The Israel Electric Corp. is the sole integrated electric utility in the State of Israel and generates, transmits and distributes substantially all the electricity used in the State of Israel. The State of Israel owns approximately 99.85% of the Company.
The Company was incorporated in mandatory Palestine on March 29th, 1923, with its main object to produce, supply, distribute and sell electricity to the consumers. Israel Electric Corp. was first registered under the name "The Palestine Electricity, Corporation Limited", which was changed in the year 1961 to its present name "The Israel Electric Corporation Limited".
The Company is one of the largest industrial companies in Israel. For the year ended December 31, 2011, the Company had total revenues of U.S $6.4 billion, net income (Loss) of U.S. $205 million and total assets of U.S. $21.6 billion.
As of December 31, 2011, the Company maintains and operates 17 power stations sites (including 5 sites for steam driven power stations) with an aggregate installed generating capacity of 13,133 MW. In 2011, the Company sold 53,062 GWh, of electricity.
In the ten years from 2000 through to 2011, the aggregate demand for electricity in the State of Israel grew at an average annual rate of 3.1%, while the average annual rate of growth of the State of Israel’s gross domestic product (“GDP”) rate during the same period was 3.2%.
To meet increased electricity demand, the Company has made substantial expenditures for construction of new generation facilities and for expansion of and improvements to its transmission and distribution system. To meet projected future electricity demand, the Company's capital investment program provides for the addition of 1 new combined cycle units with total capacity of 377 MW by the end of 2012, this unit have been approved by the Ministry of National Infrastructures for the Tsafit site.
One of the stated goals of the Electricity Law is the encouragement of competition in the electricity sector, and Government decisions have set a target of increasing the generation of electricity by independent power producers to 20% of the country’s installed generating capacity.