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"Green growth will increase the national product by NIS 76 billion within five years"

This is what Environmental Protection Minister Gilad Erdan said after the government's decision yesterday to enforce green standards and energy-efficient government offices

Minister Gilad Erdan at the Pratt Awards ceremony for 2012. Pratt Award winners for 2012. Photos courtesy of Yoav Itiel, Moshevat magazine.
Minister Gilad Erdan at the Pratt Awards ceremony for 2012. Pratt Award winners for 2012. Photos courtesy of Yoav Itiel, Moshevat magazine.

The government yesterday (Sunday) approved the green growth plan formulated by the Ministries of Environmental Protection and TMT. This decision is expected to promote environmental efficiency in industry, enforcement against companies that market products pretending to be green, institutionalizing a green licensing procedure for businesses and promoting green industrial zones. The cost of the program: NIS 850 million over five years and according to the ministry announcements it is expected to create tens of thousands of new jobs in the economy.

 

The Minister of Environmental Protection, Gilad Erdan: "Green growth engines are the basis for jumping to the next economic level. The economic crisis and the climate crisis are an opportunity to transition to create new business models and it is our duty to prepare the economy to take advantage of this opportunity. Today it is clear that the economic and environmental necessity is to sever the link between economic prosperity and damage to the environment and promote a strategy of green growth because this is the face of the future of Israel and the entire world. If we are able to take advantage of this opportunity, it is possible to develop here an Israeli 'Silicon Valley' in the field of environmental technologies that will brand Israel as an international leader in this field and in addition create tens of thousands of jobs."

 

Minister of Transport, Shalom Simhon: "Israeli industry and the business sector will face the environmental challenge in the coming years and will be required to meet new standards to reduce pollution. This procedure stems from consumer trends in the world and alignment of the regulation in Israel with the rest of the world. The Tammat Ministry will work together with the industry to help it make the transition to a cleaner, more competitive and environmental era."

 

The Ministries of Environmental Protection and TMT presented the national plan for green growth to the government this morning. The purpose of the program is to promote economic growth that does not harm the environment and to close gaps of decades with the industry in the advanced countries and to establish a green and competitive industry in Israel.
Among the main points of the program:

  • Combating green wash - promoting regulations defining what constitutes an environmentally friendly product and taking measures against companies that market to the public products pretending to be "green" or ecological. Today there is no supervision on this issue.
  • Establishing one green licensing procedure that will operate alongside the factory's business license and eliminate eight separate bureaucratic procedures. Reducing the environmental bureaucracy will save the economy 375 million shekels.
  • Beyond green consumerism in the domestic and public sector. Among other things, the energy rating will be extended to electrical products.
  • Professional training for green employment. The state will encourage training for green construction, clean production, energy efficiency and more. In addition, government aid will be provided for environmental investments.
  • Promoting green industrial zones that save costs for factories and prevent pollution. Among other things, in these complexes waste from one factory is used as raw material for another factory and energy efficiency procedures are implemented in the factories.

According to economic estimates, the national plan will increase GDP by approximately NIS 76 billion by 2017. The plan, which was prepared last year in collaboration with the Ministries of Environmental Protection and the Ministry of Transport and Communications with the industrialists and environmental organizations in a round table process, is expected to create tens of thousands of jobs.

14 תגובות

  1. For anyone who thinks there is a future in solar energy - a must read on the subject: "How much should the data be changed in order for electricity from solar panels to be profitable"?

    I wish the supporters of solar energy were right... what a beautiful world we could have.

  2. L: From the field
    I totally agree with you about the Chinese. There is no doubt that on the one hand they are the ones who lowered prices in almost every consumer industry on the planet and thus contributed greatly to consumers and at the same time to low inflation in all Western countries. On the other hand, they are predatory and take over using the DUMPING method wherever they can.
    In general, I'm not against solar panels, on the contrary! But they didn't predict everything.
    The electric company got into trouble because of the explosion of the Egyptian gas pipeline, in the terrorist acts that caused Israel the greatest economic damage ever. If this had not happened, in the original schedules, we would have received gas from Metam and later also from Whalen and the price of electricity for the consumer would have remained stable and even decreased. Gas is also a type of green energy - the pollution it produces is relatively minimal.
    In any case, the increase in electricity prices in Israel is temporary until the Mater gas pipeline is connected to the Tethys Sea reservoir. When this happens electricity prices in Israel will start to drop. In the future we will in any case become energy exporters instead of energy importers and that is more than excellent. You have to take this factor into account as well and not go crazy with the solar cell subsidy, but think with no common sense.

  3. for a red man...

    The problem with the Chinese manufacturers is much bigger than the solar field... and affects all global production and consumption (among other things due to manipulation of their currency and "subsidies" to factories by giving huge loans at zero interest to the various manufacturers). For your information, the largest supplier of the basic raw material (silicon poly) (holds 20-30% of the market) is German, also most of the equipment manufacturers for the solar industry are German.

    You have to look at the big picture, the price of the panels has dropped significantly! Following the entry of the Chinese, the subsidies from the German government are cut almost on a daily basis and the German residents/installers (and raw material producers) only profit from it! (From a strategic point of view: dependence on oil decreased with an impact on the whole world, the idea of ​​renewable energy became a very central issue)

    post Scriptum.
    Not long ago, one of the government authorities in Germany wrote a report in which it was stated that in the last 40 years, Germany has subsidized 430 billion euros in the production of electricity from non-biodegradable fuels + atomic energy... and something like 30-40 billion euros in subsidizing green energy.

