Germany and Morocco have agreed to a climate and energy alliance to expand renewable energy and green hydrogen production in Morocco, the German development ministry announced.
Germany aims to cut greenhouse emissions in sectors like steel and chemicals by increasing its reliance on hydrogen. With the goal of becoming climate-neutral by 2045, Germany will need to import up to 70% of its hydrogen demand due to limited space for large-scale wind and solar power production.
“Morocco has optimal conditions for green hydrogen production. Germany seeks to import hydrogen,” said Development Minister Svenja Schulze, who signed the declaration with Moroccan Foreign Minister Nasser Bourita.
Morocco is a key partner in this transition, Bourita noted in a joint news conference with German Foreign Minister Annalena Baerbock.
The alliance aims to create a fair green hydrogen economy, allowing Morocco to benefit from the energy transition and future value chains, Schulze added. Germany supports electricity trading cooperation between Morocco and the EU and encourages German technology companies to participate.
Since 2012, Germany has provided over one billion euros in subsidized loans for renewable energy in Morocco, including funding for the world’s largest solar thermal power plant in Ouarzazate. This plant is expected to produce 10,000 tonnes of hydrogen per year, enough for 50,000 tonnes of green steel. An international tender for off-takers is anticipated this year, with production starting in 2028 or 2029.
The alliance will also address the transportation of green hydrogen and related products to Germany and Europe.