Israeli energy

Netanyahu reduces petrol tax, for now

Hours before petrol prices were set to rise above eight shekels per liter, prime minister orders temporary tax reduction

29 February, 2012

http://www.ynetnews.com/articles/0,7340,L-4196503,00.html

Israel's petrol prices were set to reach an all-time high of NIS 8.05 ($2.12) starting March 1, but hours before the price hike went into effect Prime Minister Benjamin Netanyahu slightly reduced the tax on petrol.

The PM's decision means that one liter of gas will cost NIS 7.74 at self-service stations and NIS 7.95 at full service stations. However, Netanyahu's decision is valid for only a month.

Hundreds of cabbies protest rising prices of diesel oil, block major Tel Aviv junction. 'We refuse to be considered second class citizens,' they say

 Earlier, the Energy and Water Ministry confirmed that gas prices will rise by 5.09%. The move is said to stem from the steady rise in crude prices, following growing tensions with Iran and the EU's oil embargo on the Islamic Republic.

 Despite the public outcry and political criticism, the Treasury is persistent in its refusal to cut the excise tax. Excise tax and VAT combined makes up 54% of the consumer's petrol prices.

 As crude and petrol prices soar, aviation industry sources warned Wednesday that an additional increase in travel prices may be unavoidable.

 Jet fuel prices make up 30% of air carriers' overhead and stand to spike form $32 billion in 2011 to $200 billion, an industry source said.

Harel Locker, director-general of the Prime Minister's Office, is said to be conducting marathonic discussions with Treasury officials in an attempt to mitigate the ruling.

For article GO HERE

Israel Mulls Indian Assistance in Developing Offshore Gas Fields

28 February, 2012

http://oilprice.com/Energy/Natural-Gas/Israel-Mulls-Indian-Assistance-in-Developing-Offshore-Gas-Fields.html

Israeli Minister of Energy and Water Uzi Landau, who is visiting India, met with Minister of Petroleum and Natural Gas Jaipal Reddy to discuss the possibility of Indian government energy companies taking part in developing Israel’s massive offshore Mediterranean natural gas fields, Leviathan and Tamar.

According to an Israeli energy specialist familiar with the negotiations, "During his visit, Minister Landau held many important meetings with key Indian government figures. They included meetings with the minister of petroleum and natural gas and the national security advisor of India. The minister discussed a range of issues with them, with an emphasis on energy and water. He did not discuss with anyone bringing the Indian government or Indian companies into the partnerships for the Tamar and Leviathan fields." 

For article GO HERE