The proposal is being promoted by DSI Industries which applied to the National Infrastructures Ministry for a building permit to construct the plant.
The progress in the laying of the natural gas pipeline in Southern Israel has led to an increase in the number of companies seeking to use natural gas for the production of electricity. One such company is Dimona Silica Industries Ltd. (DSI) which recently applied to the Ministry of National Infrastructures and the Public Utilities Authority for a license to construct a private power plant at an estimated investment of $100-120 million.
DSI wishes to construct a natural gas-fired power plant with a production capacity of 110 megawatts. The plant will use the cogeneration method, which enables the production of both heat and electricity. It is designed to supply DSI's energy requirements and any surplus electricity will sold to private consumers. The Public Utilities Authority is expected to grant DSI an electricity production license.
DSI is the second company from the Negev region to apply for electricity production license in recent months. The Public Utilities Authority recently also issued a license to Eshkolot Energy to construct a private power plant in the Mishor Rotem region. The state-owned gas company, Israel Natural Gas Lines Company Ltd., has begun laying a pipeline from Kiryat Gat to the Dead Sea. Construction of the pipeline will be completed by early 2008.
Published by Globes [online], Israel business news - www.globes.co.il - on April 16, 2007
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