The Council of the National Electricity Regulatory Authority (ANRE), held on Wednesday, made a decision approving the accounting separation of the activities of the National Office of Electricity and Drinking Water (ONEE).
This decision results from a long process of joint collaboration between the ANRE and the ONEE to successfully carry out this complex and strategic project, which constitutes the foundation of the regulation of the electricity sector in Morocco, indicates a statement from the Authority.
Law No. 48-15 relating to the regulation of the electricity sector and the creation of the ANRE, as amended and supplemented, provides that “to implement the accounting separation, the ONEE prepares and submits to the ANRE for approval: the respective scopes of activities related to the production, transmission, distribution of electrical energy and, where applicable, other activities of the ONEE, as well as the allocation rules, among the aforementioned scopes, of asset and liability items as well as those of expenses and revenues, in addition to the principles determining the financial relationships between the accountably separated activities.”
In order to successfully carry out this project, the ANRE has defined, in close collaboration with the ONEE, a methodological framework for structuring the accounting separation of the Office’s activities that is both adapted to the specificities of the Moroccan electricity sector and aligned with international standards.
The implementation of the accounting separation of the ONEE’s activities aims to provide the conditions for transparency regarding the costs of the various activities of the Office, taking into account the issues related to tariff regulation and in line with the objectives of opening up to competition, thereby strengthening the credibility of the national electricity market, it is emphasized.
This accounting separation also aims to gradually prepare the conditions for the independence of the management of the National Electricity Transmission Network Manager (GRT), pending the assignment of the management of the national electricity transmission network to an entity with a legal personality distinct from that of the ONEE, as provided for by the applicable legislation.
The principles of accounting separation adopted impose a strict accounting dissociation between the activities currently carried out by the ONEE under its Electricity branch, with the objective, among others, of preventing any cross-subsidization between regulated activities and those open to competition within the ONEE and consequently ensuring a transparent and fair framework, while seeking to eliminate sources of discrimination between the concerned operators.
Furthermore, the implementation of the accounting separation constitutes a strong signal and an additional factor of attractiveness for investors, particularly foreign ones, to develop their projects in Morocco.
Finally, the accounting separation project is part of the reforms undertaken by public authorities for the restructuring of the electricity sector aimed at key players in this sector to make them effective instruments for the success of the energy transition in accordance with the enlightened vision of His Majesty King Mohammed VI.
Aware of the stakes of this reform, the ANRE will establish monitoring and follow-up mechanisms to ensure the effective application of this accounting separation. This strategic milestone represents a decisive advance towards a more competitive and efficient electricity market, concludes the statement.