(photo credit: Rennett Stowe)
Electricity rates to rise 4.7% next week • By AMIRAM BARKAT
Unless there is a
last-minute change, electricity rates will rise 4.7 percent starting from
November 1, despite the resumption of natural gas deliveries from Egypt, people
familiar with the matter told Globes Monday. At its weekly meeting, the Public
Utilities Authority on Monday approved the new electricity rate, on the basis of
the dynamic model that was set up this past July, the sources said. According to
the model, the rate is calculated at the end of each month, where a change of
more than 3.5% in the tariff requires approval. The current large deviation is a
result of the complete halt in gas deliveries from Egypt to the Israel Electric
Corporation over the last three months. The amount of gas being supplied by
Israel’s Yam Tethys reserve has temporarily declined by 30% as a result of water
seepage into one of the wells.
Any decrease in gas supply compels the IEC
to use diesel or fuel oil to generate electricity, and these fuels are much more
expensive than natural gas. The public compensates the IEC for all of its
expenses by paying increased rates.Osem cuts prices on 35 products
In the face of a threatened consumer boycott, Osem
Investments on Monday announced it will cut the prices of 35 products by 5
percent to 10% on November 1 and will also distribute NIS 5 coupons for Materna
infant-formula products. The cottage-cheese boycott leaders are demanding Osem
cut prices on products by 30%, especially Materna.
Osem said it would cut
prices for ketchup, soup croutons, pasta, powdered chicken soup, soy source and
cookies. Its subsidiary Tivall will cut prices on frozen humous and corn, and
Sabra Salads will cut prices for tehina. As for Materna, Osem said it would
apply the pricing model used in the US, adding coupons to 11 different
infant-formula products.Teva cuts price of infant formula 25%
Teva Pharmaceutical Industries announced Monday it has lowered the
price of its newly launched infant formula Nutrilon by 25 percent. The price of
an 800-gram can will cost NIS 60, compared with NIS 80 for a similar-sized can
of its two main rivals, Materna and Similac. Teva said it would charge NIS 35
for a 400-gr. can.
When Teva launched Nutrilon earlier this month, the
company talked about NIS 75 for an 800-gr. can of Nutrilon and NIS 46 for a
400-gr. can. Materna and Similac are already available in haredi retail chains
for NIS 45 for an 800-gr. can.Chinese investor gives start-up
An Israeli start-up company has received a $30 million investment
from China’s richest man. Billionaire Li Ka Shing has invested in the
navigation-technology firm Waze, which will put the money into supporting its
application’s more than 7 million drivers and launch a traffic-reporting
platform in China, Globes reported.
The Waze free mobile application
helps drivers find the shortest route to their destination and provides data on
traffic conditions provided by its users. The company also has a social network
allowing drivers to report directly to each other on road conditions. Its users
live in 45 countries.
Other shareholders include Microsoft and Qualcomm.