Infrastructure in Israel

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Infrastructure in Israel

• MEDA IPA Economists Meeting n 3
• Marseille, 4-7 April 2005
• ANIMA

Danny Tal Israel Investment Promotion Center
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Content

• Energy
• Water Infrastructure
• Communication Infrastructure
• Transportation Infrastructure
• Future Regional Projects

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Future demand for energy in Israel 2001-2025
Source Ministry of National Infrastructure
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Solar Energy Systems

• Sun-heated water tank was developed in Israel in
  1953 by Isaschar Levi.
• Today, hundreds of Israeli companies are active
  in this field
• Israel is a leading country in the use of
  sun-heated water tanks

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Water Infrastructure

• 2004 Inventory 31 Desalination Plants

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Desalination Plants Distribution
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Research and Multinational Projects

• Mekorot - multitude of research programs
• Evaluation of advanced sea water pretreatment
  systems (for the Middle East Desalination Center
  -MEDRC)
• Integrated Membrane System operation at Eilat and
  Ashdod
• Evaluation of advanced treatment and desalination
  systems for polluted water (within the framework
  of the 3rd program of the EU)
• Integrated Membrane System operation at Nahal
  Taninim
• Optimization of reverse osmosis systems powered
  by solar energy (within the framework of the Non
  Nuclear Energy Program of the EU)

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Research and Multinational Projects

• Boron removal systems (within the framework of
  the 5th program of EU) including field tests at
  Eilat pilot plant
• Development of advanced systems for aggressive
  waste streams treatment (within the framework of
  the 5thprogram of EU) including field tests at
  Greater Dan Waste Water Treatment Pilot Plant
• Evaluation of competitiveness of nano-filtration
  technology as tertiary treatment of secondary
  effluents, for agriculture (in cooperation with
  Ben Gurion University)
• Evaluation of improved ultra-filtration membranes
  for sea water and waste water treatment before
  desalination (in cooperation with a membranes
  manufacturer -Zenon, partially funded by Canada
  Israel Industrial RD Foundation)

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Scope of Wastewater Treatment Activities

• Mekorot is responsible
• for treating 32 of the
• wastewater in Israel (160 million m3 /year out
  of 500 million m3/year) in 9 plants of varying
  sizes, among them the Dan Region Plant, the
  largest in Israel.
• The company uses a wide variety of advanced
  technologies, among them activated sludge (Dan
  Region, Beer Sheva, Afula), SBR (Rahat), and MBR
  (Netanya).

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Dan Region
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Telecommunication Infrastructure

• 2.9 million telephone lines - equivalent to 95
  of households
• 6.5 million mobile phone a 95 penetration rate
• 1.4 million multi channels TV - equivalent to 75
  of households
• 860,000 Broadband Internet connections equivalent
  to 43 of households

Source Ministry of Communications
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ISRAEL Telecommunication Statistics 2004

• Population 6.7 million.
• Households 1.9 million.

Source Ministry of Communications
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Broadband regulation in Israel

• Facility-Based Competition
• ADSL Access (up to 2.5Mb/s downstream).
• Cable Modem broadband Internet services provided
  by cable TV firms - the new entrants (up to 3Mb/s
  downstream).
• Unlicensed usage of the 2.4 5 Ghz WLAN
  technology as a step to maximize the internet
  usage.

BROADBAND
Source Ministry of Communications
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Households Broadband Penetration (end of 2003)
Source Ministry of Communications
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Broadband

• 920,000 broadband lines (600,000 ADSL lines
  320,000 cable modems).
• Broadband subscriber growth 50 last year.
• Broadband household penetration 43.
• Broadband penetration per 100 inhabitants 14.

Source Ministry of Communications
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3G Regulation in Israel

• In the coming years 3G UMTS networks will be able
  to offer internet access of up to 2Mb/s and a
  wide variety of services content.
• Commercial networks have been launched all over
  Israel.
• Cellular penetration is much higher than the
  penetration of computers thus 3G may prove to be
  a very essential medium for increasing broadband
  penetration.

Source Ministry of Communications
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Transportation
Source Ministry of Transportation
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Transportation

• Government investment in transportation
  infrastructure at the end of the 1990s was about
  700 million, about 1 of the GNP.
• by the end of 2004 it was doubled and surpassed
  the 2 billion mark.

Source Ministry of Transportation
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Transportation

• In line with government decisions, during the
  next 5 years investments in transportation
  infrastructure will average 2.2 billion a year,
  about 1.8 of the GNP.
• During this period, the involvement of the
  private sector, including financing of projects,
  will increase significantly.

• Projects that will be undertaken in the form of
  Public-Private-Partnerships during this period
  include the development of mass transit systems
  in the metropolitan area of Tel Aviv as well as
  in Jerusalem, highway development and finance of
  rail development.

Source Ministry of Transportation
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Land Transportation

• The number of vehicles in Israel has doubled from
  about 1 million in 1990 to over 2 million today,
  while the increase in population was only about
  40.
• 300 vehicles to 1000 residents, a 40 increase.

