The Knesset’s Economic Affairs Committee, chaired by MK David Bitan, approved today (Monday) in its second and third readings the water pricing plan for agriculture, aimed at helping farmers reduce cultivation costs. Simultaneously, a multi-year investment plan totaling approximately NIS 3.5B will be launched to develop and upgrade water infrastructure in Israel, specifically in the field of treated wastewater (effluent).
Investment in wastewater infrastructure will improve the availability of effluent for farmers, which is cheaper than freshwater, and according to the Water Authority, will reduce expenses for agricultural producers. The authority also stated that the gradual price adjustment over several years will lower water tariffs for consumers using wastewater from the Shafdan facility in the Tekuma region and for other farmers, depending on the availability of treated wastewater. This shift is expected to increase agricultural use of effluent instead of freshwater.
Currently, Israel is a global leader in the use of treated wastewater for agriculture, with approximately 85% of all effluent directed to agricultural consumption. The planned investments will further expand the use of these water sources, which are growing in demand due to population increase.
As part of the plan, different consumption areas will be connected, and a national wastewater carrier will be established—an infrastructure project that will maximize the utilization of treated wastewater for agriculture while reducing reliance on natural water sources or desalinated seawater, which are required to meet the rising demand caused by population growth. The carrier will link major wastewater treatment facilities to agricultural consumption zones across the country.
The Water Authority stated: “These investments are being promoted as part of the Water Authority’s goals to maximize water sources for agriculture while implementing a tiered freshwater pricing model. The primary aim is to encourage agricultural consumers to use reclaimed water, thereby reducing overall agricultural water costs, increasing long-term planning certainty in the sector, and contributing to Israel’s food security.”
Energy Minister and Infrastructure, Eli Cohen, said: “The national wastewater carrier is a historic milestone for Israel’s water sector. It will support farmers across Israel, particularly in peripheral areas, by lowering water expenses and assisting in the fight against the rising cost of living. I thank the committee chairman, MK David Bitan, for advancing the allocation of essential resources, as well as Agriculture Minister Avi Dichter, Water Authority Director Yehezkel Lifshitz, Energy Ministry Director-General Yossi Dayan, and MK Sasson Guetta for their cooperation in supporting farmers and all Israeli citizens.”
Water Authority Director Yehezkel Lifshitz stated: “The approved plan maintains a balance between the agricultural and household water needs while ensuring long-term planning for water infrastructure and the necessary investments in the coming years. Implementing the plan will significantly increase the supply of treated wastewater for agriculture in the coming years, alongside expanding investments in the water sector.”
Energy and Infrastructure Ministry Director-General Yossi Dayan added: “The water plan for farmers is a historic event that for the first time formulates a long-term strategy for agriculture. It will reduce dependence on freshwater, enhance the stability of Israel’s water economy, and lower water costs for farmers. This is a strategic infrastructure investment that will contribute to food security and strengthen Israel’s water sector while maintaining a proper balance between household and agricultural consumption needs. Additionally, the national wastewater carrier is a key component in improving efficiency in Israel’s water sector. I commend the dedication and determination of all those involved in advancing this crucial initiative for farmers and the country’s water economy.”