Arava Power Company
Encyclopedia
David Rosenblatt of New Jersey, Ed Hofland of Kibbutz Ketura, and Yosef Abramowitz
Yosef Abramowitz
Yosef Abramowitz is a Jewish social and business entrepreneur. He has been classified as a “[Jewish] leader and innovator”.-Biography:Yosef Abramowitz, a human rights activist, environmentalist, educator, investor and entrepreneur, was named by The Jerusalem Post in 2011 as the 26th most...

 founded the Arava Power Company on Kibbutz Ketura in the Arava Valley
Arabah
The Arabah , also known as Aravah, is a section of the Great Rift Valley running in a north-south orientation between the southern end of the Sea of Galilee down to the Dead Sea and continuing further south where it ends at the Gulf of Aqaba. It includes most of the border between Israel to the...

 in 2006. APC has declared that its mission is to supply Israel
Israel
The State of Israel is a parliamentary republic located in the Middle East, along the eastern shore of the Mediterranean Sea...

 with 10% of its energy needs through clean, renewable solar energy. On June 5, 2011, APC inaugurated Israel’s first solar field, Ketura Sun
Ketura Sun
Ketura Sun is Israel’s first commercial solar field. Built in early 2011 by the Arava Power Company on Kibbutz Ketura, Ketura Sun covers twenty acres and is expected to produce green energy amounting to 4.95 megawatts. The field consists of 18,500 photovoltaic panels made by Suntech, which will...

, on Kibbutz Ketura. The Arava Power Company was founded with the Zionistic ideals of helping Israel
Israel
The State of Israel is a parliamentary republic located in the Middle East, along the eastern shore of the Mediterranean Sea...

 by reducing carbon emissions
Greenhouse gas
A greenhouse gas is a gas in an atmosphere that absorbs and emits radiation within the thermal infrared range. This process is the fundamental cause of the greenhouse effect. The primary greenhouse gases in the Earth's atmosphere are water vapor, carbon dioxide, methane, nitrous oxide, and ozone...

, making use of a natural and readily available resource, and gaining energy independence.

Ben Gurion’s Vision

Arava Power Company cites Israel’s
Israel
The State of Israel is a parliamentary republic located in the Middle East, along the eastern shore of the Mediterranean Sea...

 first Prime Minister
Prime Minister of Israel
The Prime Minister of Israel is the head of the Israeli government and the most powerful political figure in Israel . The prime minister is the country's chief executive. The official residence of the prime minister, Beit Rosh Hamemshala is in Jerusalem...

, David Ben Gurion
David Ben-Gurion
' was the first Prime Minister of Israel.Ben-Gurion's passion for Zionism, which began early in life, led him to become a major Zionist leader and Executive Head of the World Zionist Organization in 1946...

, as an inspiring figure for the vision of the company. It was Ben Gurion who first made the prediction that solar energy would be an invaluable resource
Natural resource
Natural resources occur naturally within environments that exist relatively undisturbed by mankind, in a natural form. A natural resource is often characterized by amounts of biodiversity and geodiversity existent in various ecosystems....

 for Israel
Israel
The State of Israel is a parliamentary republic located in the Middle East, along the eastern shore of the Mediterranean Sea...

. In 1956 Ben Gurion said: "The largest and most impressive source of energy in our world and the source of life for every plant and animal, yet a source so little used by mankind today is the sun... Solar energy will continue to flow toward us almost indefinitely."
At the launch of APC’s first solar field, Ketura Sun
Ketura Sun
Ketura Sun is Israel’s first commercial solar field. Built in early 2011 by the Arava Power Company on Kibbutz Ketura, Ketura Sun covers twenty acres and is expected to produce green energy amounting to 4.95 megawatts. The field consists of 18,500 photovoltaic panels made by Suntech, which will...

, staff and guests wore T-shirts that with a drawing of Ben Gurion’s iconic profile. Ketura Sun features the Solar Canvas™, an innovative piece of art that covers the entire solar field, which was designed and developed for the Arava Power Company by artist Danny Lavie. To honor the vision and leadership of David Ben Gurion, Arava Power has chosen his image as the symbol for the first Israeli solar field.

