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The electricity bill debts of the Palestinian Authority in the West Bans and Gaza Strip towards Israel

June 2, 2014

Amongst the Palestinian Authority is has been raised a suspicion that the Israeli government will overtake, following the Court's judicial order, the assets and bank accounts of the electricity companies of East Jerusalem due to an indebtedness of over a billion shekel.

This companies supply electricity to more than 1 million people comprised in the area of Jerusalem, and to approximately 30% of the West Bank territory. The electricity that the average Palestinian has got at his disposal represents about 15% of the amount that an Israeli accedes to, and also corresponds to about 50% of the electricity that an Arab citizen in the neighboring countries possesses (based on data supplied by the Palestinian organization for economic and political research).

Around 88% of the electricity that gets to the West Bank and the Gaza Strip comes from Israel; only about an 8% is supplied through local production in Gaza, and approximately a 4% stems from both Egypt and Jordan. In the last year the Gaza Strip power production has been almost completely paralyzed due to an extreme situation of oil-shortage, and thus, the power-breaks have been manifested during twelve to eighteen hours a day. This reality continues to influence every aspect of life—water supplies, sewer and medical treatments, the watering for agricultural purposes

In the last couple of weeks the Palestinians have gotten external support from various European entities that have already transferred a couple hundreds of million of shekels, which have enabled to unlock the electricity supply paralysis.

Electricity deliver is a must in the development of the Palestinian economy. And the solution to the current situation has to do with the increased local production of energy and with getting the consumers to comply by the payment regime.