Egypt agrees to take over as Gaza power supplier

Egyptian and Israeli representatives agreed in principle Wednesday to a deal that would have Egypt replace Israel as the Gaza Strip's sole electricity provider, the Haarezt reported.

Egypt agrees to take over as Gaza power supplier
Under the deal, Egypt would set up a new power line from the Sinai Peninsula town of Arish to the nearby Gaza Strip. The 150-megawatt line would cost $35 million to set up, and would be operational within two years.

Egypt currently provides the Gaza Strip with only 7 megawatts of power, while Israel provides 124 megawatts via 10 different lines. A local power station produces the remainder.

Palestinian Energy Committee chair Omar Katana, who is in charge of the
project on the Palestinian side, is not affiliated with Hamas.

Two weeks ago, he said the Egyptian plan would be funded by the Saudi Islamic Development Bank. Tenders will be issued over the next few days.


Haarezt
Last Mod: 20 Mart 2008, 14:19
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