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Weighing the energy option wisely

Dec 10,2014 - Last updated at Dec 10,2014

It is natural to have legislators discuss the government’s decision to import natural gas from an Israeli source through a US company, provided this is done in a balanced and fair manner.

The government said its decision to allow the state-owned National Electric Power Company (NEPCO) to import some 250-300 million cubic feet of natural gas a day from US-based Noble Energy followed careful studies of all available options as well as numerous disruptions of Egyptian gas supplies which cost the country and its Treasury dearly over the past years.

Opponents of the deal charge that buying gas from an Israeli source would benefit Israel’s economy at a time when it is violating Palestinian rights, especially with regard to Muslim holy sites in Jerusalem, and are pressing the government to seek alternative sources.

The government responds to these complaints by highlighting Jordan’s dire need to obtain natural gas from whatever source, having seen NEPCO sustain heavy loses year in and year out, not only because of the disruption in the flow of gas from Egypt, but due to the lack of viable alternative options.

The government informed deputies that it is exploring the possibility of obtaining gas from a Palestinian source situated on the Gaza shoreline. Besides, the government does not want to be “captive” to one source of gas after having sustained heavy and irreparable losses due to the total dependence on Egyptian natural gas for such a long time, only to see that source interrupted repeatedly by acts of terrorism in the Sinai Peninsula.

There is no denial that there is a peace accord between Jordan and Israel, which makes Israel a non-enemy neighbour in the strict sense of the word. While Jordan has many quarrels with Israel, especially over its refusal to honour the Kingdom’s role as custodian of the holy sites in East Jerusalem as stipulated in the 1994 Wadi Araba Peace Agreement, His Majesty King Abdullah has made a sustained and determined effort to address these disputes with measurable results. 

At the end of the day, the government has a national duty to keep its economy afloat by securing energy at affordable costs. It might be blamed for its slow pace in diversifying energy sources, particularly renewable energy, which, once operational, would save Jordan a lot of hard currency being paid for energy imports. The Kingdom imports about 97 per cent of its energy needs at a total cost of 20 per cent of the gross domestic product.

MPs are invited to see the broader picture of this issue and make their decision with the national interest at heart as well as offer any other alternatives that they see fit.

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