 gigawatts by 2050. behind only France.
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Moroccan exports would only be necessary in a suboptimal scenario, where the use of hydrogen is widespread throughout the continent, but the deployment of electrolysers and renewable generation is not ideal.
The commitment of the African kingdom has not been long in coming and has maintained official support for the development of the value chain since 2021. A study by the consultancy Deloitte estimates that only the income from green hydrogen exports could fully offset the deficits in the Moroccan trade balance.
In May of this year, the French TotalEnergies announced an investment of 9.4 billion euros in a hydrogen and ammonia project with a view to exporting to Europe. Subsequently, in June, the public company OCP, responsible for processing phosphates, announced a similar initiative for 7,000 million euros.
Emilio Nieto, director of the National Hydrogen Center, said:
Spain and Italy have the possibility of being a port of entry for North African production.
Emilio Nieto, director of the National Hydrogen Center, a public consortium made up of the Ministry of Science, Innovation and the Junta de Castilla- The stain. However, the update of the ‘new’ National Integrated Energy and Climate Plan (PNIEC) or the Hydrogen Roadmap does not mention imports.
Making the most of Moroccan potential is conditioned by the construction of an infrastructure that physically connects both the Iberian Peninsula with North Africa and with the rest of Europe. In this sense, the plans of Spain and France stand out with the H2Med and the trunk network that Enagas projects for 2040, which already incorporates physical interconnections with Morocco with a center in Tarifa ( Cadíz).
The transport of hydrogen by tube, recalls the Spanish operator, reduces energy losses and avoids oversizing the electrical infrastructure to get the same amount of hydrogen at the destination. Cepsa had also announced in 2022 the construction of a hydroduct that will allow the import of hydrogen from Morocco to its San Roque refinery.
The authors of the report stress that this is an opportunity, not necessarily a threat.
Khaled Al-Dabbas, one of the researchers, points out to CincoDías said:
In all the projected scenarios, Spain emerges as a net exporter of hydrogen.
“It can be beneficial for the country to import electricity as well, to deal with short-term fluctuations and seasonal variations.”
The large companies in the sector qualify these scenarios in the same way.
Daniel Fraille, policy director of HydrogenEurope said:
The fact that Morocco can present better wind and solar resources than Spain does not mean that it will develop more hydrogen production,”
Daniel Fraille, policy director of HydrogenEurope, a center that brings together more than 250 companies with interests in this energy vector. , among which are Enagas and Cepsa. This expert points out that official support, the regulatory environment and the industrial value chain are “as important or more important than the pure economic model of a project”.
The study published by the European Commission also highlights that the domestic production of hydrogen would cost less than imports, even if they arrive through gas pipelines. Shipments from Africa would only make sense, according to the foreseen scenarios, if “the deployment of renewable energies is not optimal or is limited”
Avoid the same mistakes
The good news, highlights the report requested by Brussels, is that the “decarbonisation of European industry is possible” thanks to the combination of electrification and the rapid deployment of hydrogen-based solutions. However, even when Africa’s potential for green hydrogen production is seen as an opportunity rather than a threat, experts point out the importance of learning from Europe’s mistakes.
“The ideal situation is that we do not always do the same thing. It is important to work so that the production plants are close to where hydrogen is consumed”, says Nieto.
The danger, this expert highlights, is that it is “more profitable to send the hydrogen to Germany than to the Spanish industry” and to use Moroccan production to satisfy local demand. The projection made for the European Commission highlights Moroccan exports could satisfy between 80% and 90% of local demand.
Beyond Spain, the European key is to avoid the same mistakes again. “Although imports can represent cost benefits, there is an inherent risk of dependence on external sources of energy. We have learned in these years the importance of resilience and reliability in energy strategies”, points out Al-Dabbas, referring to the latest energy crisis unleashed after Russia’s invasion of Ukraine.
Highlights:
- The North African country could surpass the Iberian Peninsula as a great supplier of green molecules. Accumulate investments for more than 16,400 million
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Morocco reinforces its commitment to hydrogen and competes with Spain to be the great supplier of Europe, August 25, 2023