Technology

Arava Power Company uses photovoltaic (PV)
Photovoltaics
Photovoltaics is a method of generating electrical power by converting solar radiation into direct current electricity using semiconductors that exhibit the photovoltaic effect. Photovoltaic power generation employs solar panels composed of a number of solar cells containing a photovoltaic material...

 solar panels that are made by the China
China
Chinese civilization may refer to:* China for more general discussion of the country.* Chinese culture* Greater China, the transnational community of ethnic Chinese.* History of China* Sinosphere, the area historically affected by Chinese culture...

-based company Suntech
Suntech Power
Suntech Power Holdings Co., Ltd. is the world's largest producer of solar panels, with 1,800MW of annual production capacity by the end of 2010. With offices or production facilities in every major market, Suntech has delivered more than 13,000,000 solar panels to thousands of companies in more...

. APC’s solar fields are only to be built on land already reserved for agricultural or industrial use.

Finances

Bank Hapoalim
In December 2010 Bank Hapoalim
Bank Hapoalim
Bank Hapoalim is Israel’s largest bank. As of 31 December 2008 it had total consolidated assets of NIS 306.85 billion. The Bank has a significant presence in global financial markets. In Israel, the Group has over 260 full-service branches, eight regional business centers, and industry desks...

 signed an agreement with Arava Power to extend a loan of 80 million NIS to APC in order to fund the Ketura Sun project (valued at ~100 million NIS).

Siemens
In August 2008, Siemens Project Ventures
Siemens
Siemens may refer toSiemens, a German family name carried by generations of telecommunications industrialists, including:* Werner von Siemens , inventor, founder of Siemens AG...

 invested $15 million in the Arava Power Company. In a press release published that month, Peter Löscher
Peter Löscher
Peter Löscher is an Austrian manager and former President, Global Human Health at global pharmaceutical company Merck & Co. He was appointed Chief Executive Officer of Siemens AG on May 20, 2007 as the successor of Klaus Kleinfeld, and was selected to take on the new position on July 1, 2007...

, President and CEO of Siemens AG said: “This investment is another consequential step in further strengthening our green and sustainable technologies”. Siemens now holds a 40% stake in the company.

Partnership with Israeli Bedouins

The Arava Power Company has signed multiple agreements with Bedouin
Bedouin
The Bedouin are a part of a predominantly desert-dwelling Arab ethnic group traditionally divided into tribes or clans, known in Arabic as ..-Etymology:...

 families in the Negev
Negev
The Negev is a desert and semidesert region of southern Israel. The Arabs, including the native Bedouin population of the region, refer to the desert as al-Naqab. The origin of the word Neghebh is from the Hebrew root denoting 'dry'...

 desert to build solar fields on approximately 92 acres of land, with a production capability of up to 20 megawatts. APC has been lobbying the Israeli government to create separate solar caps for Bedouins.
The decision to operate in the Bedouin sector stems from several factors:
  • A desire to help the Bedouin community benefit from governmental incentives that promote renewable energy
    Renewable energy
    Renewable energy is energy which comes from natural resources such as sunlight, wind, rain, tides, and geothermal heat, which are renewable . About 16% of global final energy consumption comes from renewables, with 10% coming from traditional biomass, which is mainly used for heating, and 3.4% from...

     in the Arava
    Arabah
    The Arabah , also known as Aravah, is a section of the Great Rift Valley running in a north-south orientation between the southern end of the Sea of Galilee down to the Dead Sea and continuing further south where it ends at the Gulf of Aqaba. It includes most of the border between Israel to the...

     and Negev
    Negev
    The Negev is a desert and semidesert region of southern Israel. The Arabs, including the native Bedouin population of the region, refer to the desert as al-Naqab. The origin of the word Neghebh is from the Hebrew root denoting 'dry'...

     deserts.
  • Establishment of solar fields will provide livelihood and employment for people living in this land, who suffer from high unemployment rates.
  • Establishment of the fields will provide a permanent source of income for the Bedouin community for a period of at least 20 years. The Israel Electric Corporation
    Israel Electric Corporation
    Israel Electric Corporation is the main supplier of electrical power in Israel.IEC builds, maintains and operates power generation stations, sub-stations, as well as the transmission and distribution networks....

     is obligated by law to buy privately produced electricity at a predictable and fixed cost.
  • Construction of solar sites in this area will develop the region’s infrastructure.

