Morocco averts gas distribution halt as depot owners call off strike

Morocco’s wholesale liquid gas depot owners cancelled a planned strike that threatened to disrupt supply after talks with Budget Minister Fouzi Lekjaa, Moroccan government-friendly Yabiladi and agencies reported on April 19th, averting shortages at a time of strain on global gas supplies.

The Professional Association of Wholesale Liquid Gas Depot Owners in Morocco had planned to suspend gas distribution for 48 hours on April 21 and 22.

The stoppage would have halted deliveries nationwide, amid ongoing concerns about supply disruptions linked to global energy markets.

The association said the strike was called off after reaching an agreement with the government to increase distributors’ profit margins by 30 dirhams per ton.

Reportedly, the margin had remained unchanged since 2016 despite repeated calls from operators for an adjustment.

Ahmed Mada, the association’s spokesperson, described the outcome as a “significant achievement”. He said it reflected the authorities’ response to industry demands following the agreement reached during the meeting.

He added that the meeting with Lekjaa also addressed longstanding organisational and professional issues in the sector raised by industry representatives.

In a statement, the association confirmed it had withdrawn its protest action. It said discussions with authorities took place in a “positive atmosphere” and led to practical solutions that could improve working conditions for operators.

Additionally, the association’s statement said the measures could help address sector concerns.

The planned strike had been announced earlier as a response to rising operating costs and what the association described as prolonged inaction on profit margins.

It had warned that the situation could escalate into a longer disruption if no agreement were reached, with the potential for a continued halt in distribution.

Moroccan authorities said earlier this month that the country had sufficient fuel stocks for several weeks, with the strike’s cancellation easing short-term disruption risks amid ongoing global concerns over the US-Israeli war on Iran and resulting fuel supply disruptions.

Yabiladi and agencies, Maghrebi.org