Minister of the Environment Gideon Ezra has written to Minister of Finance Abraham Hirchson asking him to draw the attention of the potential investors in Oil Refineries Haifa to the environmental issue and its financial repercussions, once the refinery goes private. Ezra called on the prospective owners of the refinery to consider setting aside funds for treatment of the pollution of the Kishon river.
Ezra based his request on a preliminary survey carried out by the Kishon River Authority to assess the extent of industrial pollution in the river’s water. The survey’s findings show evidence of severe pollution. This has been caused mainly by petrochemical products and heavy metals, with the weight of pollutant deposits in the river now standing at 450,000 tons.
In his letter to Hirchson Ezra said, “I intend to ask factories whose involvement in pollution has been proven to bear the costs of clearing the river of industrial waste, treating that waste and transporting it to a suitable site. According to a preliminary estimate, the costs of this procedure could run into hundreds of millions of shekels. There is no question that part of the waste that has accumulated over many years originates from Israel Petrochemical Enterprises Ltd. (TASE:PTCH), and Oil Refineries Haifa.”
A Government Companies Authority spokesperson said in response, “In keeping with standard practice, the draft prospectus for the IPO of Oil Refineries Haifa has been circulated to all the relevant government ministries, as part of the preparations for the flotation. The Ministry of Environment’s comments will be included in the prospectus, and it will be up to each investor to make up his own mind.”
Published by Globes [online], Israel business news - www.globes.co.il - on January 15, 2007
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