Palestine presently heavily relies on imported electricity from the Qatari-Israeli Electric Company, constituting over 90% of its electricity imports. This reliance exacerbates economic dependence on Israel and strains the state treasury. The geographical nature of Palestine, coupled with the fact that solar energy is independent of imported fuel and demands minimal direct investments from the Palestinian government, makes it a fitting alternative. This study aims to identify and analyze the essential elements required to establish an enabling environment capable of attracting local and international investments in renewable energy projects in Palestine. To achieve this objective, we have developed an analytical framework for the enabling environment for renewable energy investments. This framework corresponds to the different stages that investors navigate before committing to the sector, emphasizing strategies to mitigate technical, financial, and procedural risks through tailored investment incentives and interventions suitable for the Palestinian context. The research involved a survey of 28 investors and developers to discern their perceptions of the enabling environment for solar energy investment in Palestine. Additionally, in-depth interviews were conducted with 17 decision-makers from the government, local authorities, distribution companies, civil society, and private sector representatives. The findings reveal that all components of the investment environment in the Palestinian energy sector are incomplete. Internal factors deter independent investors and energy producers from entering the sector, despite their interest and financial capacity. Consequently, there is a compelling need to develop business models and mechanisms in the renewable energy sector, drawing inspiration from the experiences of successful investors. The study underscores the importance of establishing a conducive environment to encourage investments, fostering sustainable energy development in Palestine.

Title

ness Sustainability with Artificial Intelligence (AI): Challenges and Opportunities. Studies in Systems, Decision and Control,

Publisher

Springer, Cham

Publisher Country

United States of America

Publication Type

Online only

Volume

568

Year

2024

Pages

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