Gas shortages loom in Israel, casting a shadow over the nation's energy security. The situation is particularly dire for businesses reliant on LPG (liquefied petroleum gas) for heating, energy production, and manufacturing processes. Industries such as food production, agriculture, petrochemicals, printing, restaurants, and hotels are racing to secure enough gas to keep their operations running. During times of scarcity, priority is given to businesses and institutional consumers that rely on cooking gas, which pushes private consumers to the back of the line. However, the state appears to be significantly unconcerned. Despite the anticipated shortage worsening with the arrival of winter, preparations have been insufficient, if not negligent. In early January, after substantial amounts had already been drawn from emergency reserves and the situation had become critical, a gas ship arrived at the Ktsaa terminal, which was expected to alleviate some pressure, but it won’t fully resolve the issue. Approximately 60 trailers are en route to Ashkelon Port to unload gas containers, but sources familiar with the situation indicate that a single late shipment is insufficient. Israelis could run out of cooking gas. With no reserves and limited imports, Israelis could wake up one morning to discover they are out of cooking gas. This unusual shortage is not a sudden or isolated event; it results from a long-standing trend over the past decade, during which Israel's LPG market has operated with very limited security stock, relying heavily on local refinery production, particularly from the Bazan complex in Haifa Bay. This structural decision was based on the assumption that imports could quickly fill any gaps during shortages. In practice, this assumption has left the economy with thin margins, making it highly vulnerable to disruptions. Bazan supplies a significant portion of the country’s cooking gas and has long been considered a critical infrastructure facility. Emergency preparedness documents and scenarios developed over the years identified damage to the complex as a risk with potentially widespread consequences, especially for the LPG market. That risk materialized in June 2025, when an Iranian missile struck the Bazan complex, causing major shutdowns and operational disruptions, including damage to the internal power station that supplies electricity and steam to the facilities. Tragically, three workers lost their lives in the attack, and the facility was temporarily shut down. Since the impact, the LPG market has been operating under tension. While it is possible to fill the gap through imports, it is expensive, depends on ship availability, and is hindered by limited unloading infrastructure, which significantly reduces operational flexibility. At the same time, demand for gas has remained high, and in some periods, even increased, partly due to changes in consumption habits and the onset of winter. The Ministry of Energy and Infrastructure responded in early January that no disruption to LPG supply in Israel is expected and that new LPG imports were being unloaded to meet demand. 'The Ministry of Energy and Infrastructure is working continuously to ensure the availability of LPG to consumers. The Ministry is collaborating closely with all companies in the economy to ensure a continuous supply without disruptions. The claim that the LPG supply has been damaged is incorrect. There has been no shortage of supply to consumers during the fighting or at any other time.' 'The Ministry, along with other partners, is swiftly advancing the construction of dedicated LPG storage facilities, and recently published a draft of new regulations for public comment that require companies to maintain operational inventory to prevent shortages. Regarding the claims about shortages, the LPG ship has already arrived at the Israeli coast and is expected to unload its cargo throughout the day. At this stage, there are no known shortages in supply. The Ministry will continue to monitor the situation closely and on an ongoing basis.'
