Third act of sabotage in 5 months may spell the end of Egyptian natural gas shipments of both Israel and Jordan.
Egypt’s natural gas pipeline to both Israel and Jordan suffered still another setback during the night when a third act of sabotage caused an explosion. This is three attacks since the beginning of the popular uprising in Egypt in February this year. The most recent, said by Egyptian security authorities to have been caused by men armed with machine guns caused the ill fated pipeline to blow apart again with “an explosive boom” that frightened people living in the vicinity and resulted in a “plume of fire” after the saboteurs, who had arrived in a small truck, forced security forces to leave and then planted explosive charges. Not being able to prevent this kind of attack doesn’t bode well for anyone who thinks about investing in Egypt’s future, even in renewables like solar energy.
Offshore gas fields in eastern Mediterranean
The other two acts of sabotage, occurred on April 27 and on February 5. Both of these attacks also caused the pipeline to explode and has resulted in Israeli energy authorities shifting their attention to drilling for gas in offshore gas fields in the eastern Mediterranean.
This third incident, already reported in numerous media sites like CNN may be the beginning of the end for Egyptian energy shipments to both Israel and Jordan. It also begs the question at just how effective Egyptian security forces are at securing its country’s assets.
Jordan, which itself may be on the brink of a popular uprising against the ruling Hashimite family, is still planning to construct a nuclear power plant to supply some of its energy needs. Canada, France, Japan, and Russia are interested in bidding for the tender to construct the 1,100 MW nuclear plant in Jordan, now said to be slated to be built outside Amman.
Jordan, which has also been a recipient of the Egyptian gas shipments, is looking into nuclear energy to supplement its energy needs, which now have to rely on imported oil, as well the Egyptian gas shipments. With all the recent attention that has been given to nuclear energy, in light of the Japan Fukushima nuclear disaster in which three reactor cores melted down, it is hoped that Jordan will reconsider turning to nuclear energy as a viable energy option.
Read more on Egyptian and other regional natural gas issues:
Cyprus Feels Environmental Impact of Undersea Gas Drilling
Sabotaged Egyptian Gas Pipeline to Israel Shifts Energy Attention Offshore
Revolution in Egypt May Cut off Gas Supplies to Israel.
Maurice, I am Egyptian. I most definitely do not want to see these misguided acts of vandalism take place, or any acts of vandalism for that matter.
I am not against the peace agreement or the export of gas to Israel. I was only inquiring as to how you came to the conclusion that those pipeline attacks would specifically affect investments in renewables more than it would affect investment in any other industry.
I think the pipeline attacks will keep investors away from Egypt. Solar panels for instance can be even more vulnerable to attacks, theft, and vandalism than a pipeline.
How is blowing up a gas pipe terrorism? It is more like vandalism unless you are bigotted enough to describe anything an Arab does as terrorist.
Hi Maged,
I also agree that theses attacks have been politically motivated, and have no bearing of the agreed price of the gas. Remember that Jordan is also a receiver of part of this energy source.
The “political motivation” may get much worse if stability does not return soon to Egypt. This is especially true if the Muslim Brotherhood win big in the upcoming elections. The peace agreement between Egypt and Israel has benefited both countries, despite it been a bit one-sided. From the late 1970’s till now, the borders between the two countries have been relatively quiet; and Israelis have had a love affair with the Sinai Red Sea Coast, and have gone there annually for holidays. That’s a lot more than I can say regarding Egyptians coming to visit Israel.
The natural gas agreement is not the only thing that will end if the peace treaty is abrogated by Egypt. The specter of another war between the two countries will also return.
I presume you are Egyptian; and as such, do you want this to happen? Believe me, there is much more involved here than merely the price of natural gas.
Best,
Maurice
BTW, my wife is also “Egyptian”. But she and her entire family were expelled by Nasser in 1957. She still remembers Egyptian children running into her bedroom in Cairo and taking all her toys – with her father powerless to do anything about it.
Maurice, I disagree with you on your opinion that “Not being able to prevent this kind of attack doesn’t bode well for anyone who thinks about investing in Egypt’s future, even in renewables like solar energy”.
These attacks on the gas pipeline are not random acts of sabotage, they are politically motivated. Had this gas been directed to any other country besides Isreal at market price (not to say that it is not being sold below market price) we wouldnt have suffered any attacks.
While I agree that this affects investment in Egypt in its broader sense, I fail to see how you came to the conclusion that this will specifically affect investment in renewables that would supply power the egyptian infrastructure… care to elaborate?