The Palestinian Authority said today that it owes NIS 14 million to Israel Electric Corporation (IEC), due to non-payment of electricity bills by Gaza Strip residents. The Authority called on the residents to pay their bills, since it claims IEC is threatening to cut off the supply of electricity to the territories because of the debt.
This is not the first time the Palestinian Authority has not met its commitments to the IEC. Several times in the past, the company threatened to cut off the supply to the Gaza Strip, but never realized its threats.
The Gaza Strip plans to produce its own electricity from a power station in its territory.
In response, IEC said that the debt reached NIS 20 million in October and the Palestinian Authority transferred NIS 6 million. At the beginning of November, the Authority transferred another NIS 5 million, so that the debt is currently only NIS 9 million.
IEC said it is not only threatening to cut off the electricity, but threatening to use other means at its disposal, since under the Electricity Law, it is obliged to act solely under business considerations. It will abide by these in this instance also.
Published by Israel's Business Arena on 13 November, 2000