Morocco fuel union calls for tax cuts and refinery restart

Hussein El Yamani, Secretary General of the National Union of Petroleum and Gas Industries, has called for urgent measures to reduce fuel prices in Morocco to protect consumer purchasing power and curb inflation. As diesel prices exceed 16 dirhams per liter and gasoline approaches similar levels, El Yamani proposed four key interventions.

First, he advocated for the abolition of fuel taxes, estimated at approximately 4 dirhams per liter for diesel and 5 dirhams for gasoline. Second, he urged the resumption of oil refining operations at the Mohammedia refinery (Samir) to allow Morocco to benefit from refining margins, which he estimates are currently around 6 dirhams per liter of diesel.

Third, El Yamani called for reversing the decision to liberalize fuel prices, suggesting a new regulatory framework to stabilize costs. Finally, he proposed a review of the legal framework governing the storage and distribution of petroleum products to clarify responsibilities regarding stock security. He warned that failing to act could exacerbate economic pressures caused by international conflicts and disrupted trade routes.