Palestine produces no oil or natural gas and is predominantly dependent on the Israel Electric Corporation (IEC) for electricity.[1][2] According to UNCTAD, the Palestinian Territory "lies above sizeable reservoirs of oil and natural gas wealth" but "occupation continues to prevent Palestinians from developing their energy fields so as to exploit and benefit from such assets."[3][4] In 2012, electricity available in West Bank and Gaza was 5,370 GW-hour (3,700 in the West Bank and 1,670 in Gaza), while the annual per capita consumption of electricity (after deducting transmission loss) was 950 kWh.[5] National sources only produce 445 GWh of electricity, supplying less than 10% of demand.[6] The only domestic source of energy is the disputed Gaza Marine gas field, which has not yet been developed.[2] Palestinian energy demand increased rapidly, increasing by 6.4% annually between 1999 and 2005.[2] Future consumption of electricity is expected to reach 8,400 GWh by 2020 on the expectation that consumption will increase by 6% annually.[7]
The Palestinian Electricity Transmission Company (PETL), formed in 2013, is currently the sole buyer of electricity in the areas under Palestinian Authority (PA) control. It buys electricity from the Palestine Power Generation Company (PPGC), IEC, and other neighboring countries, which is then distributed to the six Palestinian district electricity distribution companies.
Structurally, Palestine does not have sufficient distribution companies or systems. This problem leads to constraints on electricity efficiency.[2] The West Bank and the Gaza Strip receive and consume energy in different ways.