Casablanca – The Moroccan government has firmly stated that raising the price of butane gas is not on the agenda in the immediate future. In a recent statement, Fouzi Lekjaa, the Minister Delegate to the Minister of Economy and Finance, responsible for the Budget, reassured the public that no such price hike is being considered.
Lekjaa’s comments were in response to a question raised during a session in the House of Representatives regarding the potential impact of an increase in gas prices. The issue of butane gas price increases has been a contentious one, especially in light of the current economic climate.
The government currently allocates more than $1.5 billion annually to subsidize the cost of butane gas, with the primary goal of supporting Morocco’s most vulnerable populations. However, Lekjaa noted that the allocation of subsidies is far from equitable, with wealthier segments of society benefiting disproportionately. Specifically, the richest 20% of the population receive 27% of the butane gas subsidy, while the poorest 20% only benefit from 14%. This imbalance has been a point of concern for many lawmakers and citizens alike.
The Minister acknowledged that while the government’s efforts to subsidize gas have been substantial, they are not without their shortcomings. “The real issue lies in the lack of targeted assistance,” Lekjaa remarked, stressing the importance of ensuring that subsidies are directed toward those who need them most. He called on the government and parliament to implement more effective mechanisms to ensure that these resources reach the intended beneficiaries.
Instead of increasing subsidies or adjusting the price of gas, Lekjaa suggested that a more effective approach would be to implement direct cash transfers to vulnerable households. Such a strategy would ensure that the aid is more precisely allocated and would help the government optimize its budget allocation, creating savings that could further support the most disadvantaged.
As inflation continues to put pressure on households, the need for an efficient and fair subsidy system has never been clearer. The government’s stance on not increasing butane gas prices offers temporary relief, but the underlying issues of subsidy distribution remain a challenge that will require attention in the months ahead.