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liliiSlittlilf original contains color illustrations ENERGY 93 Energy in Israel: Data, Activities, Policies and Programs Editors: DANSHILO DAN BAR MASHIAH Dr. JOSEPH ER- EL Ministry of Energy and Infrastructure Jerusalem, 1993 Front Cover: First windfarm in Israel - inaugurated at the Golan Heights, in 1993 The editors wish to thank the Director-General and all other officials concerned, including those from Government companies and institutions in the energy sector, for their cooperation. The contributions of Dr. Irving Spiewak, Nissim Ben-Aderet, Rachel P. Cohen, Yitzhak Shomron, Vladimir Zeldes and Yossi Sheelo (Government Advertising Department) are acknowledged. Thanks are also extended to the Eilat-Ashkelon Pipeline Co., the Israel Electric Corporation, the National Coal Supply Co., Mei Golan - Wind Energy Co., Environmental Technologies, and Lapidot - Israel Oil Prospectors for providing photographic material. TABLE OF CONTENTS OVERVIEW 4 1. ISRAEL'S ENERGY ECONOMY - DATA AND POLICY 8 2. ENERGY AND PEACE 21 3. THE OIL AND GAS SECTOR 23 4. THE COAL SECTOR 29 5. THE ELECTRICITY SECTOR 34 6. OIL AND GAS EXPLORATION. 42 7. RESEARCH, DEVELOPMENT AND DEMONSTRATION 46 8. ENERGY CONSERVATION 55 9. ENERGY AND ENVIRONMENTAL QUALITY. 60 OVERVIEW Since 1992. Israel has been for electricity production. The latter off-shore drillings represer involved, for the first time in its fuel is considered as one of the for sizable oil findings in I: short history, in intensive peace cleanest combustible fuels, and may Oil shale is the only fossil i talks with its neighbors. At the time become a major substitute for have been discovered in Isi this report is being written, initial petroleum-based fuels in the future. far in substantial quantities agreements regarding Palestinian Ministry-supported R&D i autonomy have already been In recent years, the oil sector has area has demonstrated the signed, and the prospects for been undergoing profound changes feasibility of electricity prc additional agreements with the aimed at reducing government by direct combustion of oil other partners are good. involvement and opening the sector Plans for an 80 M W unit ai to increased competition. At underway. Peace in the region can bring about present, consumer prices for most profound changes in Israel's energy of the refined products are free of Israel is rich in solar energ; economy: linking up of the grid Government control. The entrance among the world leaders in with those of neighboring countries of new companies to some development and utilizatio: can provide both backup as well as segments of the sectors, stimulated technology. Israeli scientis opportunities in trading of electrical competition and resulted in price engineers designed the woi power; access to close-by sources reductions. In other segments, like largest solar power stations of oil and natural gas will enhance the filling stations, where entry is energy utilization is deeply competition and efficiency in the difficult, the competition is only in Israel and most homes u; oil sector, and cooperation in marginally evident. The Ministry is water heaters. A Governme energy projects will provide new acting to introduce competition into regulation mandates install prospects and innovative this branch by creating favorable such heaters in new houses technologies. For the first time this conditions for the construction of energy R&D is carried out report includes a chapter entitled new stations, and by limiting the Solar Tower at the Weizms "Energy and Peace". duration of the contracts between Institute of Science, and at the station owners and the oil Ben-Gurion Solar Energy ] Following is an overview of Israel's companies. Center. energy economy and of some principal initiatives in its various The gas sector is also undergoing a Wind energy utilization is sectors during the 1992/93 period. reform since 1989. The results are continuous development, i being felt by large consumers first windfarm was commi which acquire gas in bulk and by Imported Energy during 1992. Wind survey household consumers in regions identified some viable site Resources where new companies have entered is likely that additional wi: Israel relies almost exclusively on the market. will be built in the near ful imported fossil fuels, especially oil. Coal was introduced during the Indigenous Energy early eighties mainly to diversify Electricity the energy resources; presently it is Resources Israel's electricity generat the major fuel in electricity Oil exploration in Israel has been supply system is complete production. The Government, carried out since the early fifties. isolated from the neighboi which is interested in further From an economic point of view, countries. Thus, it must tx diversification, is