Morocco's Fuel Reserves and Economic Stability
In a recent statement in Rabat, Leila Benali, Morocco's Minister of Energy Transition and Sustainable Development, provided reassuring news regarding the nation's energy reserves. Despite the ongoing disruptions in supply due to the closure of the Strait of Hormuz, Benali revealed that Morocco is well-equipped with diesel reserves sufficient for 47 days and gasoline reserves for over 49 days. This proactive approach has ensured that the nation maintains a 'very different situation' compared to other countries, largely attributed to the effective coordination among various stakeholders aimed at securing a stable supply. Consequently, the nation has not experienced any interruptions in fuel supply, a testament to Morocco's strategic planning and execution in managing energy resources.
Benali emphasized the importance of controlling profit margins and ensuring market transparency to shield consumers from unjustified price hikes. In light of the increasing global costs driven by the conflict in Iran and the closure of Hormuz, Morocco has undertaken significant measures to stabilize energy prices. Earlier this month, the Moroccan government announced a decision to inject 1.648 billion dirhams (approximately 175 million dollars) monthly in subsidies aimed at keeping energy product prices stable. Specifically, the state has committed to covering 78 dirhams (around 8.31 dollars) for each 12-kilogram butane gas cylinder, resulting in a monthly subsidy for this product alone reaching 600 million dirhams (approximately 63.47 million dollars), thereby maintaining its retail price at 50 dirhams (5.19 dollars) for domestic use.
Furthermore, electricity tariffs for both residential and industrial users will remain frozen despite the rising costs of fuel oil, natural gas, and coal. This initiative includes 400 million dirhams (about 42.7 million dollars) in monthly subsidies, reflecting the government's commitment to protecting consumers from fluctuating energy prices. In addition to these efforts, professional transporters will receive a subsidy of 3 dirhams per liter of fuel consumed from March 15 to April 15, coinciding with a recent increase in gasoline prices in Morocco. This subsidy, amounting to 648 million dirhams (approximately 69.24 million dollars), aims to keep transportation costs stable for both people and goods, thereby mitigating potential inflationary pressures in the market.
As reported by es.investing.com.
