Morocco has made considerable advances in renewable energy deployment and fuel subsidy reform but could make more progress in energy efficiency, according to the IEA.
In its latest review of Morocco's energy policies, the Paris-based organization notes that Morocco has also made "giant strides" in extending energy access and opening up its power and oil products markets to international investors. The country is well-integrated with its neighbours' gas and electricity networks and is attractive to investors.
"Under political guidance from the highest level, Morocco has shown an admirable determination to play to its strengths, and in our view the National Energy Strategy set out in 2009 has taken Morocco very much in the right direction," said IEA Executive Director Maria van der Hoeven.
The country's 2009 Energy Strategy aimed to diversify the electricity fuel mix, accelerate the deployment of wind and solar power, place renewed emphasis on energy efficiency, encourage foreign investment in the upstream and pursue regional energy sector integration.
The new IEA report concludes that this strategy is very much on target, a view reinforced by the very important decisions taken earlier this year to sharply reduce subsidies on transport fuels and on fuel oil.
However Morocco remains highly dependent (90 per cent) on energy imports and high international energy prices have hit its balance of payments. The IEA has encouraged the country to persevere on its current course while reinforcing energy efficiency strategies, further reducing fuel subsidies, accelerating the creation of an energy regulator and optimising the deployment of solar energy.