Minister of National Infrastructures Uzi Landau yesterday decided to convert the Orot Rabin Power Station in Hadera to run on natural gas instead of coal, and halted planning to build a permanent terminal to receive liquefied natural gas.
"We will convert four of the six coal-driven turbines at the Orot Rabin Power Station to natural gas turbines with coal back-up. This will make it possible to use coal for the generation of electricity if there is a shortage or breakdown," said Landau.
Landau added, "Conversion of the units will result in Israel's citizens enjoying cheaper and cleaner electricity within three years. The residents of Hadera, Caesarea, and the local regional councils will enjoy clean air and a higher standard of living."
Landau also ordered the Natural Gas Authority to freeze planning to build a permanent liquefied natural gas (LNG) terminal, and to pursue the establishment of a buoy LNG terminal as quickly as possible to be operational by the end of 2012. He made the decision because of the quantity of gas that the buoy can supply compared with the short time needed to set it up, the development of Israel's natural gas market, and the discovery of offshore gas reserves.
"Israel is liable to face a natural gas shortage beginning in the third quarter of 2012. The buoy is a solution to help keep a continuous and reliable flow of natural gas during this period. This is a facility of strategic importance for the country's ability to guarantee a continuous supply of gas for Israel's power stations and to maintain its energy security," Landau said.
Published by Globes [online], Israel business news - www.globes-online.com - on August 1, 2011
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