Morocco’s section of the gas pipeline reaches about 500 million cubic meters, covering nearly 45.45% of Morocco’s national consumption.
Rabat – Morocco’s revenues from the Algerian gas pipeline crossing the country’s soil to Spain dropped from MAD 790 million in May 2018 to MAD 532 million by the end of May 2019.
The figures account for 35.3% of the total forecasted revenues from the pipeline, which is expected to reach MAD 1.5 billion, according to the Kingdom’s Treasury.
Morocco’s total revenue from the pipeline was 1.53 billion dirhams in 2018, compared to MAD 1.01 billion in 2017, up by 52%.
Last year’s revenues exceeded the government’s expectations, set by the financial law at MAD 1.21 billion.
The Directorate of Customs and Indirect Taxes shows that the increase in last year’s revenue is due to an increase in both gas prices by 21.7% and the amount of natural gas transported through the pipeline by 19.5%.
Morocco does not receive money for allowing the exportation of the Algerian gas pipeline to Spain, the figures are the conversion of Morocco’s share from the gas which is set at about 500 million cubic meters, while the national consumption is 1.1 billion cubic meters.
Morocco’s share is directed to the Ain Beni Mathar and Tahaddart stations to produce electricity.
The volume of natural gas delivered through the Maghreb-Europe pipeline reached 9.45 billion cubic meters last year, compared to 7.95 billion cubic meters in the previous year, an increase of 18.9%, according to the National Bureau of Hydrocarbons and Minerals.
The delivery of the Morocco-Europe gas pipeline began in 1996, on a length of 1,300 kilometers coming from Hassi R’Mel, crossing 540 kilometers of Moroccan soil, before continuing its sea and land route to Cordoba, Spain.
The pipeline ownership goes to Spain until the end of 2020, and will be transferred to Morocco in 2021, which is currently receiving transit fees from Spain.
Algeria exports gas through three pipelines, the first linking it to Italy via Tunisia, the second to Spain via Morocco, and the third via the Mediterranean to Spain.
In 2016, the revenue stood at MAD 1 billion, compared to MAD 1.8 billion a year before.
In 2014, however, revenue reached an unprecedented MAD 2.4 billion compared to MAD 2.3 billion a year before.