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About Oil, Gas & Energy Law in Tétouan, Morocco

Tétouan sits in the Tanger-Tétouan-Al Hoceima region, a strategic corridor that anchors Morocco’s northern energy landscape. While the area is not a traditional oil and gas production hub, it is close to key energy infrastructure, including the national grid backbone, the Maghreb-Europe Gas Pipeline corridor, and prominent wind assets such as the Koudia Al Baida wind project near Tétouan. The regional economy is increasingly touched by Morocco’s national push for renewables, grid modernization, gas-to-power options through reverse flows from Spain, and emerging opportunities in green hydrogen and power-to-x.

Energy projects in and around Tétouan typically involve multiple layers of national and local regulation. Stakeholders often interact with national bodies responsible for hydrocarbons and mining, electricity and renewable energy regulation, environmental approvals, land-use and construction permitting, and customs and tax regimes. Understanding how these frameworks fit together is critical for developers, investors, industrial energy users, and service providers operating in the oil, gas, electricity, and renewable energy value chains.

Why You May Need a Lawyer

Specialized legal counsel can help you navigate complex, multi-agency processes and reduce project risk. Common scenarios where legal assistance is valuable include the following.

- Structuring exploration or production ventures in hydrocarbons, including association agreements with public entities and the sequence of reconnaissance, exploration, and exploitation titles.

- Developing wind, solar, or hybrid projects under Morocco’s renewable energy regime, including licensing, grid access, and power sales to eligible offtakers.

- Negotiating power purchase agreements and grid connection arrangements with the national utility or private eligible customers, and aligning technical, commercial, and regulatory conditions.

- Conducting environmental and social impact assessments, community consultations, and obtaining environmental approvals for generation and transmission assets.

- Securing land rights for energy facilities, rights of way for transmission lines, coastal and maritime use permissions, and construction permits.

- Managing cross-border elements such as the movement of equipment, customs treatment, tax and investment incentives, and foreign exchange compliance.

- Handling health, safety, and labor compliance for construction and operations in industrial settings.

- Preparing for tenders and public-private partnership processes, including qualification requirements, bid submissions, and contract negotiations.

- Resolving disputes through negotiation, mediation, litigation, or arbitration, and ensuring enforceability of foreign judgments and awards.

Local Laws Overview

Morocco’s energy framework is a mix of sector-specific statutes, environmental rules, and general commercial law. The following themes are particularly relevant to projects in Tétouan.

- Hydrocarbons regime: Upstream oil and gas activities operate under a hydrocarbons code that sets the titles, procedures, and fiscal terms for reconnaissance, exploration, and exploitation. The National Office of Hydrocarbons and Mines, commonly known as ONHYM, is a central counterpart for permits and for association agreements. Titles carry work obligations, reporting duties, and environmental and safety requirements. Offshore and onshore exploration in the north requires careful coordination with maritime and coastal use laws and protected areas.

- Electricity and renewable energy: Morocco allows private participation in generation, particularly for wind and solar. Law on renewable energy enables private developers to produce electricity and sell to eligible customers or into the grid, subject to licensing and technical codes. The National Electricity Regulatory Authority, known as ANRE, regulates access to the grid and certain tariffs and oversees codes and methodologies. ONEE, the National Office of Electricity and Drinking Water, remains a key operator and offtaker and is involved in grid studies and connection approvals. MASEN, the Moroccan Agency for Sustainable Energy, leads major competitive procurement programs for utility-scale renewable projects.

- Energy efficiency and building rules: Industrial sites and large buildings may face energy audit obligations and technical standards. Thermal regulations and efficiency requirements can affect the design of facilities and the economics of energy supply and self-consumption projects.

- Environmental authorizations: Energy projects typically require an environmental impact assessment under Morocco’s environmental framework. The process includes scoping, baseline studies, public consultation, and review by environmental authorities. Projects near sensitive coastlines, mountains, or water catchments in the Tétouan region can trigger additional scrutiny and conditions for mitigation, monitoring, and community engagement.

- Land, construction, and coastal permitting: Developers must secure land rights through purchase, lease, or public-domain occupancy. Construction permits are issued at local level, coordinated with the Agence Urbaine de Tétouan and municipal authorities. Projects in the coastal zone require compliance with the coastal protection law, and offshore or port-adjacent works may require maritime and port authority approvals.

- Public procurement and PPP: Public bodies, including MASEN and ONEE, run tenders for energy infrastructure. Morocco’s public procurement rules and the PPP framework govern competitive bids, contract awards, performance guarantees, and dispute mechanisms. Tender documents often include technical local-integration or training commitments.

- Fiscal and customs aspects: Energy projects intersect with customs and tax regimes for imported equipment, VAT, and corporate taxation. Incentives under Morocco’s investment framework may be available for qualifying projects, often coordinated through the Regional Investment Center for Tanger-Tétouan-Al Hoceima.

- Health, safety, and labor: The Labor Code and health and safety regulations apply to construction and operation. Energy facilities must maintain rigorous safety management systems, contractor oversight, and emergency response plans.

- Dispute resolution: Contracts commonly specify Moroccan law and local courts, but arbitration may be agreed for large or cross-border deals. Morocco recognizes and enforces foreign arbitral awards under international conventions, subject to local procedural rules.

Frequently Asked Questions

How active is the oil and gas sector around Tétouan

The Tétouan area is not a major oil or gas production zone, but Morocco encourages exploration onshore and offshore, including in the north. Companies pursue permits through ONHYM. The region’s strategic value also comes from gas transport infrastructure and proximity to Spain, which supports gas-to-power and industrial users.

