Rivals reach deal to end power crisis in Gaza

April 3, 2012 18:53

GAZA - The Gaza Strip's Hamas government and the rival Palestinian Authority agreed to an Egyptian-brokered deal on Tuesday to end a fuel crisis that has caused daily power cuts in the territory, officials said.

Under the agreement, an Israeli company will supply industrial diesel for the Gaza Strip's only power plant and a temporary mechanism will be put in place whereby Hamas can pay the bill without dealing directly with its enemy, Israel.

"The Hamas authorities in Gaza will pay the money ... to the PA and the PA will take care of the payment to the Israeli side," said the official, who asked not to be identified because he was not authorized to speak publicly about the deal.

Taher al-Nono, spokesman of the Hamas government in Gaza, said fuel would begin flowing on Wednesday. A first payment of two million Israeli shekels ($539,000) had already been transferred to the PA, he said.

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