Treasury nixes planned water price hike

Gafni: rises in price of water have lost all sense of proportion and overburdened consumers; price hike would have been third in a year.

December 16, 2010 22:47
Israeli-Palestinian management of water sources

water sources 311. (photo credit: Courtesy)

Under pressure from Finance Committee chairman Moshe Gafni (United Torah Judaism), the Treasury backed down Thursday, and the price of water will not rise on January 1.

Finance Ministry budget director Udi Nissan said the planned price rise would not take place for the time being.

“Desalinated water costs more than natural water, and the transport costs of Mekorot (the national water company) also have to be covered,” a Finance Ministry source said Thursday, in defense of Mekorot’s plan to raise water tariffs by an additional 2 percent on January 1.

Gafni said the rises in the price of water had lost all sense of proportion and overburdened consumers. The price hike would have been the third rate hike in a year, for a total increase of 33%. Water tariffs were raised 6% in July and 25% in January.

Related Content

The Teva Pharmaceutical Industries
April 30, 2015
Teva doubles down on Mylan, despite rejection