Lebanon

Mikati Warns Energy Minister... and Why?

Mikati Warns Energy Minister... and Why?

Since it is "the only remaining condition according to the World Bank and the international community for financing the implementation of agreements reached with Egypt, Jordan, and Syria for the supply of gas and electricity," the Ministry of Energy and Water announced the opening of applications to choose members of the "Regulatory Authority for the Electricity Sector in Lebanon." There is an emphasis on "the obligation to amend the number of members to become 6 instead of 5, as stated in the law, in accordance with the requirements of the constitution which stipulates equal representation in first-class positions or their equivalent..."

The last phrase regarding the necessity of the amendment carries nearly assured implications of a "hindrance" awaiting the formation of the authority, given the government's insistence on maintaining the law establishing the "Regulatory Authority for the Electricity Sector" without any modifications. This is what the caretaker Prime Minister Najib Mikati communicated to the Minister of State Walid Fayad.

Sources within the governmental palace revealed to "Al-Markazia" that "Prime Minister Mikati sent a letter to Minister Fayad, pointing out that he is legally obliged to implement the law establishing the Regulatory Authority and that any violation of this law will bear the minister's responsibility." The sources added that "the law stipulates the appointment of 5 members and not 6, and if this provision is to be amended, it means there is an additional attempt to obstruct the establishment of the Regulatory Authority for Electricity."

This position aligns with the opinion of oil and gas expert in the Middle East and North Africa, Lori Haytayan, who stated in an interview with "Al-Markazia" that "the core problem lies in the number of members of the authority, which creates ambiguity between 5 or 6 members! The ministry submitted a modification to the Parliament concerning law number 462 to appoint 6 members instead of 5, knowing that this law is subject to two opinions: the first calls for implementing it as is and making amendments later, while the Ministry of Energy and the 'Free Patriotic Movement' insist on the immediate amendment before it is applied."

In light of these facts, she believes that the formation of the Regulatory Authority is fraught with numerous obstacles and challenges, and thus she expects it will not see the light of day for the aforementioned reason, coupled with "the presidential vacuum looming over the country while the caretaker government convenes only for the utmost necessity, whereas the appointments of the authority require a Cabinet session."

Therefore, Haytayan added, "the path to forming the 'Regulatory Authority for Electricity' does not seem to be paved... unless Prime Minister Mikati calls for a Cabinet session considering the formation of the authority as an 'exception' and not a regular item, but rather a pressing necessity to meet the International Monetary Fund's conditions to access the funds earmarked for Lebanon."

Regarding her reading of the Ministry of Energy's call for participation in applying for membership in the authority amid the ongoing political tension, Haytayan places the ministry's statement in the category of "marketing its efforts in addressing the electricity crisis in Lebanon, showing that it (the ministry) is not standing idly by in front of the crisis facing the sector."

From here, it appears that the fate of the "Regulatory Authority for Electricity" will face inevitable political and legal difficulties that may prevent its formation, at least in the near future.

Our readers are reading too