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Economic Plan Law (Legislative Amendments for the Implementation of the Economic Policy for the Budget Years 2017 and 2018), 5777-2016

חוק התכנית הכלכלית (תיקוני חקיקה ליישום המדיניות הכלכלית לשנות התקציב 2017 ו-2018), תשע"ז-2016

Published: 2016-12-29Last amended 2026-03-31✓ Amendment status checked against the Knesset legislation record on 2026-09-17
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Unofficial English translation — for reference only. It may contain errors or omissions and cannot be relied on as a legal text. Only the Hebrew text published in Reshumot is legally binding.More

This English text was translated from the official Hebrew using a range of translation tools, and it undergoes ongoing checks and updates. It is not a certified translation.

Despite these checks, it may contain errors, omissions, or imprecise renderings of legal terminology and cross-references, and it may not yet reflect the latest amendments. It cannot be relied upon as a legal text.

The Hebrew text as published in Reshumot (ספר החוקים) and on the Knesset website is the sole authoritative and legally binding version. In any discrepancy, the Hebrew text prevails.

This translation is provided for informational purposes only and does not constitute legal advice. For use in legal proceedings, request a certified Expert Legal Opinion.

Table of Contents

Chapter I: Purpose of the Law

Chapter II: Regulation of the Cosmetics Sector

Chapter III: Local Authorities

Chapter IV: Shared Ride Service

Chapter V: Energy

Chapter VI: Business Licensing

Chapter VII: Water and Sewerage

Chapter VIII: Communications

Chapter IX: Promotion of Competition in Retail Credit

Chapter X: Removal of Barriers to the Implementation of National Infrastructure Projects

Chapter XI: Planning and Building

Chapter XII: Standardisation

Chapter XIII: Miscellaneous

Chapter XIV: Commencement

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Chapter I: Purpose of the Law

Purpose§

1.

This Law comes to amend various laws with the aim of strengthening growth in the economy, increasing the level of competition therein, reducing the cost of living in Israel and narrowing the economic inequality existing in the economy, all in accordance with the budget targets and economic policy for the years 2017 and 2018.

Chapters II to IX, part of Chapter X, and Chapters XI to XIII contain indirect legislative amendments. The full text may be viewed on the site under "Reshumot (Official Gazette) – Sefer HaHukim (Book of Laws)". Attention should be paid to later amendments that may be made to some of these sections.

18.§

(Repealed — תשפ״ה)

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Chapter X: Removal of Barriers to the Implementation of National Infrastructure Projects

Section B: Expansion of the Powers of the Infrastructure Coordination Committee

Definitions – Section B§
38.

In this Section –

"distribution licence holder" – as defined in the Natural Gas Sector Law;

"infrastructure holder" – any of the following:

(1)an infrastructure holder as defined in section 55a of the Natural Gas Sector Law;
(2)a distribution licence holder;
(3)a communications infrastructure holder;
(4)an operating entity;

"communications infrastructure holder" – a holder of a Bezeq licence to whom powers have been granted pursuant to section 4(f) of the Communications Law (Bezeq and Broadcasting), 5742-1982, or a person registered in the register as defined in that Law to whom powers have been granted pursuant to the said section as applied in section 4a1(h) of the said Law;

"non-public infrastructure body" –

(a)any of the following, that is not a government company:
(1)an infrastructure builder, other than a builder of a national infrastructure project as defined in paragraph (2) of the definition "builder of a national infrastructure project";
(2)a communications infrastructure holder;
(3)a distribution licence holder;
(b)an operating entity that is not a State-controlled company;

"operating entity" – as defined in the Oil Pipeline and Storage Infrastructure (Operating Entity) Law, 5777-2017;

"Natural Gas Sector Law" – the Natural Gas Sector Law, 5762-2002;

"national infrastructure project" – a project that the Government has decided is a national infrastructure project, provided that the estimated cost of the project exceeds NIS 2 billion;

"builder of a national infrastructure project" – any of the following:

(1)a holder of a concession to build a national infrastructure project;
(2)an authority established by law, a government company or a municipal company, with which the Government has contracted for the purpose of building a national infrastructure project;

"railway builder" – as defined in section 14a of the Railways Ordinance [New Version], 5732-1972;

"infrastructure builder" – any of the following:

(1)a railway builder;
(2)a builder of a national infrastructure project;

"control" – as defined in the Natural Gas Sector Law.

