Egypt has repealed a 2005 gas export accord with Israel, which relies heavily on Egyptian natural gas to generate electricity. 

 

The deal was “annulled on Thursday with the East Mediterranean Gas Co (EMG), which exports gas to Israel, because the company failed to respect conditions stipulated in the contract,” Mohamed Shoeib, the chairman of the state-owned Egyptian Natural Gas Holding Company, told AFP on Sunday. 

 

Later on Sunday, Israel expressed “deep concern” over the termination of its gas deal. 

 

“This is a dangerous precedent that diminishes the peace treaty,” Israeli Finance Minister Yuval Steinitz said, Xinhua reported. 

 

Meanwhile, Israeli opposition leader Shaul Mofaz told local media, “It is a new low in the relations between the countries and a clear violation of the peace treaty.” 

 

The issue of supplying gas to Israel has always been a contentious topic for Egyptians, who view Israel as an enemy and oppose engaging in any form of business with it. 

 

In 1979, Egypt became the first Arab country to sign a peace treaty with Israel, but was compelled to agree to supply gas to Israel as one of the main economic conditions of the U.S.-sponsored deal. 

 

According to the $2.5 billion export deal with Tel Aviv, signed in 2005, Israel receives around 40 percent of its gas supply from Egypt at an extremely low price.

 

On March 12, the lower house of the Egyptian parliament unanimously approved a text declaring that Israel is the number one enemy of Egypt and calling for the expulsion of the Israeli ambassador and a halt to gas exports to Israel. 

 

Egyptian MPs voted by a show of hands on the text of a report, which was compiled by the Arab Affairs Committee of the People's Assembly (lower house of parliament). 

 

“Revolutionary Egypt will never be a friend, partner or ally of the Zionist entity, which we consider to be the number one enemy of Egypt and the Arab nation,” the report declared, adding, “It will deal with that entity as an enemy, and the Egyptian government is hereby called upon to review all its relations and accords with that enemy.” 

 

According to the results of an opinion poll conducted by Synovate for Press TV and published on October 3, 2011, an overwhelming majority of Egyptians oppose the terms of the country's gas deal with Israel. 

 

In the poll, seventy-three percent of the respondents said they were opposed to gas exports to Israel. Only 9 percent said they approved of Egypt supplying gas to Israel, and 12 percent had no opinion.