  4. The price of the panels is significantly lower and even equal to the price of electricity in the network in some countries.
    If you take into account the problems of Hachi (bonds of 60+ billion, the increase in fuel prices, structural problems in the BA (too strong witnesses), a non-competitive agreement with the Tamar partnership...) you will come to the conclusion that the price of electricity will only increase in the near future ( and it does go up as we all know) on the other hand the price of the panel is only going down (with an expected drop).

    In the bottom line, panels will pay off very well for the country, but as always (and perhaps rightfully so, because in the meantime the subsidies of other countries (mainly Germany) is what increases demand and lowers the price of the panel) we are the last to make regulations (and eliminate, among other things, the quotas) for mass use.

    Although the site is not a financial site, I would appreciate it if you could make a central article on the technologies and the use of solar panels.

  5. Avi,
    In Germany, it recently became clear that the huge subsidy that the state gave to each farmer to set up a solar panel on his roof created a big economic hole and a negative economic result: the biggest beneficiaries are the Chinese manufacturers (in the beginning there were also German manufacturers, but later the production moved to China) and the German middlemen.
    To produce green energy in sunless Germany, huge sums were spent on the panels, which in practice the local electricity companies subsidize from their equity and receive reimbursement from Germany's electricity authorities. There is no growth in this... only big money going to the Chinese. It turned out that the economic calculations were not accurate, to say the least, it did save the import of oil and coal, but the story as mentioned is not economic at all. It develops into a huge scandal in Germany.
    Specifically, assuming an additional income of 15 billion NIS per year (2% of the Israeli annual GDP!) is completely absurd. Just for comparison, Intel's new factory, possibly the largest industrial investment in Israel, added to the best of my knowledge 0.5% to GDP over a period of two years, until fully operational and the replacement of the old production lines.
    I don't know what consultants the honorable minister feeds off of, but I wouldn't pay them...

  6. Another one, strictly republican rhetoric. As if something is bothering them (the revenues of the oil gods) they suddenly build a claim that shows it hurts the poor. I don't buy that argument.

  7. Emanuel - Currently, the reason that there is economic viability in solar panels is that you can sell the excess electricity to an electricity company at a good price - which returns the expense of buying the solar panel - the more people with solar panels - - the price of electricity goes up for everything else - which actually raises the The profitability of buying a solar panel for the private person - which will lead to buying more solar panels and God forbid - the problem is that in the end the ones who will have to pay the inflated electricity bills are the poor who cannot buy a solar panel and are actually obliged to buy it through an electricity company mainly from the rich population that produces it at a high price for them
    Now it is not profitable for the poor to buy it under any circumstances because they do not have enough roof to be able to profit from it - the profit is not in personal use but in the price to the electricity company - which means that there is a certain threshold at which the business becomes profitable - they also do not have enough money to buy the panel.
    Conclusion - this is a regressive tax that takes from the poor and gives to the rich.

  8. If every citizen is allowed to install a solar panel on the roof of his house to generate electricity, the state will reduce the amount of fuel by 30 percent

    Beyond that, the electrical transmission network will be much more balanced in terms of electricity flow

    There are about a million houses in Israel and each house has an average roof area of ​​40 square meters, which means 4 kilowatts
    Multiply 4 kilowatts by a million and you will get a power of 4 gigawatts!!!!! at peak time

    But try to get permission to install panels on the roof? Try to get permission to directly import these panels?
    There are lots and lots of politics and interests that prevent the State of Israel from being greener, more economical and more advanced

  9. Not "if we weigh" but "if we get smart". Otherwise, the person who wrote the article did not understand what was being read

  10. Reducing bureaucracy is generally good - but green processes tend to give their results only in the long term and in the form of an increase in the quality of life and health.
    Higher regulation of emissions and pollution generally does not encourage real growth.
    This does not mean that we should not act against pollution and strive for a healthier country and implement savings in government offices, etc., but in my opinion they are really too optimistic about the growth they think they will produce.

  11. Nati
    The article lacks the information about (annual) savings of NIS 20 million in government offices due to "green attitude",
    Saving electricity following the installation of sensors, saving paper and so on,
    What stands out is the decision to reduce the bureaucracy, a decision that will allow (for example)
    farms to generate solar or wind electricity without the current bureaucratic barriers,
    It is to be hoped that the "round tables" method will not catch on and will not be a substitute for a green policy.

  12. Romero, I'll tell you why I see blackness like this:
    I also opened the article with high hopes to see how it would also contribute financially, but what I saw was one big disappointment. Green is good, but it didn't convince me that there is anything real economic about it beyond talk and more talk..

  13. Why so? It may be true at first... but in the end a more ecological life will be profitable as well

  14. The idea is quite simple: sit around a large round table, and discuss the quality of the environment. Each of the discussion participants sets up a new round table, and so on.

    In a short time, tens of thousands of people are employed in environmental quality, with a salary of billions of shekels, which increases the market value by 76 billion shekels.

    Pretty!

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