GAZA: FOOD AND FUEL UPDATE, 5/13

C O N F I D E N T I A L JERUSALEM 000816 SIPDIS NEA FOR FRONT OFFICE; NEA/IPA FOR GOLDBERGER/SHAMPAINE/SACHAR; PRM FOR PRM/ANE; NSC FOR PASCUAL; TREASURY FOR ROSE DEPT PLEASE PASS TO USAID FOR KUNDER/MCCLOUD/BORODIN E.O. 12958: DECL: 05/12/2013 TAGS: ECON EAGR KWBG PHUM IS KPAL ENRG SUBJECT: GAZA: FOOD AND FUEL UPDATE, 5/13 REF: JERUSALEM 737 Classified By: Consul General Jake Walles, Reasons 1.4 (b) and (d) ¶1. (SBU) Summary: The Gaza Power Plant resumed operations on May 12 after being forced to shut down May 10-12 due to a lack of fuel. During the shutdown, water and hospital services were greatly limited in the Gaza City area and homes had only 8-10 hours/day of electricity. The plant restarted on May 12 after delivery of industrial fuel through Nahal Oz. Some amounts of diesel fuel and gasoline are in storage in Gaza, but Hamas has implemented a ration system designed to direct distribution of fuel to those entities most in need. Sufa crossing was open May 13 for 55 truckloads of humanitarian and food shipments. End summary. Power Plant Fuel Arrives On 5/12-5/13 -------------- ¶2. (C) Palestinian Fuel Agency Director Mujahid Salama told Econoff that Nahal Oz fuel transfer station was open on May 12 and 13 for one million liters (three to four days' supply) of industrial fuel for the Gaza Power Plant; 80,000 liters of diesel fuel; and 280 tons of cooking gas each day. Gaza contacts said that Sufa crossing was open May 13 to an estimated 55 truckloads of humanitarian and commercial food shipments. Power Plant Down 5/10 - 5/12 -------------- ¶3. (C) Gaza Power Plant Manager Rafiq Maliha told Econoff on May 12 that the plant was shut down from May 10 at 1700 hours to May 12 at 1000 hours due to a lack of fuel. Gaza City was most affected by the shutdown, as the plant feeds most of its grid. Maliha said that Gaza City residents had power 8-10 hours/day during the shutdown. Shut-Down Impacts Water, Medical, Food -------------- ¶4. (SBU) Gaza UN contacts said that 130 of the 140 Gaza water pumping stations functioned just 2-4 hours/day during the plant's shutdown, as most run on electricity from the grid. As a result, Palestinians in central Gaza and Gaza City had access to water from the mains for only an hour each day. With the plant running, most Gaza homes receive 10-12 hours/day of water from the mains. ¶5. (C) WHO Gaza Director Mahmoud Daher said that Gaza City hospital operations were limited to emergencies and that hospital generators, which had limited amounts of diesel fuel, operated extensively during the shutdown. Daher said that Gaza hospitals' fuel storage is now at 5 to 25 percent capacity - roughly two week's supply - and that all Gaza bakeries closed on May 11 due to insufficient fuel. Daher said that WFP-contracted bakeries, which supply bread to all Gaza hospitals, did not supply daily bread shipments to area hospitals on May 11-12, and, as a result, the UN and NGO community is working to arrange emergency fuel shipments to the bakeries. Hamas Issues Coupons For Fuel Purchases -------------- ¶6. (C) Gaza gas stations have an estimated 800,000 liters of diesel and 150,000 liters of gasoline in storage, as of May 12, according to Salama (ref). Gaza business consultant Mohammad Naja told Econoff on May 13 that Hamas officials in Gaza "ministries" are issuing ration coupons that are required to purchase fuel at gas stations. He added that the relationship between the Gaza Fuel Distribution Union and Hamas has been "severely strained" in recent days, as Hamas has effectively taken over fuel distribution. Gaza NGO contacts told Econoff on May 12 that Hamas recently authorized limited shipments of the fuel to hospitals and the Coastal Municipality Water Authority. WALLES