Source Ministry of Transportation
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Land TransportationEncouraging the use of public
transport

• Expansion and development of the inter-city rail
  networks in 2003, the government approved a 5
  years rail development program of about 4.5
  billion.
• Development of metropolitan mass transit systems
  as a result of government decisions. The first
  light rail lines in metropolitan Tel-Aviv and in
  Jerusalem have been tendered out as BOT
  (Build-Operate-Transfer) projects.
• Development of bus lanes on major routes leading
  into the main cities.
• Reforms in the bus and taxi systems.
• Reducing parking-availability norms, with
  priority given to public transport and demand
  management.

Source Ministry of Transportation
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Land TransportationImproved Management of the
Road Network

• Relieving traffic congestion on major highways,
  mainly by widening existing roads.
• Road safety improvements, including emphasis on
  properly maintained roads.
• Separation of local and inter-city traffic,
  mainly by developing by-pass roads.
• Ensuring sustainable development and reducing the
  environmental effects of traffic.
• Implementation of modern systems for traffic
  control and management.

Source Ministry of Transportation
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Land TransportationIncreasing the involvement of
the private sector

• The Cross Israel Highway - the construction of
  the first BOT project has been completed and is
  in operation.
• Highway 431 - in the tender stage.
• Fast Lane on Highway 1 towards Tel Aviv - in the
  tender stage.
• Highway 531.

Source Ministry of Transportation
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Other Highway ProjectsThe Carmel Tunnels project

• The Eastern Tunnels 1.7 km (1 mile) twin tunnels
  connecting the north-eastern approach and Mt.
  Carmel.

• The Western Tunnels 3.1 km (1.9 miles) twin
  tunnels connecting Mt. Carmel and Haifa's
  southern approaches.

Source Ministry of Transportation
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Other Highway ProjectsFast Lanes (HOT) to
Tel-Aviv

• The construction and operation of the project
  will be undertaken by the private sector as a BOT
  project.
• The Fast Lane will be built along Highway 1 (the
  main highway) with preference given to public
  transport and high-occupancy vehicles.
• Other vehicles will pay a variable toll,
  according to the level of congestion.

Source Ministry of Transportation
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Railways Infrastructure

• The first train from Jaffa to Jerusalem September
  26th 1892

Source Ministry of Transportation
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Rail Investment - 4.5 billion over the next 5
years
Source Ministry of Transportation
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Main Objectives of the Development Plan

• Expansion of the rail network
• Electrification of the rail system
• Rolling stock acquisition
• Expanding cargo services
• Planning future lines

Source Ministry of Transportation
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The Tel Aviv-Jerusalem Express Line

• The flagship project for the coming years is the
  Express Line (A1) between Tel Aviv and Jerusalem,
  which will connect Israel's two main centers in
  28 minutes!
• The distance between the two cities is indeed
  only a short 56 km (35 miles), but traverses
  difficult terrain which requires 20 km (12.5
  miles) of tunnels and the construction of a
  station in Jerusalem 80 meters (260 feet)
  underground.
• The first section, between Tel Aviv and
  Ben-Gurion Airport, was completed in 2004. The
  line to Jerusalem is expected to be completed in
  2008 and is planned to carry 6-7 million
  passengers a year.
• The estimated cost of the major section between
  Jerusalem and the city of Modi'in is about 700
  million.

Source Ministry of Transportation
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Developing Mass Transit Systems

• Jerusalem
• Tel Aviv
• Haifa

Source Ministry of Transportation
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Mass Transit System - Jerusalem

• An impressive component of the first train line
  is the new 120 meter bridge, to be situated at
  the main entryway to Jerusalem

Source Ministry of Transportation
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Seaports

• Israel has 3 major ports Haifa, Ashdod and
  Eilat.
• Handle cargo in excess of 35 million tons per
  year (including over 1.5 million containers).
• Projects totaling 1.0 billion to increase
  capacity are now underway.

Source Ministry of Transportation
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Airports
Source Lapam-The Israeli Governmental
Advertising Agency
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Airports

• Israel's major airport is Ben-Gurion
  International Airport near Tel-Aviv.
• Terminal 3 was opened In November 2004
• The project cost 800 million
• capacity to handle 16 million passengers a year

Source Lapam-The Israeli Governmental
Advertising Agency
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Airports

• Additional airports in Haifa, Eilat and Ovda
  (near Eilat)
• Work will shortly begin on Timna International
  Airport located 20km. north of Eilat at a cost of
  150 million. Timna will replace Eilat and Ovda
  airports.
• Haifa's airport is to be upgraded to
  international status at a cost of 400 million.

Source Lapam-The Israeli Governmental
Advertising Agency
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Thank You!
State of Israel
Ministry of Industry, Trade Labor Foreign Trade
Administration Investment Promotion Center
5 Bank Israel St., Kiryat Ben-Gurion Jerusalem,
Israel www.investinisrael.gov.il
infoipc_at_moital.gov.il Tel [phone]
Fax[phone]