GUEST PERSPECTIVE How Morocco stays the course on a just transition towards sustainable development By Leila Benali, Minister of Energy Transition and Sustainable Development of Morocco; President, United Nations Environment Assembly A nation loses critical energy supplies and looks for In Europe, commodity and utility bills soared to record alternatives, balancing its near-term needs against longer- levels. Countries scrambled to acquire supplies or curtail term sustainability goals. While most think this refers to a consumption. For some, 2022 resembled the 1970s oil European country following the Russia-Ukraine war of 2022, price shocks. This time, countries have barely emerged it also describes the Kingdom of Morocco, which managed from a global pandemic, with soaring in昀氀ation and tightening to meet its development needs without derailing the monetary policies. Energy poverty, supply insecurity and sustainability agenda, while increasing energy security. environmental degradation have become the norm in many countries, alongside food and water crises. 2022 will be remembered as the year when consumers and policy-makers favoured short-term security over A dif昀椀cult global environment makes informed sustainable sustainability. However, security concerns are neither economics and renewed multilateralism even more critical. temporary nor super昀氀uous. Energy transition takes time and This is key to tackle the triple crisis of this century: climate could require investments of $250 trillion over 30 years. In change, pollution and biodiversity loss. Three telling Africa alone, nearly 600 million people remain without access examples: to modern forms of energy. After lockdowns, wars and market dislocations, 2022 offered us a clear conviction: this – Carbon prices reached €100 per ton the 昀椀rst time in is the wrong time to lose credibility and trust after years of February 2023 in the EU emissions trading system, advocacy on climate, nature and biodiversity protection. pushing the value of traded global markets for CO close 2 to €1 trillion – a clear signal of informed economics. In 2021, a 10 billion cubic metre natural gas pipeline between Africa and Europe shut down, cutting Morocco – As we consider the theme of the sixth session of off. The country could have gone down an irreversible the United Nations Environment Assembly, to end path of retooling the energy system with fossil fuels. plastic pollution and promote nature-based solutions Instead, it joined the world at COP26 in resolutions to for supporting sustainable development, the call to move beyond coal. Though Morocco was still recovering reinvigorate multilateralism to overcome the multiple crises from the economic shockwaves of COVID-19, it that put the viability of life on earth at risk is pressing and turned this challenge into an opportunity by putting in needs to be supported with informed decisions. place a roadmap for energy security, including fast- tracking sustainable access to the international LNG – The July 2022 In昀氀ation Reduction Act’s Hydrogen Shot market to “power past coal,” decarbonizing industries incentives target $1 per kg by 2031, which is a positive and addressing the intermittency of renewables. economic signal. However, while some are lifting fracking bans, re-昀椀ring coal, and arbitrarily pricing in and out The integration with international LNG markets by externalities, policy-makers must ensure that taxpayers’ reversing the 昀氀ow of a transcontinental pipeline was a money is not used to incentivize new bubbles that generate critical move to restore the trust of people, investors negative returns to society, stranded assets or bankruptcies. and allies, with a just and informed energy, economic and social transition. Against a backdrop of uncertainty, If 昀椀nancial institutions and the private sector say that, with the Morocco decoupled supply from infrastructure and right economies of scale and incentives, properly structured increased the system’s security, sustainability and investments, and the right balance between adaptation and 昀氀exibility by enabling more renewables, pushing for mitigation, we can move together towards a just, informed, more ef昀椀ciency and increasing integration with global affordable and bankable transition, why not do just that? To markets – three pillars of its energy strategy. restore and nurture trust. Fostering Effective Energy Transition: 2023 Edition 29