Green Hydrogen: IRENA Highlights Morocco’s Potential

The International Renewable Energy Agency (IRENA) identifies Morocco as a future industrial hub for renewable hydrogen, thanks to its solar and wind resources as well as its industrial ambitions. In its report on global energy transition prospects, presented on October 13, 2026, the organization highlights the advantages of the Kingdom while underscoring the challenges related to financing, infrastructure, and the development of industrial capacities.

Morocco Among Future Renewable Hydrogen Hubs

In its analysis, IRENA concludes that Morocco possesses favorable conditions to develop an industry centered around renewable hydrogen and the technologies associated with energy transition. The organization particularly emphasizes the synergy between the Kingdom’s renewable resources and its industrial development strategies.

This assessment is supported by several studies focusing on Morocco’s potential. Notably, a study published in 2023 by the German Society for International Cooperation (GIZ) examined the prospects for the hydrogen economy in the country.

The report also references a publication from Africa Energy Portal dated 2025, which reported on approved green hydrogen projects in Morocco amounting to a projected $32.5 billion, or approximately 300.7 billion dirhams.

This figure corresponds to previously announced projects and does not represent a new investment envelope disclosed by IRENA. The report does not provide any new data specific to Morocco regarding actual installed capacities, production timelines, or recently concluded contracts.

Creating Industrial Value Beyond Energy

According to IRENA, the advancement of renewable energies goes beyond the mere installation of solar or wind power plants. It also entails possessing the necessary industrial capabilities for the manufacturing, installation, operation, and maintenance of equipment.

This dimension is crucial for economies aiming to derive more value from their energy resources. Local production of equipment, development of specialized suppliers, and training of technical skills can significantly enhance the economic returns from investments in the energy transition.

In this context, Morocco is mentioned alongside Indonesia, whose strategy for transforming critical minerals illustrates another form of industrial specialization.

Thus, the challenge for the Kingdom lies in aligning the development of its renewable resources with industrial activities capable of generating skilled jobs, enhancing local competencies, and facilitating the country’s integration into international value chains.

African Renewable Capacities Set for Significant Growth

On a continental scale, IRENA’s projections highlight the magnitude of investments required to align energy development with a scenario limiting global warming to 1.5°C.

The report indicates that installed renewable power in Africa, estimated at 82 gigawatts in 2025, should reach 607 gigawatts by 2035 and then surge to 2,510 gigawatts by 2050.

These projections imply more than a sevenfold increase in renewable capacities over a decade, and approximately a thirtyfold increase over the entire period from 2025 to 2050.

Achieving these goals will depend significantly on reducing financing costs, ensuring consistency in public policies, and expanding electrical infrastructure. These figures pertain to the entire continent and do not represent specific targets assigned to Morocco.

For renewable electricity production in Africa alone, the cumulative investments required between 2026 and 2050 are estimated at $3.2 trillion, equivalent to nearly 29.6 trillion dirhams. This amount primarily concerns solar, wind, and hydroelectric capacities envisioned in the agency’s scenario.

Africa Marginalized in Global Investments

Despite the promising development prospects, the African continent still faces limited access to capital allocated for the energy transition.

Global investments in technologies related to this transition reached $2.4 trillion in 2024, a 9% increase year-on-year. However, their distribution remains heavily concentrated: China and advanced economies together accounted for more than 90% of the investments dedicated to deploying these technologies during that year.

Africa captured less than 1% of global investments in recent years, according to data included in the report. For the least developed countries, this proportion has dropped below 0.5%.

This weakness in financial flows hinders the development of energy infrastructure and the emergence of a local industry capable of meeting the growing demand for clean equipment and technologies.

Financing, Electrical Networks, and Regulatory Stability

To mitigate these obstacles, IRENA emphasizes several levers, including reducing borrowing costs, ensuring regulatory stability, and improving access to electrical networks.

The organization also recommends increased use of concessional loans, guarantees, and risk-sharing instruments, with a heightened mobilization of multilateral banks, public financing institutions, and national financial organizations.

Moreover, the needs extend beyond mere electricity production. The agency’s climate scenario anticipates around $1 trillion in annual investments in global electrical networks between 2026 and 2035. These expenditures must also account for energy storage, renewable capacities, and the electrification of industrial usages.

For Morocco, these challenges are directly linked to the realization of its ambitions in renewable hydrogen. While the energy potential is an asset, its transformation into a sustainable industrial activity will also depend on the availability of financing, access to infrastructure, and the capability to develop local value chains.

IRENA’s analysis thus highlights an essential distinction: having abundant renewable resources opens up possibilities, but creating a genuine industrial hub requires concrete investments, suitable infrastructure, and a long-term strategy.