Severe power cuts in Gaza

On 8 April, the Gaza Power Plant (GPP) shut down completely after exhausting its fuel reserves due to a shortage of funds. This triggered electricity blackouts of 18-20 hours per day, up from 12 hours previously, further undermining the delivery of basic services, including the supply of water to households. The severe fuel shortages have caused the GPP to operate at approximately half of its capacity (60 out of 120 MW) or below since July 2013 and it has been forced to shut down on several occasions. ln addition to the GPP, Gaza depends on the purchase of electricity from Israel (120 MW) and Egypt (30 MW). The electricity supply was further reduced in the first part of May when the two power lines from Egypt stopped functioning.

The capacity of the Energy Authority in Gaza to purchase fuel to run the plant has been further undermined since the beginning of 2016, following a change in the arrangement with the Ramallah-based Ministry of Finance, which provided the GPP with a total exemption on fuel taxes in 2015. The scope of this tax exemption has gradually been reduced since January, significantly increasing the cost of fuel. Emergency fuel distributions to critical water, sanitation, health and solid waste collection services, primarily to run backup generators, continued through coordination by OCHA.

At the end of April, a partial resolution was reached to the dispute on the GPP fuel taxes, with the announcement that Gaza would be partially exempted from paying fuel tax from this summer. On 16 May, it was announced that there would be a return to an electricity rationing schedule of eight-hour intervals followed by eight hours without power throughout Gaza. One of the power lines from Egypt has also resumed operations.