The project is worth some NIS 200 million.
Israel Electric Corporation (IEC) will construct four electricity substations for the Palestinian Authority. The project is worth some NIS 200 million.
Finance for the project will apparently come for the European Union. Negotiations between the parties have been going on for over a year, unconnected with recent political developments. The original intention was to construct five substations, and the possibility of the World Bank participating in the financing is being examined.
IEC has taken care to conduct relations with the Palestinian Authority on a purely business basis. The Authority is one of IEC's biggest customers, purchasing power to the tune of NIS 1.5 billion annually, accounting for 7% of IEC's output.
In October 2008, the Palestinian Authority announced that it was joining the pan-Arab power grid project.
Published by Globes [online], Israel business news - www.globes-online.com - on December 6, 2009
© Copyright of Globes Publisher Itonut (1983) Ltd. 2009