Israel-Electricity Equipment & Technology
Israel Electric Corporation (IEC) will invest $1 billion annually to upgrade its transmission and distribution infrastructure. Significant opportunities exist for U.S. suppliers of relevant electricity equipment and technology.
Background on the IEC – the Procuring Entity
Established in 1923 and 99% owned by the State of Israel, IEC is currently the sole vertically integrated electric utility company in Israel, operating in all segments: generation, transmission, distribution, supply and system operation. Most electricity generated in Israel (71%) is supplied by IEC, through 17 power stations and a total installed capacity of 13.6 GW1. As of December 2017, IEC had 5,000 active suppliers worldwide.
Israel’s Electricity Reform – What has Changed
The long-anticipated reform, approved in 2018 by the Israeli government, is much needed to address Israel’s rapidly increasing demand for electricity. Israel is considered an “electricity island,” given that its energy system is not connected to the grids of neighboring countries. As such, it must guarantee its ability to meet future demand.
The reform will be implemented over the course of 8 years (2018-2026) and aims to decentralize the IEC, encourage competition, and enable the IEC to invest in its transmission and distribution infrastructure (in which it will retain its monopoly).
The Opportunity – $1.1 Billion Annual Capital Investment by IEC
The IEC is planning to construct new substations and upgrade existing ones, expand underground network as well as the traditional overhead network, and overall develop a smart and modern grid that will improve the quality of electricity supply. Capital plans for the years 2018-2022 average approximately $1.1 billion per year. For additional information on the type of equipment sought, see IEC’s detailed procurement plans for 2019-2023.
- American companies interested in further information about this opportunity, contact Commercial Specialist Ms. Naama Altman at: firstname.lastname@example.org.
- American suppliers may visit the IEC website to register as potential suppliers. This allows the IEC to actively reach out to select companies regarding any closed tenders.
- American suppliers may sign up for IEC announcements on new international tenders (published almost daily).