Israel approves Turkish arms-for-water deal
The Israeli Cabinet has approved the purchase of one billion cubic meters of water from Turkey, according to a press release.
An agreement in principle for the transaction was made between Prime Minister Ariel Sharon and former Turkish energy minister Zeki Cakan in 2002. Under the terms of the 20-year water contract, Israel will import 50 million cubic meters of water per annum, enough to satisfy about 2.5 percent of Israel's annual consumption of potable water.
Although the price of water desalination is lower than that of importing the natural resource from Turkey, Israel closed the deal with Ankara after it tied the negotiated water deal to a big arms purchase, providing for the sale of Israeli-made tanks and air force technology.
The price of imported water from Turkey is estimated to reach $0.80 to one dollar per cubic meter, over the contract’s full 20-year term. The desalination of seawater is expected to cost $0.54 per cubic meter. — (menareport.com)
© 2004 Mena Report (www.menareport.com)