On May 3rd, the Israel Electric Corporation (IEC) board of directors approved the new $2 billion production development plan for the country's needs for the years 2006-10. According to business correspondent Seth Vogelman, the IEC feels its projected reserves will continue to decrease, falling to 6% of production capacity by 2003, less than western reserve criteria. By 2003, the IEC believes there will be 186 hours of power cuts nationally, dwarfing the 1.2 hours annually acceptable under international standards. Exacerbating the situation may even be a delay in operation of new power production units, decreasing electricity reserves further.
With the acceptance of the new development plan, the board approved a $450 million replacement of 7 production facilities currently operating on crude oil at the Haifa and Eshkol power stations. Noting a drive to improve economic efficiency and address environmental concerns, the IEC aims to replace two of the crude oil units with combined cycle diesel oil facilities. These may be converted to natural gas once they arrive in Israel.
With the acceptance of the new development plan, the board approved a $450 million replacement of 7 production facilities currently operating on crude oil at the Haifa and Eshkol power stations. Noting a drive to improve economic efficiency and address environmental concerns, the IEC aims to replace two of the crude oil units with combined cycle diesel oil facilities. These may be converted to natural gas once they arrive in Israel.