In January 2011, Musa Abu Karinat, an Israeli Bedouin who has signed an agreement with Arava Power, told Haaretz newspaper: “Our village has proper electricity infrastructure, so we don’t need the plant for electricity for the village. Our goal is to build a solar farm on private land owned by a particular family, and to sell the energy it will produce to the national energy grid.”

Regulatory Success

Before 2006, Israel had very few government regulations and statutes regarding solar energy. This made it difficult to build solar fields in Israeli territory. Twenty-three individual government offices are involved in solar energy. When Arava Power Company was founded, they “identified 25 key decisions that would have to be won in order to create a vibrant solar industry.” Of their success in working with governmental offices to move the solar industry forward, APC has said: “Arava Power has been the primary catalyst in the winning of all twenty-five key decisions, from the Prime Minister's Office to the local planning board.”
“Arava Power's next regulatory goals are to:
  • Increase the cap on medium size fields from 300 MW to 1,500 MW
  • Pass a tariff for large fields up to 50 MW of 1.40 nis and a cap of 1000 MW
  • Improve the tax benefits to solar developers

Ensure the building of transmission lines from the south to the center of the country
  • Rationalize the policies of the Israel Lands Authority to promote solar power.
  • The passage of a renewable energy law by the Knesset with a 20% renewable goal of bringing Israeli into line with the European Union.”


Power Purchase Agreement

On November 21, 2010, Minister of National Infrastructure, Uzi Landau
Uzi Landau
Uzi Landau is an Israeli politician, member of the Knesset for Yisrael Beiteinu and Minister of National Infrastructure. Previously a Likud MK, he served as Minister of Internal Security between 2001 and 2003.-Biography:...

, signed a Power Purchase Agreement
Power Purchase Agreement
Power Purchase Agreements are contracts between two parties, one who generates electricity for the purpose of sale and one who is looking to purchase electricity . There are various forms of Power Purchase Agreements; these are differentiated by the source of energy harnessed...

 with Ketura Sun Company (owned by Arava Power Company) worth an estimated 250 million NIS. The agreement is valid for twenty years and guarantees that the energy produced at Ketura Sun will be transferred to the Israel Electric Corporation’s
Israel Electric Corporation
Israel Electric Corporation is the main supplier of electrical power in Israel.IEC builds, maintains and operates power generation stations, sub-stations, as well as the transmission and distribution networks....

 power lines. It is the first PPA in Israel with a solar energy company.

Corporate Social Responsibility

Arava Power Company is committed to corporate social responsibility
Corporate social responsibility
Corporate social responsibility is a form of corporate self-regulation integrated into a business model...

. Within the Torah
Torah
Torah- A scroll containing the first five books of the BibleThe Torah , is name given by Jews to the first five books of the bible—Genesis , Exodus , Leviticus , Numbers and Deuteronomy Torah- A scroll containing the first five books of the BibleThe Torah , is name given by Jews to the first five...

’s rules for Tzedakah
Tzedakah
Tzedakah or Ṣ'daqah in Classical Hebrew is a Hebrew word commonly translated as charity, though it is based on the Hebrew word meaning righteousness, fairness or justice...

(charitable giving) is the law of Pe'ah
Pe'ah
Pe'ah is the second tractate of Seder Zeraim of the Mishnah and of the Talmud. The tractate is a fitting continuation of Seder Zeraim. Following the initial subject of blessings and benedictions, instilling an attitude of reverence and gratitude, this tractate begins the discussion of the main...

. Pe’ah requires that the four corners of any field be left untouched by harvesters and saved for the poor to glean. Arava Power Company is giving Pe’ah a modern twist, dedicating the four corners of the Ketura Sun solar field to four different non-profit organizations that will benefit from the funds earned by each corner for the next 20 years.
The four organizations chosen by Arava Power are:
  • Jewish Heart for Africa
    Jewish Heart for Africa
    Jewish Heart for Africa is a non-profit 501 organization that brings sustainable Israeli technologies to rural African villages. Since the launch of Project Sol in 2008, they have completed more than 38 solar projects in Ethiopia, Tanzania, Uganda and Malawi, providing light to schools, clinics and...

