Lebanese authorities ended a crisis that was likely to affect the electricity sector with the announcement of the Minister of Energy and Water in the caretaker government, Cesar Abi Khalil, that Algerian tanker ships would unload fuel following contacts made by the Prime Minister-designate Saad al-Hariri with Algerian officials.
Fears of a power crisis emerged last week, after two electricity plants stopped producing energy as a result of fuel shortage due to lack of funding, inability to spend additional funds without Parliament’s approval, and the absence of a government.
Hariri’s press office reported that the premier-designate contacted President Michel Aoun from Paris, informing him that he agreed with Algerian officials to unload two ships for Electricite du Liban (EDL) and that he would maintain his contacts to find a lasting solution for the problem in the coming days.
Following his meeting with Aoun on Monday, Abi Khalil said: “I have notified President Michel Aoun that the power barges will start supplying fuel as of today, and there will be no electricity cuts.”
“The President appreciated the Algerian position and contacted Prime Minister-designate Saad al-Hariri, who in turn, highly valued the initiative of Sonatrach company,” Abi Khalil said.
Before the crisis was resolved, the energy minister attributed the problem to the refusal of Finance Minister Ali Hassan Khalil to implement a decree signed by Aoun, Hariri, Abi Khalil and himself, arguing that his decision comes in line with the provisions of the Budget Law, which prohibits the disbursement of any amounts except by a law issued by Parliament.
Lebanese officials were working to resolve the crisis by asking the Algerian company to accept receiving the price of fuel within 90 days, exceeding the international economic practice to pay the price of fuel within 30 days after delivery.
