9/23/20191 ERASMUS AT-SGIRES - Advanced Teaching and Training on Smart Grid and Grid Integration of Renewable Energy Systems Workshop on Smart Grids Technology Energy Market, Economics of Energy and Policy Mohamed Berdai November 28th (EMI, Rabat)

Summary Toward Energy Transition in Climate Change Context Morocco’s energy strategy Energy saving potential Main Regulation Practices Case of Building sector Positive energy collective housing 9/23/20192

The Energy Transition According to the Supply Approach Centralized production, close to conventional schemes of implementation Electric Grid for transport and regional exchanges National and International stakeholders mobilized financing: the key for appropriate development The Energy Transition According to the demand Approach Energy Efficiency Distributed energy production, New stakeholders: The consumers become actors in the energy sector (local Communities, industrials, energy users, Escos,…) Effective driver for sustainable human development with significant impact Toward Energy Transition in Climate Change Context, 9/23/2019

Energy efficiency targets in Morocco  National Energy Strategy  Energy saving target of -20% compared to the BAU  Nationally Determined Contribution  Reducing emissions by 17% to 42% in 2030 NDC: sectoral shares of mitigation effort in Toward Energy Transition in Climate Change Context,

Morocco’s energy strategy MAIN OBJECTIVES Energy security Access to energy at affordable prices Energy management Environmental protection Strategic directions Optimize and diversify the electricity generation capacity mix Implement a drive to increase renewable energy, particularly wind power, solar power and hydropower (10 GW by 2030) Increase awareness of energy efficiency issues (20% by 2030) Promote the exploitation of national oil and natural gas deposits Improve the regional integration of electricity transmission networks.

Morocco’s energy strategy: Energy saving potential SectorsPotential Residential, Tertiary 20% - 1,7 MTEO Industrial 24% - 4 MTEO Transport 35% - 1,2 MTEO Agriculture 9% - 0,3 MTE0

Energy Efficiency  Commitment at High level stakeholders to promote energy efficiency  Opportunities at international level to support Energy efficiency initiatives within “Climate Change Initiatives”: UN, WB, EU, ERBD, KFW, AFD, …  Institutional and Professional understanding  New regulations under development  Ambitious EE & RE programs 9/23/20197 Morocco’s energy strategy: The opportunities

Morocco’s energy strategy: Main Regulation Act  any natural or legal person may produce electricity from renewable energy sources.  The electricity generated can either be used to meet the producer’s own power requirements or fed into the medium- or high-voltage grid and sold to users with a suitable type of connection.  extended to the low voltage network by act 58-15, although the implementing decree is still being prepared. Act  concerns energy efficiency in buildings (residential and commercial), transport and industry.  introduces energy performance ratings for buildings, equipment and appliances,  mandatory energy audits for facilities exceeding a certain consumption threshold in industry (1500 TEP) and the service sector (500 TEP)  prior energy impact assessments for urban development and construction programs when anticipated consumption exceeds a certain threshold, and technical energy efficiency measures.

Morocco’s energy strategy: Practices Les cibles nationales en efficacité énergétique Efficiency codes of new buildings Program to promote the use of cfls/LEDs launched by ONEE (15 millions Lamps) Support the development of energy service companies (escos). Investment on EE for Industries & tertiary sector (110 Millions Euros) PPP for efficient public lighting New electricity tariffs Standards for domestic appliances Public buildings exemplarity Development Eco/Smart City

Morocco’s energy strategy: Practices Les cibles nationales en efficacité énergétique Zenata Eco/Smart City

Case of Building sector: energy trends  25 % of total energy consumption  Income growth and higher comfort expectations pull up the energy consumption  Carbon intensity is expected to outgrow energy consumption  In 2030, the CO 2 emissions are expected to triple (to about 32MtCO 2 ) Six climatic zones of Morocco Energy trends in the Moroccan Building sector EE Building Code

Case of Building sector: energy trends class=WordSection4> Sources : Medener 2010 En valeur, la moyenne des dépenses des ménages liées à l’énergie n’excède pas Dhs par an. Il

Case of Building sector: energy trends class=WordSection4> Sources : Medener 2010 En valeur, la moyenne des dépenses des ménages liées à l’énergie n’excède pas Dhs par an. Il

EE Developement in Building Sector 2010 Preparation Building code Pilots projec Act EE First Urban Energy Planning EE Technical tools EE (guides, software, sensitizing, labeling..) 2015 Mise en place RGC Performances énergétique préparation NAMA Habitat Projet Morseff, appui investis. EE en milieu professionnel 2016 COP 22 / NDC Morocco Plan d’action mise en œuvre RGC PE NDC / Building sector (WB) LEDS Morocco (UNDP) EE Action Plan MEMDD/AMEE ISO Energy Management ONCF, BP, OCP, … (IMANOR) 2018 New regulations energy audit, urban planning, L&S New EE Programs GIZ ERBD, Public buildings, …

Energy Savings in 2030 by mesure (WB study)  Solar PV have a major role to play in reducing the energy and carbon footprint of the building sector, if the integration to the power grid is not restricted  Together with equipment (mainly refrigeration), solar thermal, roof insulation and lighting, solar PV could generate from 78 to 90 % of total savings

Energy savings in 2030 per type of buildings: significant share of housing (WB Study)

Economic and fiscal performance of the most effective scenarios (WB Study) High grants Integrated reforms (support provided to…) No market reforms No finance Market Finance Technology Assistance No grants Market Finance Technology High grants Market Finance Technology Low grants Low carbon price/ RBCF Scenario3789 Average incremental fiscal expenditure (Million MAD/y) 1, ,9602,733 External resources through Technical Assistance and/or RBCF (Million MAD/y) Incremental fiscal expenditure per MWh saved (USD/MWh) Incremental fiscal expenditure per ton of CO 2 reduced (USD/ tCO 2 )

Positive energy collective housing Ombrière photovoltaïque Chauffe-eau thermodynamique Cuisinière plaques induction Réfrigérateur A++ plaques eutectiques Eclairage LED Persiennes orientables Surventilation nocturne Monomur + isolation par l’extérieur 18

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