Promoting an Energy Sustainable Palestinian Industry

CONTEXT

The West Bank territories face significant energy security challenges as limited power supply is rationed through rolling blackouts which are increasing in frequency in the West Bank especially during peak winter and summer months. The fragmented institutional structure and the lack of an unified institutional and legal framework are seriously hampering the performance of the power sector.

OBJECTIVES

The scope of work is to carry out technical and financial feasibility study at a selected Distribution Company (DISCO) and an industrial facility for the implementation of EE and RE program for the sustainable development of the energy and industrial sectors.

In addition, the Consultant to provide training activity and materials, and conduct training on the net metering and energy storage or similar schemes as applicable and approved by the UNIDO for the industrial sector.

DESCRIPTION

In the last two decades, the Palestinian energy sector has improved and consolidated, transitioning from a fragmented municipally based system to a more efficient single buyer model. The Palestinian Energy and Natural Resources Authority (PENRA) was established with a mandate to consolidate the key institutional reforms needed by the sector. In addition, large distribution companies (DISCOs) were created, five in the West Bank and one in the Gaza Strip, to distribute electricity to end users and consumers. Furthermore, the Palestinian Electricity Regulatory Council (PERC) and Palestinian Transmission Company Ltd (PETL) were established with clear mandates to regulate and monitor the energy sector and act as the single buyer and the Transmission System Operator (TSO), respectively.

Since 1967, Palestinian MV and LV networks have been disintegrated which resulted in the present status of the isolated operation. All DISCOs’ and LGUs are evolving on an ad hoc basis to meet the customer’s demand without any clear master planning for the distribution network to reduce system technical losses and improved reliability of power supply. Within the West bank territory, almost power supply networks are based on 33 kV and 22 kV without any local generation for power supply reliability. DISCOs’ and LGUs receive power in bulk at 33 kV, and 22kV voltage levels.

At present, there are five distribution companies (DISCOs) and 121 (Local Government Units) LGUs in the West Bank. However, the electricity market in the West Bank is quite small, 2.4 million population and 0.65 million total subscribers (subscribers of five DISCOs + subscribers of 121 local units). Distribution systems of respective distribution entities are not interconnected. Under the new supply structure, four bulk power-receiving substations (161 kV/ 33 kV) under the control of Palestinian Electricity Transmission Company (PETL), recently, start supplying electricity through 33 kV distribution lines to DISCOs.’

It is worth to mention that not all customers are receiving electricity services from the DISCOs or the LGUs; there are another 25 customers (i.e. stone crushers, waters pumps, gas stations and farms) that receiving electricity directly from the IEC through the MV or LV connection points.

SUMMARY OF SERVICES

• Project Management
• Project Set Up
• Review of Legal and Regulatory Framework for the Electricity Sector
• Technical Performance Assessment for the Selected DISCO
• Financial Performance Assessment for the Selected DISCO
• Selected Industry’s RE/EE Data Analysis
• Training and Capacity Development Program
• Report Preparation and Submission