World Oil and Energy Trends: Strategic Implications for the Middle East

Is a True Alternative to the Strait of Hormuz Attainable?

Are Chinese investments in solar energy in the Middle East a response to market demand or part of a calculated geopolitical strategy, and what is their significance for Israel?

Over the past decade, the amount of natural gas in electricity generation in Israel increased significantly, while the use of coal and diesel declined. Alongside the economic and environmental advantages, the use of natural gas raises new issues of electricity security and systemic robustness, because it is supplied through only two pipelines from the offshore reservoirs to the coast, without any storage capacity within Israel. Moreover, gas-based production is concentrated at a small number of production sites, and the transmission of electricity to consumers depends on the reliability of the national transmission system. This dependence on a few sources and on a limited transmission route creates a growing risk to the reliability of supply, particularly in security or climate emergencies.