Israeli Cabinet OKs new gas deal after High Court objections

AP News
Posted: May 22, 2016 11:25 AM

JERUSALEM (AP) — Israel's Cabinet has approved a new deal with a consortium of natural gas developers after the country's Supreme Court rejected the previous agreement.

The new deal changes a clause that would have prevented Israel from making significant regulatory changes for the next ten years. The Supreme Court struck down the deal over that clause and gave Israel a year to address its objections.

Energy Minister Yuval Steinitz said Sunday that the deal offers the U.S.-Israeli gas companies stability while allowing Israel more regulatory flexibility.

Prime Minister Benjamin Netanyahu has made the gas deal the centerpiece of his economic policy.

Banning Straws
John Stossel

The previous deal faced criticism from opposition lawmakers and activists who said it was skewed in favor of gas companies.

The new deal could still be challenged in the Supreme Court.