Expansion of the Powers of the Infrastructure Coordination Committee§
39.
(a)The Infrastructure Coordination Committee established pursuant to section 55b of the Natural Gas Sector Law (in this section – the Committee) shall be competent, in addition to its powers under Section D of Chapter V of the Natural Gas Sector Law, to adjudicate disputes between an infrastructure builder and an infrastructure holder, as well as disputes between infrastructure builders or disputes between infrastructure holders, all in matters set out in section 59v(a) of the Government Companies Law, 5735-1975, in accordance with the provisions of this Section, provided that if a party to the dispute is a non-public infrastructure body, its written consent to bring the dispute before the Committee for adjudication has been given.
(b)Notwithstanding the provisions of subsection (a) –
(1)the Committee's powers as referred to in that subsection in respect of a dispute between a builder of a national infrastructure project as defined in paragraph (1) of the definition "builder of a national infrastructure project" and an infrastructure holder or another infrastructure builder shall apply only insofar as the dispute relates to the national infrastructure project;
(2)the Committee's powers as referred to in that subsection in respect of a dispute between a railway builder who is a non-public infrastructure body and an infrastructure holder or another infrastructure builder shall apply only insofar as the dispute relates to the railway;
(3)the Committee's powers as referred to in that subsection in respect of a dispute between an operating entity and another infrastructure holder or an infrastructure builder shall apply only insofar as the dispute relates to the activity of the operating entity; for this purpose, ""activity", of an operating entity" – as defined in the Oil Pipeline and Storage Infrastructure (Operating Entity) Law, 5777-2017;
(4)the Committee's powers as referred to in that subsection in respect of a dispute relating to the Metro project as defined in the Underground Railway (Metro) Law, 5782-2021, shall be in accordance with the provisions of Chapter VI of the said Law;
(5)where all the parties to the dispute are infrastructure companies as defined in the Government Companies Law, 5735-1975, the provisions of Chapter VIII-C of the said Law shall apply to the dispute.
(c)The provisions of sections 55b(d) and 55c to 55f of the Natural Gas Sector Law shall apply to the Committee in the exercise of its powers in connection with disputes as referred to in subsection (a), to the disputes as referred to therein and to the parties to the dispute, as the case may be, with the necessary modifications and with these modifications:
(1)in section 55b –
(a)(deleted);
(b)in subsection (d), instead of "a distribution licence holder that is not a government company" read "a non-public infrastructure body", instead of "that the distribution licence holder" read "that the non-public infrastructure body", instead of "an infrastructure holder as referred to in subsection (a)" read "an infrastructure holder", and everywhere, instead of "the distribution licence holder" read "the non-public infrastructure body";
(2)(deleted);
(3)in section 55e –
(a)in paragraph (1), instead of sub-paragraph (b) read:

"(b) "infrastructure company" – an infrastructure holder as defined in section 38 of the Economic Plan Law (Legislative Amendments for the Implementation of the Economic Policy for the Budget Years 2017 and 2018), 5777-2016, or an infrastructure builder as defined in the said section, as the case may be;";

(b)in paragraph (3), instead of ""or of a distribution licence holder"" read ""or of an infrastructure builder who is a party to the dispute"";
(c)in paragraph (4), instead of ""or on a distribution licence holder who is a party to the dispute"" read ""or on an infrastructure builder who is a party to the dispute"";
(d)instead of paragraph (5) read:

"(5) in section 59ad –

(a)in subsection (c), instead of "its members" read "those present at the meeting";
(b)in subsection (d), at the end read "however, nothing in the foregoing shall derogate from a duty of confidentiality under any law";
(4)in section 55f –
(a)in subsection (a), instead of "the Minister may" read "the Minister of Finance may" and instead of "the Minister may" read "the Minister of Finance may";
(b)in subsection (b), the words "with the consent of the Minister of Finance" shall not be read, and instead of "from the date on which the Minister applied to him" read "from the date on which the Minister of Finance applied to him".
Savings Provisions§
40.

