Newsletter
12.05.2026
AYR Advises Bazan Group in Landmark High Court Proceedings Concerning Emergency Reconstruction of Strategic Energy Facilities
About Related practices

Our Planning and Construction Department advised Bazan Group in connection with the approval of a special order issued by Israel’s Minister of the Interior granting an exemption from the requirement to obtain a building permit for the reconstruction of Bazan’s facilities damaged during Operation Rising Lion. Our team also represented Bazan throughout the proceedings before the National Planning and Building Council.

The order, signed by the Prime Minister, was challenged in two petitions before the Israeli High Court of Justice – one filed by the Haifa Municipality and the other by several environmental organisations. The petitioners sought to invalidate the order and requested interim relief preventing reconstruction works. No interim injunction was granted.

Following a hearing before a three-judge panel, the Court recommended that the environmental organisations withdraw their petition without an order for costs, and the petition was accordingly dismissed. The Haifa Municipality chose to pursue its petition.

In a reasoned judgment, the High Court rejected the Municipality’s petition in its entirety, holding that the reconstruction project was of national importance and urgency, given Bazan’s critical role in supplying a substantial portion of Israel’s fuel production and the need to ensure operational and energy continuity during times of emergency.

The Court confirmed that the exemption order had been lawfully issued and found no basis for interfering with the professional judgment of the competent authorities, including the National Planning and Building Council, which had recommended granting the exemption to facilitate the prompt reconstruction of the damaged facilities.

The judgment further held that the order satisfied the statutory requirements for granting an exemption from a building permit in exceptional circumstances. It confirmed that the decision-making process had included a comprehensive assessment of alternative solutions and all relevant planning and environmental considerations. The Court also emphasised that the project involved the temporary replacement of damaged facilities rather than the expansion of the existing power station, and therefore did not conflict with National Outline Plan 75 (NOP 75) or the long-term planning framework for the future evacuation of the Bazan complex.

The Court further noted that, according to the Ministry of Environmental Protection, the new technology is expected to reduce nitrogen oxide emissions compared with the facilities damaged in the missile attack, and that the exemption order incorporates dedicated environmental safeguards and monitoring mechanisms.

Bazan was represented by AYR’s Planning and Construction Department through Adv. Yacov Cohen, Head of the Department, together with Adv. Orly Vidan and Adv. Tamir Tabib, in collaboration with Meitar Law Offices, represented by Adv. Nadav Weissman, Adv. Idan Laron and Adv. Shahar Azulay.

Read the media coverage in Merkaz HaNadlan, Bizportal and Yedioth Haifa & HaTzafon.