Morocco has a negative average effective carbon rate of -4.88 euros per ton of CO₂ equivalent in 2023. This is highlighted in the report Effective Carbon Rates 2025 published by the Organisation for Economic Co-operation and Development (OECD).
This result reflects an energy tax system still marked by the presence of fossil fuel subsidies, which partially offset the taxes applied to fuels.
Implicit Carbon Pricing
According to the OECD, Morocco does not have an explicit carbon pricing mechanism. In other words, the country does not apply a dedicated carbon tax or an emissions trading system.
However, excise duties on fuels play a role in implicit carbon pricing. These levies cover approximately 38.6% of national greenhouse gas emissions.
In parallel, subsidies for fossil fuels account for nearly 19% of emissions, which reduces the overall impact of the price signal on carbon.
A Negative Fiscal Balance
In its analysis, the OECD estimates that fuel taxes average 23.53 euros per ton of CO₂ equivalent. Conversely, energy subsidies reach about 28.41 euros per ton.
This gap explains why the average effective net rate is negative.
Despite this, nearly 28.4% of Morocco’s emissions are subject to a positive net carbon price. Additionally, around 15% of emissions exceed a threshold of 60 euros per ton of CO₂ equivalent, indicating significant disparities across sectors.
Marked Sectoral Differences
Sectoral analysis shows that most of Morocco’s emissions come from CO₂ related to energy consumption, which accounts for 71.2% of total emissions.
The road transport sector exhibits the highest levels of implicit pricing. It represents nearly 19.8% of national emissions and concentrates a significant share of fuel taxes.
Conversely, the buildings, industry, and other greenhouse gas sectors often show a net rate of zero or negative. Together, these activities account for approximately 45.1% of national emissions.
A Snapshot of the Energy Tax System
The data used by the OECD is based on the applicable tax levels as of April 1, 2023, and on energy balances from the International Energy Agency.
The report combines CO₂ emissions from fossil fuel combustion and those from other greenhouse gases, such as methane or nitrous oxide, while excluding land use changes and forestry.
Ultimately, the study highlights a contrasting landscape. While Morocco does not yet have an explicit carbon pricing mechanism, certain energy taxes generate a partial price signal, albeit mitigated by fossil fuel support mechanisms.
With Barlamane