VZCZCXYZ0007
OO RUEHWEB

DE RUEHJM #2748/01 1801340
ZNR UUUUU ZZH
O 291340Z JUN 06
FM AMCONSUL JERUSALEM
TO RUEHC/SECSTATE WASHDC IMMEDIATE 3140
INFO RUEHXK/ARAB ISRAELI COLLECTIVE PRIORITY
RHEHNSC/WHITE HOUSE NSC PRIORITY

UNCLAS JERUSALEM 002748 
 
SIPDIS 
 
SENSITIVE 
SIPDIS 
 
NEA FOR FRONT OFFICE AND NEA/IPA; NSC FOR 
ABRAMS/DORAN/LOGERFO 
 
E.O. 12958: N/A 
TAGS: PHUM ENRG ECPS EPET KWBG
SUBJECT: MGGZ01 - ISRAELI GAZA INCURSION - DAMAGE TO 
INFRASTRUCTURE 
 
REF: JERUSALEM 2680 
 
¶1.  (SBU) Summary: The electricity is out in 75 percent of 
Gaza, according to USAID Gaza-based field staff.  The 
electricity distribution company began June 28 to rotate the 
available electricity to different areas in six hour shifts. 
The electricity shortage is also impacting hospitals, 
municipal water systems, and sewage and wastewater systems. 
At least one water pipeline was seriously damaged when Sika 
Bridge in central Gaza was bombed June 27.  Both land-line 
telephone and cellular providers announced June 28 that they 
have a five-day supply of fuel to run the two telephone 
systems using generators.  End summary. 
 
Electricity 
----------- 
 
¶2.  (SBU) 75 percent of the Gaza Strip is currently without 
electricity, including at least two-thirds of Gaza City; the 
Deir el-Balah areas; Rafah City; and Khan Younis, according 
to USAID Gaza-based field staff.  While some of the outages 
are due to damage caused by the IDF missile strikes to the 
six transformers, Khan Younis and Rafah city also have 
outages, though both of those areas are normally supplied 
from the Israeli grid.  Northern Gaza, including Jabaliya and 
Beit Hanoun, is reported to have power.  Four of the damaged 
transformers are owned by the Gaza Power Plant (GPP); two by 
the Palestinian Energy Authority (PEA).  The PA-owned and 
operated Gaza Electrical Company (GEC), the power 
distribution company, began rotating available power on June 
28  (from the Israeli Electricity Company) through its 
distribution system in order to allow for an average six 
hours of transmission per day in each area. 
 
¶3.  (SBU) Normal electricity consumption in Gaza is 
approximately 210-220 MW per day.  Gaza was importing about 
110 MW from the Israeli Electricity Company (IEC) and the 
balance of the supply came from the Gaza Power Plant.  USAID 
Gaza-based field staff reported that the Gaza power grid 
could import an additional 40-50 MW from Israel, for a total 
imported level of 150 to 160 MW per day.  Until the 
transformers are repaired, additional imports could help 
cover 75-80 percent of daily demand.  (Note: Given the short 
supply of electricity in Israel, it is unclear if the IEC has 
additional power to provide Gaza.  End note.) 
 
¶4.  (SBU) Replacement costs for the transformers total USD 2 
million per transformer, according to the GPP's Financial and 
Commercial Manager Hani Aouad.  (Note: According to OPIC 
officers, under a July 2004 policy, OPIC insured the Gaza 
power plant for up to USD 36.5 million of political violence 
coverage for loss of assets and up to USD 10.15 million of 
political violence coverage for loss of business income.  The 
coverage was provided to Morganti Development LLC, a 
U.S.-owned company that was established to purchase Enron's 
equity interest in the project.  Post is checking with OPIC 
to determine if this damage is covered.  End note.) 
 
Water 
----- 
 
¶5.  (SBU) Municipal water systems in Gaza require electricity 
to operate wells and to move water from network lines to 
roof-top tanks on apartment buildings.  The Rafah municipal 
water supply pumps are currently operating on generators, 
supplying about 50 percent of normal supply, according to 
USAID Gaza-based field staff.  The Rafah municipality has a 
six-day supply of fuel.  GED's rotation of electricity 
transmission should provide six hours of power to generators 
in each area, thereby allowing them to operate for 10 hours. 
(Note: The generators normally need 10 hours of electricity 
per day to be fully operational for 24 hours.  End note.) 
 
¶6.  (SBU) The Palestinian Hydrologist Group (PHG) Project 
Coordinator in Gaza and USAID field staff both reported that 
the water pipeline in the middle section of Gaza, under the 
Sika bridge, sustained serious damage when the bridge was hit 
June 27.  A fifty-meter cast-iron section of the water 
pipeline was destroyed.  The pipeline served as a carrier to 
three wells in Al-Nuseirat, el-Burej, and Zawaydeh; each 
well, now inoperable, was providing 70 cubic meters of water 
for sixteen hours each day. 
 
Sewage and wastewater 
--------------------- 
 
¶7.  (SBU) Without electricity, the sewage pumping stations 
 
and wastewater treatment plants in Gaza are not functioning 
properly.  According to USAID Gaza-based field staff, sewage 
from Khan Younis had been disposed of on 120 dunams near 
Sufa,  Since the IDF is now occupying this area, the sewage 
tankers are not able to access the dump site and are dumping 
their cargo in random spots near residential areas. 
Likewise, Khan Younis' solid waste is being dumped 
haphazardly. 
 
Healthcare facilities 
--------------------- 
 
¶8.  (SBU) The most critical problem facing hospitals is the 
lack of electricity.  According to USAID Gaza-based field 
staff in Gaza, Dar al-Shifa Hospital is running only on 
generator power, while al Nasser Pediatric Hospital in Gaza 
City is using an old, lower capacity generator.  According to 
USAID grantee CARE staff, Al-Amal Hospital in Khan Yunis is 
running on one generator and has enough fuel for eight days 
in an emergency climate, but only has a less than one-day 
capacity water tank.  Other hospitals either still have power 
or are running on generators only.  75 percent of public and 
private primary healthcare clinics have generators, according 
to USAID Gaza-based field staff.  All UNRWA primary 
healthcare clinics. 
 
Telecommunications 
------------------ 
 
¶9.  (SBU) Another USAID Gaza-based staff member reported that 
land-line telephone provider Paltel and cellular provider 
Jawwal announced they had a 5-day supply of fuel to run the 
two systems using generators, including Gaza's six telephone 
switches.  PalTel, according to local press reports June 29, 
ordered the reconnection of all telephone lines in Gaza that 
had been cut for lack of payment. 
WALLES