Can foreign companies own and operate energy projects in Morocco

Yes, foreign ownership is generally permitted. Investors typically establish a Moroccan company or register a branch. Certain activities require specific titles or licenses. Land near borders, coastal zones, and public-domain assets can carry special rules and approvals. Legal advice helps structure ownership, permitting, and finance in a compliant way.

What permits are needed to develop a wind or solar project near Tétouan

Developers usually need a generation license or authorization, a grid connection agreement, an environmental approval, land-use and construction permits, and, where applicable, coastal or maritime permissions. Additional approvals may apply for protected sites or high-voltage interconnection works. Early grid studies with ONEE and coordination with ANRE’s rules are crucial.

Can industrial users in Tétouan buy power directly from a renewable project

Moroccan law allows sales to eligible consumers under defined voltage and capacity thresholds. A private power purchase agreement must align with licensing, grid access rules, and metering and settlement procedures. Legal review ensures the PPA, wheeling arrangements, and guarantees comply with regulation and do not trigger unauthorized supply.

What is the process to obtain a hydrocarbon exploration permit

Companies typically engage ONHYM to discuss available blocks, negotiate an agreement that sets work commitments and fiscal terms, and apply for exploration permits. Environmental and safety requirements apply to surveys and drilling. If a discovery is commercial, an exploitation concession can be requested. Timelines vary with project scope and environmental review.

Is an environmental impact assessment always required

Most utility-scale generation, transmission lines, and oil and gas activities require an environmental impact assessment. Small rooftop solar may be exempt or subject to a simplified process, depending on capacity and location. Authorities can mandate mitigation measures, monitoring, and community engagement as approval conditions.

How are grid access and connection costs determined

Grid access is governed by technical codes and regulatory decisions. Developers commission grid studies to assess capacity, reinforcements, and connection points. Costs are typically allocated based on causation and regulatory methodology. Early engagement with ONEE and ANRE helps clarify scope, timelines, and budget.

Are there local content requirements for energy projects

There is no blanket, cross-sector local content law, but public tenders can include requirements or scoring for local manufacturing, services, and training. Developers often voluntarily include local workforce and supplier development plans to strengthen bids and community acceptance.

How are disputes in energy projects typically resolved

Contracts may provide for Moroccan court jurisdiction or arbitration. For large projects and cross-border financing, parties often choose institutional arbitration seated in Morocco or abroad. Morocco is a party to key conventions that support recognition of arbitral awards. Choosing a clear dispute forum and governing law at the outset limits enforcement risk.

What incentives are available for energy investment

Morocco’s investment framework provides potential incentives for qualifying projects, which can include tax or customs benefits and regional support measures. Availability depends on project size, location, and strategic value. The Regional Investment Center for Tanger-Tétouan-Al Hoceima helps coordinate applications and approvals.

Additional Resources

- Ministry of Energy Transition and Sustainable Development

- National Office of Hydrocarbons and Mines - ONHYM

- National Electricity Regulatory Authority - ANRE

- National Office of Electricity and Drinking Water - ONEE

- Moroccan Agency for Sustainable Energy - MASEN

- Regional Investment Center - Tanger Tétouan Al Hoceima

- Agence Urbaine de Tétouan

- Wilaya and Prefecture authorities of Tétouan

- Agence du Bassin Hydraulique du Loukkos for water-related permits

- Ministry in charge of Environment and Regional Environmental Impact Study Committees

- Moroccan Customs Administration and General Tax Directorate for customs and tax matters

- Barreau de Tétouan - local bar association for lawyer referrals

Next Steps

- Define your project or need: Clarify capacity, technology, location, grid interconnection, and target offtaker. For legal disputes, gather all contracts, correspondence, and technical records.

- Engage early with a specialized lawyer: Choose counsel with experience in Moroccan energy regulation, permitting, and contracts in the north. Ask for a clear scope, timeline, and budget.

- Map stakeholders and approvals: Identify national and local authorities you must approach, including ONHYM for hydrocarbons, ANRE and ONEE for electricity and grid, environmental bodies, and local permitting offices.

- Run preliminary feasibility and grid checks: Commission desktop studies and initiate grid pre-feasibility with ONEE. For hydrocarbons, review available data with ONHYM and outline work programs.

- Launch environmental and land processes: Start environmental scoping, baseline surveys, and community engagement early. Secure site control through leases, options, or purchase agreements, and plan for rights of way.

- Structure contracts and finance: Prepare term sheets for PPAs, EPC and O&M contracts, and financing. Align contract timelines with licensing and environmental milestones to avoid gaps.

- Assess incentives and compliance: Consult the Regional Investment Center on investment incentives. Plan customs and tax treatment for imported equipment and services. Build health, safety, and labor compliance into project execution.

- Establish dispute-prevention mechanisms: Include clear change-order procedures, milestone tests, and escalation paths. For cross-border deals, agree on arbitration rules and seat, and confirm enforceability strategy.

- Set a realistic schedule: Factor in time for studies, public consultation, seasonal environmental surveys, and multi-agency reviews. Maintain a permitting tracker and hold coordination meetings with authorities.

- Proceed to filing: Submit complete, well-documented applications to reduce questions and delays. Keep a communication log and respond promptly to authority requests, with your lawyer coordinating legal positions and document control.

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Disclaimer:
The information provided on this page is for general informational purposes only and does not constitute legal advice. While we strive to ensure the accuracy and relevance of the content, legal information may change over time, and interpretations of the law can vary. You should always consult with a qualified legal professional for advice specific to your situation. We disclaim all liability for actions taken or not taken based on the content of this page. If you believe any information is incorrect or outdated, please contact us, and we will review and update it where appropriate.