While some analysts and journalists have downplayed this contract termination, the fact still remains that this agreement supplied Israel “with 40 percent of its gas needs.” Furthermore, as stated by the Associated Press in an NPR article, this gas contract and business partnership has been essential for maintaining “the security of the two neighbors.”
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| This picture from NPR depicts the subsequent explosion resulting from an attack on the gas pipeline in July 2011 |
Since the fall of Hosni Mubarak in Egypt more than a year ago, Israel has been tense about the future of its relations with Egypt, its main ally in the Middle East. Following Mubarak’s resignation, “a series of pipeline attacks by militant islamists have repeatedly disrupted gas shipments to Israel,” and now it seems that these gas shipments will be discontinued indefinitely through the contract cancellation.
Although Israeli Prime Minister Benjamin Netanyahu has tried to downplay this event as a business dispute, rather than a political dispute, the “Israeli Foreign Minister Avigdor Lieberman [has] suggested [that] the Egyptian move may be politically motivated because of [the] upcoming” presidential elections in Egypt.
Although negative sentiments towards Israel have been growing in Egypt since the ousting of Mubarak, and even before, this contract termination is the first cessation of an Egyptian-Israeli treaty since the beginning of the Arab Spring. Although the Peace Agreement, first drafted and signed at the Camp David Accords in 1979, is still in effect, some analysts and government officials predict that the cancellation of the gas contract foreshadows the forthcoming termination of the peace agreement, which is significantly more important to Israel.
Instances of corruption regarding this gas deal have recently come to light, fueling the desire to end the deal. Allegations have emerged claiming that Egyptian government officials pocketed money from this deal and that Israel has been paying below market prices for the gas. Although the Israeli government has denied paying cheaper prices for gas, several Egyptian businessmen and politicians involved with this agreement have been charged with criminal conduct over these accusations.
Despite conflicting and varied responses to the cancellation of the Egypt-Israel gas contract, the aftermath of this decision is already in motion. Moving forward, it seems that diplomatic relations between Egypt and Israel are beginning to evolve in a direction in which both nations approach each other with a colder, or at least more withdrawn, attitude. As Israel’s main ally in the Middle East, Egypt’s new manner towards Israel can have profound impacts for the political and diplomatic balance in the region.
Sources:
Cancelling Out The ‘Background Noise’ On Egypt-Israel Relations on NPR
Gas row not political, Israel and Egypt say on Reuters
Israeli Leader Plays Down Gas Dispute with Egypt on NPR
Egyptian companies abruptly halt gas exports to Israel on CNN
