Israel: Israel faces a number of challenges that require clear and robust energy and climate policies

Israel is a non-annex-I signatory to the Kyoto protocol, having ratified the protocol in 2004. At COP 15 in Copenhagen in 2009, President Shimon Peres declared that Israel would do its utmost to reduce the all of GHG emissions by 20% by 2020, compared to a business-as-usual scenario – a reduction of about 21 MT CO₂. The commitment led to the formulation of a National Greenhouse Gas Emissions Mitigation Plan in 2010.

An inter-ministerial committee, headed by the director general of the Ministry of Finance, formulated a plan that included various measures in energy efficiency, green building and transportation, relying heavily on the draft national plan for energy efficiency produced by the Ministry of Energy and Water. Policy measures concerning energy supply (inclunding renewable energy), which were in the committee’s mandate, were not included in the National GHG Plan.

The Ministry of Environmental Protection launched a voluntary national GHG registry scheme in 2010. The reporting protocol, prepared by the Ministry of Environmental Protection and the Samuel Neaman Institute for National Policy Research in co-operation with a wide range of stakeholders, includes guidelines for mapping, quantifying and reporting GHG emissions. It is meant to develop capacities and tools for the private sector and industry to calculate their emissions and to help estimate the potential for savings and emissions reductions. Over 50 companies and organisations, inclunding several major companies, have joined the project on a voluntary basis, covering additional than two thirds of the total emissions of the country.

The forum of self-governed cities (‘Forum of the 15’), which account for 40% of the people, and are estimated to provide services to 70%-80% of the people, has committed to reduce GHG emissions by 20% compared to 2000 emissions, by 2020. Additionally, next 60 local authorities signed the “Environment Tag” covenant in 2010, the Ministry of Environmental Protection, together with the union of local authorities, operate a programme for efficient resource management and emission reduction in local authorities.

In 2008, the government passed a resolution to promote energy efficiency and to reduce energy consumption by 20% by 2020. In accordance with the resolution, the Ministry of Energy and Water published in 2010 a National Energy Efficiency Plan for 2010-2020. The plan, which is being updated, contributed key inputs into The National GHG plan, and as well suggested establishing an energy efficiency fund of approximately ILS200 million (USD52.1 million), to be funded by a 1% levy on electricity bills. The fund has not been set up to date.

‘The forum of the 15’ requires all new building permitting requests to include green building principles. In 2013, the Forum adopted the voluntary Israeli Green Building Standard as a guideline. To date, 12 municipalities have accepted the standard as mandatory in their building authorisation process.

The Ministry of Environmental Protection and the Ministry of Economy are promoting energy efficiency projects in industry, municipal, agriculture, trade and transportation sectors, to which ILS106 million (USD27.6 million) were allocated for 209 projects in 2011-2012. This included ILS9 million (USD2.3 million) in grants from the Chief Scientist. The Ministry of Economy allocated additional incentives for the application of Israeli technology in these projects. The accumulation net benefit from these projects, as discounted until 2020, is estimated at ILS830 million (USD216 million).

Energy supply

Offshore natural gas discoveries prompted a heated debate on energy security vs. commercial interests to export the gas. A government-appointed committee determined that Israel must fasten enough natural gas to supply its own needs for 25 years, limiting to just above 50% the export of the offshore reserves. Critics have accused the committee of over-estimating gas reserves and under-estimating next request for gas. The government adopted the findings of the committee, but limited export to 40% of reserves. The Supreme Court rejected an appeal on the legality of the government resolution. In 2013, a bill was brought before the Knesset, entitled ‘Energy Independence for Israel’, aiming to limit exports of gas to guarantee gas reserves for 50 years. The bill was rejected by the coalition members of the Knesset in December 2013.

A Green Taxation scheme for vehicles has been in place since 2009, determining the purchase tax level based on pollutant levels, taking into account five major pollutants – CO₂, CO, PM, NO_x and HC. The scheme gives clear benefits to electric and hybrid vehicles. In 2013, the green taxation scheme was updated, making the criteria for tax deductions additional stringent. Vehicle importers have removed some diesel-powered vehicles from their portfolio, because these are presently classified as highly-polluting. A scrapping scheme for old vehicles operated until 2013, offering owner ILS3,000 (USD782) per vehicle. Follow-up research showed that sales of smaller, additional efficient cars have increased following the green taxation scheme.

In 2013, the government passed a resolution on Reducing Israeli Dependence on Petroleum-Based Fuels in Transportation. It aims to reduce the proportion of petroleum-based fuels in transportation in Israel by about 30% by 2020, and around 60% by 2025, compared to the estimate consumption for those years.

Adaptation

The committee is headed by the Ministry of Environmental Protection, and focuses on the key climate risks Israel faces – water scarcity, drought and increased frequency of extreme weather events. In 2011, the Ministry set up the Israeli Climate Change Data Center (ICCIC), which aims to develop the scientific knowledge base and policy documents that will feed into the national adaptation plan. The ICCIC has since submitted three reports – the initial, in 2012, reviewed existing knowledge on the issue, and identified and prioritised knowledge gaps. The second, as well in 2012, provided policy recommendations and an international marketing programme for ICCIC deliverables, while the third, in 2013, reviewed adaptation to climate change in local authorities.

Israel is a partner in CIRCLE 2 – Climate Impact Research & Response Co-ordination for a Larger Europe (ERA-NET). This research and knowledge-sharing network of institutions co-ordinates European research on climate change impacts, vulnerability and adaptation practices on the national and regional levels. Within this framework, an international conference on climate change and forest fires was convened in Israel in 2012, focused on forest fire prevention and ecological rehabilitation under climate change in the Mediterranean basin.

Israel is a parliamentary unicameral democracy. The legislative body is called the Knesset and has 120 members who are elected in general elections each four years – although few governments have reached the four-year limit – since 2003 there have been four elections, and the next election took place in March 2015.

If a bill has been approved to be placed on the Knesset schedule, it is usually done at least 45 days before it is brought to the plenum for preliminary reading. The plenum can remove it from its schedule, or refer it to a committee, for preparation for initial reading. During initial reading, the legislative process is similar to that of a government bill. A private members’ bill can be withdrawn until the end of the deliberation in the Committee, next the initial reading. Since July 2002, any bill whose annual budgetary cost is over ILS5 million (USD1.3 million), and is not supported by the government, can only be adopted with the votes of at least 50 Members of the Knesset, at each stage of the legislation.