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The Politics of Oil

Energy independence for Israel is a double-edged sword. While the country wants to rely less on suppliers from the Middle East, autarchy might come at the price of a reduced American commitment in the Middle East.

The political developments in Egypt jeopardize important infrastructure that connects the North-African country with Israel, to which Egypt supplies two billion cubic meters of gas per year. The pipe is subject to a constant threat of terrorist attacks, and lately also to popular skepticism. Egyptian voters take issue with the discounts that Egypt offers Israel for gas deliveries.