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Xlinks

Xlinks Power Project Seeks UK Political Support for £24 Billion Morocco-UK Energy Link

London, February 2, 2025 – The Europe Today: The ambitious Xlinks power project, which aims to connect Morocco’s renewable energy resources to the United Kingdom, is seeking political backing to secure its £24 billion ($29.9 billion) investment plan. Of this, approximately £5 billion ($6.2 billion) is allocated for UK-based development, Bloomberg reports.

Dave Lewis, Xlinks’s chairman and former CEO of Tesco Plc, emphasized the project’s significance, stating, “It offers enough stable, reliable and dedicated supply to power 7 million homes, or 8% of current electricity needs. It brings billions in inward investment. It helps reduce wholesale energy prices while cutting emissions.”

The project plans to develop 11.5 gigawatts of solar and wind capacity in Morocco’s Guelmim Oued Noun region, alongside a 22.5 GWh/5 GW battery storage system. The generated power will be transmitted via a 4,000-kilometer undersea cable, running along the continental shelf near Portugal, Spain, and France before reaching Devon, southwest England.

A final investment decision is expected this year, with financial closure anticipated in 2026, and construction beginning before the year’s end. The project is scheduled to be operational by 2031, shortly after the UK’s 2030 clean energy target.

Major energy firms have already backed the initiative, with GE Vernova Inc. investing $10.2 million in early 2024, joining stakeholders such as TotalEnergies SE (France), Abu Dhabi National Energy Co., and Octopus Energy, the UK’s largest retail energy supplier.

Despite passing through Spanish, Portuguese, and French waters, the cable will not establish electrical connections with these nations, simplifying the permitting process. Its route, though longer than a direct path, was chosen to avoid deep-sea challenges in the Bay of Biscay, with a maximum depth of 700 meters.

Xlinks is currently negotiating a fixed-price power purchase contract with the UK government. The company states it requires a price higher than UK offshore wind farms but below the rate set for the Hinkley Point C nuclear power plant in 2016.

The UK government recognized Xlinks as a “project of national significance” in August 2023, highlighting its strategic importance for energy security. The initiative is expected to generate over 12,000 jobs during the construction and operational phases.

The project aligns with Morocco’s renewable energy expansion, as the country aims to derive over 50% of its energy from renewables by 2025, with an 80% target by 2030. A recent Attaqa report ranks Morocco second in Africa for renewable energy development in 2025, following South Africa and ahead of Egypt.

Xlinks’ call for political backing comes as UK Prime Minister Keir Starmer and Chancellor Rachel Reeves work to revive the British economy. Last year’s general elections delayed the project, and with new ministers in place, the company is seeking renewed government support to move forward.