MINISTRY OF ENERGY, MINES, WATER AND ENVIRONMENT

1. KINGDOM OF MOROCCO MINISTRY OF ENERGY, MINES, WATER AND ENVIRONMENT ALTERNATIVE AND RENEWABLE ENERGY MOROCCO: INTEGRATED APPROACH SOLAR PLAN AMAL HADDOUCHE GENERAL ENGINEER, COUNSELOR OF THE MINISTER OF ENERGY, MINES, WATER AND ENVIRONMENT MANAMA, 6-7, OCTOBER 2010

2. OUTLINE MAIN ISSUES FOR THE MOROCCAN ENERGY SECTOR I THE NEW ENERGY STRATEGY II III WIND NATIONAL PLAN IV SOLAR NATIONAL PLAN V CONCLUSION

3. CONTEXTE: MAIN CHARACTERISTICS (2009) 15,5 94.5 ~5.0 717 SustainableEnergydemand ~5 ~6.5

4. MAIN ISSUES Mobilizedomesticrenewableresources Ability to satisfyincreasingdemand

5. Plan dessalement INCREASING DEMAND RELATED TO IMPORTANT PROJECTS LAUNCHED Intégration de l’ensemble de l’économie nationale au niveau de la demande électrique

6. NEW STRATEGY TO ADDRESS THESE CHALENGES

7. THE NEW STRATEGY FOR RE & EE: AN INTEGRATED APPROACH AMBITIOUS: LOCAL INDUSTRY SUPPORT BY SOUND R&D PROGRAMS ,TRAINING AND CAPACITY BUILDING

8. SUPPORT OF THE POLICIES BY SOUND LEGAL AND INSTITUTIONAL FRAMEWORK • new Law for Renewable energy • Objectives • Increase the share of Renewable Energies • Promoting Investment for Export • Assistance in site selections, permits and authorization • Access to National Grid and Interconnections • Access to Regional Markets (OMEL, MIBEL, POWERNEXT,…) • Possible Equity partnership • Promoting Investment in the field of Renewable Energies to meet local demand • NEW AGENCY FOR THE DEVELOPMENT OF RENEWABLE ENERGY AND ENERGY EFFICIENCY • Law to be enacted soon • Objective: development of renewable energies and Promotion of energy efficiency. • Energy efficiency • Law under promulgation • Improve energy efficiency • MOROCCAN AGENCY FOR SOLAR ENERGY • Conduct overall project (design, choice of operators, implementation, management ....) • Coordinate and supervise others activities related to this program • Development energy fund • 2 ways actions : • Financial incentives for RE and EE programs • Equity investments through the Energy Investment Company: SIE

9. RENEWABLE ENERGY: RE SHARE OF RE AT THE HORIZON 2020 MW 42%

10. RENEWABLE ENERGY IMPLEMENTATION OF 2 000 MW AT THE HORIZON 2020 ESTIMATED ANNUAL PRODUCTION: 6600 GWh ESTIMATED COST: 31,5 billions DHS (3,5 billions Dollars) 5 selected sites : Sendouk (Tanger), KoudiaBaida II (Tétouan), Taza (Taza), Tiskrad (Laâyoune), Boujdour (Boujdour) This plan willallow : Saving 1,5 millions of TOE, Avoiding the emission of 5,6 millions tons of CO2 per year The first windparkwithinthis plan willbecommissioned on 2014 The plan refers to the development of domesticwindindustry INTEGRATED WIND PLAN

11. Moroccan solar project An investment of 9 billion USD by 2019 • Installed Capacity : 2000 MW • 4500 GWh per year • 9 billion USD • 10 000 hectares dedicated • 5 dedicated sites • First plant : Ouarzazate - 2015

12. Moroccan solar project NATIONAL DECISION TO BET ON THE RE FUTUR • GLOBAL AND INGTEGRATED PROJECT • SUPPORT OF THE HIGH LEVEL AUTHORITY • CLEAR POLITICAL SIGNAL FOR DEVELOPING RE AND SOLAR IN PARTICULAR • ANTICIPATE INTERNATIONAL MARKET • SOLAR ENERGY, A CRUCIAL STAKE, IN ACCORDANCE WITH THE CHOICE OF DEVELOPING SUSTAINBLY • AVOIDED EMISSIONS: 3,7 millions tons of CO2 per year.

13. SOLAR MAP IRRADIATION OF MOROCCO Rabat Ain Beni Mathar Ouarzazate Sebkhate Tah Foum Al Ouad Boujdour

14. OUARZAZATE SITE OUARZAZATE DNI:2635kWh/m²/an Ain Beni Mathar Ouarzazate Puissance: 500 MWe Superficie : 2500 ha Production : 1150 GWh/an Sebkhat tah Foum Al Ouad Boujdour Ouarzazate

15. SOLAR PLAN: INTEGRATED PROJECT WITH SECTORIAL SYNERGIES REGIONAL DEVELOPMENT: Social and economical benefits for the regions where sites are located Specialized training and capacity building: Specific modules in schools of engineering; Specialized techniciens in solar energy by professional Institutes R & D: A key to replicate and improve futur projects Industrial development and integration: Know how development; Development of an industrial tissue specialized in solar field. 11

16. A SPECIFIC COMPAGNY DEDICATED TO THE PROJECT • A dedicated society has been created on Feb. 2010: Moroccan Agency for Solar Energy (MASEN) • Ensure the supervision of the whole (conception, studies, operators selection, supervision of the execution ….) • Agency with public funds: • State • Hassan II Fund for Economical and Social Development • SIE: Société d’Investissements Energétiques • ONE 12

17. SOLAR PLAN: PROJECT REALIZATION Selection of developpers: international bids Diversified Mechanisms of financing 13

18. STEPS TOWARDS THE REALIZATION • First site: Ouarzazate; • Following the invitation for Expression of Interestissued on march 2010, MASEN has launched the pre-qualification process for the development of the 1st phase of the Ouarzazate solar power plant. • 1st stage: 1 or more thermal solar plants with minimum capacity of 125 MW2014 • Subsequent stages willbelaunched by the end of 2012 • Selection of the developpers of the 1st stage on April 2011 • Financial closure by the end of 2011 • Starting the construction: second semester of 2011 12

19. CONCLUSION Morocco has adopted an integrated approach for developing RE & EE based on clear objectives, plans for medium and long terms . Private sector will play an important role in realizing these projects especially solar plan: more visibility and opportunities of investments. The ambitious is to develop local industries and companies. The government has implemented sound legal, institutional and regulatory frameworks. Some details of this regulation are under finalization for some specific aspects. Support to develop R&D and know how related to RE & EE.