Israel Extends Monopoly over Oil/Gas Supply to West Bank and Gaza: PA Quiet
Two Israeli oil companies have signed 2 year contracts which will supply all of the gasfuel requirements of the West Bank and Gaza Strip thus extending Israel's monopoly and strategic leverage over the Palestinian Authority and the lives of Palestinians. - The Paz Oil Company Ltd has extended the Palestinian Authority gas supply contract by two more years. The contract is worth an estimated NIS 1.8 billion annually, or 11.6% of Paz' total sales, and constitutes 50% of the total gas demand within the West Bank and Gaza Strip. CEO Yona Fogel said: “This is an important client for us. I see the renewal of the contract as an achievement and which will mark seven years of the relationship between the two sides”. He added: "We were never the sole supplier, and as part of our new contract, we've reduced the credit terms of the client." The other part of the contract was won by Oil Refineries Limited (BAZAN) who announced that it will directly supply fuel products to the Palestinian Authority for a period of two years beginning in October 2012. Oil Refineries Ltd. (ORL), located in the bay area of Haifa, is Israel's largest Oil refinery. Paz Oil is owned by a number of investors although in the past it was state controlled by Israel.