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The Justice and Development Party (PJD) held a press conference on Thursday to discuss what it labels as «conflict of interest in the Casablanca-Settat seawater desalination deal». The project was awarded to a company owned by Morocco's Head of Government, Aziz Akhannouch.
Akhannouch defended winning the tender for the seawater desalination project in Casablanca during a monthly accountability session in the House of Representatives on Monday. He argued that his company submitted the best bid, which enabled it to secure the deal.
However, PJD Secretary-General, Abdelilah Benkirane, begs to differ. During Thursday's conference Benkirane said that the head of the government must demonstrate the highest possible integrity. He argued that the laws are designed for this purpose, describing Akhannouch's actions, which contradict this principle, as «shameful and flawed».
A huge conflict of interest, PJD argues
Benkirane alleged that not only did Akhannouch's company win «the Casablanca desalination tender», but it also brought the project before the subsidy committee to obtain 30% support for the project, whose investment amounted to 6.5 billion dirhams.
According to Benkirane, Akhannouch is both the head of the National Investment Committee and the head of the company that won the desalination project. This, he claimed, means that Akhannouch's statements during the monthly session of the House of Representatives «are lies, and in a position of responsibility, this has a negative and dangerous impact».
Benkirane argued that Akhannouch's claim about not receiving public support for the desalination project contradicts the statement of the National Investment Committee. He also criticized the reduction of taxes from 35% to 20%, claiming it was «for the benefit of his companies».
The PJD leader called on Akhannouch to resign as prime minister and warned that his actions would lead to a loss of confidence in institutions and the state, a situation that led to the protests on February 20, 2011.
«A customized preferential corporate tax rate»
Idriss Azami Al Idrissi, head of PJD's National Council, alleged at the same conference that «this government is known for conflicts of interest», warning that if this continues, «Moroccan companies will die».
He explained that the desalination deal is overseen by the National Office of Electricity and Drinking Water (ONEE). However, «the prime minister is the head of the administrative board of ONEE, which is a direct conflict of interest». He added that the prime minister also chairs the National Committee for Electricity and Drinking Water (CNEE).
Azami further pointed out that the prime minister chairs the National Committee for Public-Private Partnership, «which authorizes the use of the negotiation process and granted an exceptional authorization to proceed with the deal with only two bidders, instead of three, as required by law».
In this case, the prime minister «is familiar with the details of the deal, and if he is not, there is a suspicion that cannot be denied», the politician argued.
According to Azami, what proves the prime minister's conflict of interest is the creation of a customized preferential corporate tax rate in the 2023 Finance Law. This includes an amendment that reduces taxes from 35% to 20% on companies that make an investment agreement of 1.5 billion dirhams within five years. It also accelerates the disbursement of subsidies for strategic projects under the framework law on investment while showing sluggishness toward other companies.
