Lebanon's state electricity company (EDL) announced on Saturday that it could no longer supply power after its last operational power plant exhausted its fuel reserves.
The company said the situation would affect “essential facilities such as the airport, port, water pumps, sewage systems, and prisons.” It also noted that from noon on Saturday, it “resulted in a total power cut” of state electricity across Lebanon.
Soon after, the south Lebanon Water Corporation urged people “to save water as much as possible” because the blackout would have a “significant impact on its ability to pump water in sufficient quantities”.
State electricity blackouts because of fuel shortages are common in a country that is heavily reliant on generators for power.
However, this cut comes amid growing fears of an all-out war between Hezbollah and Israel, who have been engaged in daily cross-border clashes since October 8, parallel to the war in Gaza.
When the two sides last fought a war in 2006, Lebanese fuel storage tanks were among those to be attacked by Israel. Along with Israel blockading the Lebanese coast, it led to the near exhaustion of fuel supplies.
State electricity in Lebanon is available for a maximum of around four hours a day. Those who can afford it rely on expensive diesel-powered private generators to fill the gap, although very few provide power for 24 hours.
Lebanon has long struggled to provide enough power to its people, but the problem has been exacerbated by an economic crisis that began in 2019. Lebanon, which has few natural resources, imports heavy fuel oil from Iraq under a swap deal signed in 2021.
As the heavy fuel supplied by Iraq does not meet Lebanon’s fuel specifications, the deal allows Beirut to swap it on the international market – through traders who make a profit – for other types of oil suitable for its power plants.
However, payment issues from Lebanon to Iraq have caused problems. Although the Lebanese cabinet approved a series of measures on Wednesday to help alleviate the issue, the benefits did not come in time – with the next Iraq fuel delivery not expected until the end of August.
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A cheaper choice
Vanuatu: $130,000
Why on earth pick Vanuatu? Easy. The South Pacific country has no income tax, wealth tax, capital gains or inheritance tax. And in 2015, when it was hit by Cyclone Pam, it signed an agreement with the EU that gave it some serious passport power.
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