The geopolitics of energy reconstruction: Who will rebuild the Middle East’s damaged energy systems?
In the Middle East, war often survives in the electricity grid long after it recedes from the battlefield. It persists through blackouts, fuel shortages, damaged substations, disrupted water supplies and hospitals forced to rely on generators for the basic requirements of life.
From Gaza and Syria to Lebanon and Yemen, energy systems have been destroyed, degraded or deprived of investment. Restoring them will require immense financial resources, advanced technology and sustained political coordination. Yet energy reconstruction is not simply an engineering or humanitarian undertaking. Decisions about who finances a power station, supplies its equipment, controls its software and maintains its operations can shape a country’s economic orientation and political relationships for decades.
The next phase of Middle Eastern energy diplomacy may therefore be defined not only by those who produce and export energy, but also by those with the capital and technology to rebuild it.
The next phase of Middle Eastern energy diplomacy may therefore be defined not only by those who produce and export energy, but also by those with the capital and technology to rebuild it.
Gaza and the politics of energy survival
Nowhere is the relationship between energy and political authority more visible than in Gaza.
Even before October 2023, Gaza’s electricity system met less than 35 per cent of demand. The 2026 Gaza Rapid Damage and Needs Assessment estimates that the energy sector has sustained approximately $565 million in physical damage and a further $164 million in economic losses.
Even before October 2023, Gaza’s electricity system met less than 35 per cent of demand. The 2026 Gaza Rapid Damage and Needs Assessment estimates that the energy sector has sustained approximately $565 million in physical damage and a further $164 million in economic losses.
More than 90 per cent of its energy infrastructure has reportedly been destroyed, including much of its distribution network and solar-generating capacity.
This destruction affects almost every component of civilian survival. Without reliable electricity, hospitals cannot operate safely, water cannot be pumped or desalinated, telecommunications remain vulnerable and businesses cannot resume normal activity. Restoring power is therefore a prerequisite for wider reconstruction rather than one sectoral project among many.
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The decisive question is whether Gaza’s former centralised and externally dependent electricity system will simply be restored or replaced with a more resilient architecture. Reconstructing the previous model would leave civilian life exposed to future restrictions on fuel, equipment and cross-border electricity supplies.
A more durable system would combine electricity imports with decentralised solar generation, battery storage and local microgrids serving........
