Promoting the role of Israel's environmental technologies in the international market Online publication date: Tue, 17-Jul-2007
by Ofira Ayalon, Doron Lavee
International Journal of Business Environment (IJBE), Vol. 1, No. 4, 2007
Abstract: Environmental Technologies (ETs) can contribute to economic growth, environmental quality improvement and protection of resources. The world market for ETs is more than 200 billion dollars a year, and one of the fastest growing markets in the world. Israel has a well-established technological knowledge base and a leading reputation, especially in the fields of water and renewable energy. Despite this potential, the Israeli ET industry accounts for less than 0.5% of the total world production. The study analyses the advantages and weaknesses of the Israeli environmental technology industry and pinpoints the major reason that this potential has not been realised. Administrative and economic means to overcome these weaknesses and promote this industry are proposed. Government intervention in the field would enable Israel to capture 3.6% of the world's ET market by 2010, increasing revenues by $US3 billion, compared with the business-as-usual scenario, and creating some 10,000 jobs. It is projected that within about six years of government intervention in the industry, the benefits will exceed the costs.
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