Palestinians propose power station driven by Tamar gas

PM office examining political aspects of proposal, Nat'l Infrastructures Ministry is examining technical, professional aspects.

tamar offshore gas field_311 (photo credit: Courtesy)
tamar offshore gas field_311
(photo credit: Courtesy)
The government is considering allowing a group of Palestinian investors to build a natural-gas-driven power station in the Jenin area at an investment of $250 million, people familiar with the matter told Globes. The entrepreneurs want to buy Israeli natural gas and re in talks with the partners in the Tamar gas field, Noble Energy Inc., Delek Group Ltd., Isramco Ltd. and Alon Natural Gas Exploration Ltd., the sources said.
The Palestine Power Generating Company (PPGC) has a license from the Palestinian Authority to build and operate a 600-megawatt power station in the Jenin area. The power station will initially generate 200 MW.
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The project also includes expanding the Palestinian power station in Gaza and is intended to help the Palestinian Authority meet its own electricity needs and bring it into the era of natural gas.
Construction of the power station will render it unnecessary for Israel to build an 800-MW power station now. The Palestinian population in the West Bank currently consumes 8 percent of the electricity generated by Israel Electric Corporation.
PPGC has sent its venture to the National Infrastructures Ministry for evaluation after receiving provisional approval from the Prime Minister’s Office.
The Prime Minister’s Office is examining political aspects of the proposal, while the National Infrastructures Ministry is examining the technical and professional aspects, government sources told Globes.
The sources said the Israeli government has not yet formulated its final position on the Palestinian proposal, but it has the impression that the proposal is serious. Israeli cooperation is necessary primarily to hook the planned power station to the natural-gas pipeline network.
Israel Natural Gas Pipeline Company is currently building a pipeline in the Megiddo area, only a few kilometers from Jenin.