Gov't policy could mean Better Place monopoly

Car importers expect that the Ministry of National Infrastructures will revise its electric car proposals.

The Ministry of National Infrastructures has received dozens of objections to the principles of its electric car policy presented for public hearing in December.

Some of the objections say that the regulations will perpetuate the monopoly of the players who enter the market first, most notably Better Place, and create too high a threshold for new players entering the market in the future.

The end of January was the final day for presenting objections, and sources inform "Globes" that the ministry received criticisms, research and legal opinions from private companies, car importers and potential importers, the Vehicle importers Association, energy companies and research institutes.

The objections oppose most of the principles of the plan including the ministry's plan for "managed charging" which will separate the price of electricity, the car owner and the price on the national grid. The ministry will obligate "charger suppliers" to receive a license. The Israel Electric Corporation will have far reaching authorization regarding services and pricing.

It remains unclear if and how the Ministry of National Infrastructures will treat the objections. Some of the opponents threaten legal action and appeals to the Israel Antitrust Authority. Sources in the car importing sector expect the ministry to "revise" its proposals, and hold an additional hearing on the topic.

Published by Globes, Israel business news - - on February 1, 2011

© Copyright of Globes Publisher Itonut (1983) Ltd. 2011

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