examining the the discoveries so far are small. self-sufficient and indepei possibility of importing natural gas Still, the findings in the Ashdod across-the-border backup cases of sudden system transforms industrial organic waste available to the general public in malfunctions. to biogas. The biogas is utilized to the near future. cogenerate electricity during The Israeli electricity system is on-peak and mid-peak hours and to operated by the Israel Electric heat water. International Cooperation Corporation, which has the exclusive right to generate, transmit Establishment of international links and sell electricity in Israel. This Environmental Aspects are an important facet of the concession expires in 1996 and the national R&D program in the Ministry is devising a new structure Reduction of energy-related energy field. Joint energy-related for the electricity sector. pollution is a priority issue on the R&D projects are carried out under Ministry's agenda. Implementation the framework of international of a Government resolution cooperation with Catalonia (Spain) Energy Conservation requiring lower standards of SOi and with Portugal. emissions has resulted in The Ministry continuously considerable improvements in the The Directorate General for Energy promotes energy conservation by air quality at the problematic Haifa of the European Community providing technical consulting, Bay and Ashdod areas. The (DG17), in cooperation with the supporting educational programs reduction is achieved through the Israel Ministry of Energy and and initiating legislation. Financial selective use of low-sulfur fuels Infrastructure, conducted a Solar support is provided to energy (2.5. Land0.5 percent, Business Seminar to explore conservation projects in the various respectively). Beginning on business opportunities in the solar sectors of the economy. A special January 1994. the 2.5 percent sulfur thermal and the passive solar emphasis is given to projects which fuel will be replaced by a 2 percent construction areas. Subsequent to can directly improve environmental fuel. the Seminar. The Directorate quality. General for Energy of the European Recently, a low sulfur diesel fuel Community established a During 1992. the Ministry was introduced initially in the corporation aimed at exploring supported the installation of a large public transportation sector. It is DG17-Israeli cooperation in anaerobic treatment facility which expected that this fuel will be thermo-solar energy. October 1993 Moshe Shachal Minister of Energy and Infrastructure OFFICIALS OF THE MINISTRY OF ENERGY AND INFRASTRUCTURE Minister of Energy and Infrastructure - Moshe Shachal Director-General - Ron Croll Chief Scientist - Amnon Einav Director, Fuel Authority - Joseph Kolitz Director, Electricity Authority - Dr. Shlomo Brovender Director, Earth Sciences Research Administration - Dr. Michael Beyth Deputy Director-General (Administration) - Tamir Barshad Director, Economics & Planning - Joshua Stern Director, Energy Conservation Division - Yossef Nowarsky Director, Research and Development Division - Dr. Avraham Arbib Director, Licensing and Infrastructure - Omri Lulav Petroleum Commissioner - Dr. Moshe Goldberg Director, Engineering Division - Gideon Carmel Comptroller - Reuven Melamed Legal Advisor -Ze'evAfik Spokesman - Yael Ne'eman Director, Environmental Issues - Dr. Ayala Tamari Chief Scientist, Earth Sciences - Dr. Yossef Bartov Director, Geological Survey - Dr. Amos Bein GOVERNMENT COMPANIES* ACTIVE IN THE ENERGY ECONOMY Name Address Phone Fax Israel Electric Corporation P.O.B. 8810 4-548548 4-548203 Haifa 31086 Oil Refineries, Ltd. P.O.B. 4 4-788111 4-728319 Haifa 3 1000 Petroleum Services, Ltd. P.O.B. 13285 3-6484124 3-6470046 Tel Aviv 61130 Pi-Gliloth Petroleum Terminals and Pipelines, Ltd. P.O.B. 381 3-6462333 3-6462301 Herzliya B 46103 Eilat-Ashkelon Pipeline Company, Ltd. P.O.B. 20056 3-5611666 3-5610997 Tel Aviv 61200 Tanker Services, Ltd. P.O.B. 29048 3-5171923 3-5102974 Tel Aviv 61290 National Coal Supply Co., Ltd. P.O.B. 21253 3-7512261 3-7510119 Tel Aviv 61212 The Israel National Oil Co., Ltd. P.O.B. 50199 3-5142020 3-5142061 Tel Aviv 61500 Lapidoth. Israel Oil Prospectors, Ltd. P.O.B. 17106 3-6417241 3-6417246 Tel Aviv 61170 Naphtha, Israel Petroleum Co., Ltd. P.O.B. 33366 3-6938359 3-6938355 Tel Aviv 61333 PA MA (Energy Resources Development), Ltd. Mishor Rotem. 7-554711 7-553990 Mobil Post Arava 86800 The Institute for Petroleum Research and HaMashbir 1 3-805112 3-802925 Geophysics Holon 58852 Israel Oceanographic and Limnological Research P.O.B. 8030 4-515202 4-511911 Haifa 31080 Magal - Israel Gas and Oil Enterprises, Ltd. P.O.B. 13199 3-498791 3-498764 Tel Aviv 61131 United Petroleum Export Company, Ltd. (UNEX) P.O.B. 1548 4-678291 4-678290
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