CASE STUDY: Moustadama’s energy management system on-the-job training

The State of Palestine is facing substantial challenges to provide industries with an affordable, reliable, and sufficient energy for maintaining and expanding their operations. The geopolitical situation, which is impacted by blockade on movement and circulation of goods and the physical separation of West Bank and Gaza, makes infrastructure and policy development complex. More than 90% of energy is imported, with only 2% of the country’s energy generated from renewable sources, primarily in West Bank. Energy prices are among the highest in the region, while electricity shortages are frequent all over the country and particularly in the Gaza Strip, which averages 10 hours of electricity per day and is still recovering from the 2014 and 2021 escalations on its electrical infrastructure. Industries are highly affected by energy insecurity: around 40% of their production costs is spent on energy. On the contrary, only the 11% of energy production is consumed by the industrial sector: a very low percentage, which is suggesting that the limited availability of energy is impeding the country’s industrial development and growth.

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