Daily Israel Report

PA Runs Out of Gas, Dips Into Fund to Pay Bills

In addition to the restoration of aid to the Hamas-led Palestinian Authority, gasoline supplies to the PA are being restored Friday following protests as the Arab-controlled areas ran out of gas.
By Israel National News Staff
First Publish: 5/12/2006, 8:36 AM / Last Update: 5/11/2006, 10:49 PM


Dozens of gas tankers crowded the road in front of the PA parliament in Gaza Thursday to protest the shortage of fuel in the region.

Protestors yelled slogans and told reporters that fuel should not be used as a political weapon.

Meanwhile, Israeli gas stations – where prices are much higher due to the Arab world’s boycott policies against Israel – were swamped with long lines as vehicles from PA-controlled in Judea and Samaria drove to nearby Jewish towns to fill their tanks.

Residents of Gush Etzion reported a long line of PA Arab vehicles from the Gush Etzion Junction gas station, snarling traffic all the way to Efrat.

The PA-owned General Petroleum Corporation announced Tuesday that Israeli company Dor-Alon had cut its supplies due to pressure from the Israeli government. Dor-Alon said the decision was taken due to unpaid bills.

Late Thursday, PLO chairman Mahmoud Abbas (Abu Mazen) said he would use $28.9 million the PA had in “investment funds” to pay Dor-Alon so that fuel supply could be renewed. The fund, which Abbas controls, reportedly has close to one billion dollars in it.

Gaza continues to depend on Israel for gasoline and other critical resources despite having an open southern border crossing with Egypt.