Nothing in the provisions of this Section shall derogate from the provisions of any law; disputes within the jurisdiction of the Committee under the provisions of Section D of Chapter V of the Natural Gas Sector Law shall not be dealt with under the provisions of this Law but under the provisions of the said Section; however, if a party to the dispute is an infrastructure company as defined in the Natural Gas Sector Law, which is also an operating entity, the following provisions shall apply to the dispute:

(1)the Committee's powers shall apply only if the dispute relates to the activity of the operating entity; for this purpose, ""activity", of an operating entity" – as defined in the Oil Pipeline and Storage Infrastructure (Operating Entity) Law, 5777-2017;
(2)there shall be added to the members of the Committee a member who is an employee of the Ministry of Finance, to be appointed by the Minister of Finance, and an observer who is an employee of the Ministry of Energy and Infrastructure, to be appointed by the Minister of Energy and Infrastructure;
(3)section 55e(5) of the Natural Gas Sector Law shall be read in accordance with the provisions of section 39(c)(3)(d), as worded in section 27 of the Oil Pipeline and Storage Infrastructure (Operating Entity) Law, 5777-2017.
Chapter X – Transitional Provision§
41.

Notwithstanding the provisions of section 55b(d) of the Natural Gas Sector Law as applied in section 39(c)(1)(b) of this Law, a distribution licence holder that is not a government company who, on the eve of the commencement date of this Law, applied to the Committee in respect of a dispute to which it is a party for adjudication of the dispute with an infrastructure holder over which the Committee is competent to adjudicate under the Natural Gas Sector Law, or agreed to bring any dispute with an infrastructure holder before the Committee for adjudication, shall continue to have the provisions of section 55b(d) of the Natural Gas Sector Law apply to its application to the Committee or its said consent, as the case may be, and such holder shall not be regarded as having agreed to bring any dispute with an infrastructure holder or infrastructure builder before the Committee in accordance with its powers under this Section.

Planning and Building Law – Temporary Provision§
42.
(a)During a period of two years from the commencement date of this Law, the definition "road installations" in section 1 of the Planning and Building Law, 5725-1965, shall be read so that at the end thereof there shall be added "and a structure intended for the control and monitoring of a project whose purpose is the replacement of signalling along the railway route between Nahariya and Shefayim, within a national railway as defined in the Railways Ordinance [New Version], 5732-1972 (in this section – the new structure)", provided that the following provisions shall apply:
(1)the new structure shall be built in place of an existing structure serving for control and monitoring (in this section – the existing structure) and adjacent to the location of the existing structure;
(2)the existing structure shall be demolished and its area rehabilitated, as soon as possible after the completion of the new structure;
(3)the total area permitted for construction of the new structure shall not exceed 200 square metres and its height shall not exceed 4.2 metres;
(4)the new structure shall not be within the coastal environment as defined in the Coastal Environment Protection Law, 5764-2004.
(b)The operator of a national railway as defined in the Railways Ordinance [New Version], 5732-1972, shall submit to the Economics Committee of the Knesset, during the period prescribed in subsection (a), every six months, a report on the location, size and height of all new structures that have been erected and existing structures that have been demolished during the reporting period under the provisions of the Planning and Building Law, 5725-1965, as worded in the said subsection; the first report to the Economics Committee of the Knesset shall be submitted at the end of six months from the commencement date of this Law.
Commencement§
55.

This Law shall come into force on the 3rd of Tevet 5777 (1 January 2017) unless otherwise provided therein.

Benjamin Netanyahu Moshe Kahlon

Prime Minister Minister of Finance

Reuven Rivlin Yuli-Yoel Edelstein

President of the State Speaker of the Knesset

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חוק התכנית הכלכלית (תיקוני חקיקה ליישום המדיניות הכלכלית לשנות התקציב 2017 ו-2018), תשע"ז-2016

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