Electricity prices to rise by 8.6% from August 1

News » Life Style

 Electricity prices will increase by 8.6% from August 1

A more moderate price increase was achieved after negotiations with the Ministry of the Environment, which controls permits for burning fossil fuels.

Israel Electricity Corporation (IEC) said on Wednesday that it had agreed to a more moderate price increase in August — up 8.6% from the 9.6% announced by the Electricity Authority earlier this month, — in a deal that will allow the company to expand the use of natural gas in the energy sector.

The IEC said the 8.6% price increase will take effect in August. In return, the Ministry of the Environment will allow greater use of natural gas at the Eshkol power plant. The agreement also includes a commitment by the IEC to make efforts to reduce the use of coal at other power plants, the company said in a statement.

Israel has large reserves of natural gas, but the environment ministry insists on phasing out the use of fossil fuels in favor of renewable energy sources, mainly solar. Although gas-fired power plants are cleaner than coal, they are often located in more densely populated areas and still pollute the environment.

Earlier this month, the Israel Electricity Authority, the national regulator, said the increase in electricity prices renewable energy is needed as approximately 23% of Israel's electricity generation is still dependent on coal.

Follow us on Telegram

Add a Comment

Your email address will not be published.