    : An organization which uses Israeli solar systems to power African schools, medical clinics, orphanages and solar powered water pumping systems.
  • Bustan
    Bustan (organization)
    Bustan is a joint Israeli-Palestinian non-profit organization of eco-builders, architects, academics, and farmers who promote environmental and social justice in Israel/Palestine...

    : “An NGO that works with the Bedouin
    Bedouin
    The Bedouin are a part of a predominantly desert-dwelling Arab ethnic group traditionally divided into tribes or clans, known in Arabic as ..-Etymology:...

     of the Negev for fair resource allocation, including renewable energy, as well as social and environmental justice for all peoples in the region.”
  • Elie Weisel Foundation for Humanity:
    Elie Wiesel
    Sir Eliezer "Elie" Wiesel KBE; born September 30, 1928) is a Hungarian-born Jewish-American writer, professor, political activist, Nobel Laureate, and Holocaust survivor. He is the author of 57 books, including Night, a work based on his experiences as a prisoner in the Auschwitz, Buna, and...

     “The Foundation's mission is to combat indifference, intolerance and injustice through international dialogue and youth-focused programs that promote acceptance, understanding and equality.”
  • Red Mountain Therapeutic Riding Center: Located South of Ketura Sun, the Riding Center at Kibbutz Grofit
    Grofit
    Grofit ) is a kibbutz near Eilat in the Arabah region in the far south of Israel. It falls under the jurisdiction of Hevel Eilot Regional Council.-History:...

     helps disabled children from the region who are in need of therapeutic riding.

Arava Power’s commitment to the law of Pe’ah has been made permanent with the placement of a statue of Ruth
Book of Ruth
The Book of Ruth is one of the books of the Hebrew Bible, Tanakh, or Old Testament. In the Jewish canon the Book of Ruth is included in the third division, or the Writings . In the Christian canon the Book of Ruth is placed between Judges and 1 Samuel...

 created by Kibbutz Ketura artist, Gil Aruch, at the entrance to the field. The biblical story of Ruth is one of tolerance, social-religious acceptance and justice. The Royal Tribe of Judah
Tribe of Judah
According to the Hebrew Bible, the Tribe of Judah was one of the Tribes of Israel.Following the completion of the conquest of Canaan by the Israelite tribes after about 1200 BCE, Joshua allocated the land among the twelve tribes....

 accepts Ruth the Moabite, the convert who comes from a foreign culture and enemy land. It was Ruth who originated the custom of pe’ah.

Innovative Thinking

Shyne
Rapper Shyne
Shyne
Moshe Levi Ben-David , better known by his stage name Shyne, is a Belizean rapper.-Background:...

 recently released a new song entitled “Solar Energy”. The rap was written with Arava Power Company’s president, Yosef Abramowitz, in honor of the inauguration of Ketura Sun
Ketura Sun
Ketura Sun is Israel’s first commercial solar field. Built in early 2011 by the Arava Power Company on Kibbutz Ketura, Ketura Sun covers twenty acres and is expected to produce green energy amounting to 4.95 megawatts. The field consists of 18,500 photovoltaic panels made by Suntech, which will...

, the first solar field in Israel
Israel
The State of Israel is a parliamentary republic located in the Middle East, along the eastern shore of the Mediterranean Sea...

. Shyne premiered the song on June 5, 2011, at the Ketura Sun launch.

Mayumana Dance Troupe
Arava Power partnered with Mayumana
Be by Mayumana
Mayumana is a multicultural troupe, established in 1996 in Tel Aviv, which developed a unique language based on skills, rhythm, visual effects and, above all – creativity and humor...

, an Israeli dance troupe, to create a promotional video for the Israel EcoCinema Festival. The video was used a second time as Arava Power Company’s video-invitation to the historic launch of Ketura Sun
Ketura Sun
Ketura Sun is Israel’s first commercial solar field. Built in early 2011 by the Arava Power Company on Kibbutz Ketura, Ketura Sun covers twenty acres and is expected to produce green energy amounting to 4.95 megawatts. The field consists of 18,500 photovoltaic panels made by Suntech, which will...

, the first solar field in Israel.
http://www.youtube.com/watch?v=VRe8Z_qCYb0
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