In breach of Israeli law, which limits Palestinian Authority (PA) activities to areas under its control in Judea and Samaria, the PA officially compensates Arab residents of East Jerusalem whose illegally constructed homes are demolished by Israeli authorities, typically led by the Jerusalem Municipality. The Palestinian Authority provides a standard compensation of NIS 52,000, or 15,000 Dollars, for each illegally constructed home demolished. For each illegal commercial building demolished, the compensation may reach $30,000–$40,000 (approximately 100,000 shekels).
According to data published yesterday by Regavim, the Palestinian Authority disbursed around 35 million shekels in official compensation to East Jerusalem construction violators between 2018 and 2023.
This estimate is based on official demolition records. Additionally, the PA provides financial assistance, funding lawyers, appraisers, and architects to support East Jerusalem Arabs in dealings with Jerusalem's planning and demolition authorities. Since the reunification of Jerusalem in 1967, tens of thousands of housing units and extensions have been illegally constructed in the city's Arab sector, in violation of Israeli law, with only a minimal fraction of them demolished.
The entity responsible for these activities is the Jerusalem Affairs Ministry, headed by the PA's Minister for Jerusalem Affairs, Ashraf Awad. The ministry's stated vision is to "support and strengthen geographic and demographic steadfastness in Jerusalem, with the aim of reinforcing and deepening Jerusalem's significance as the capital of an independent Palestinian state… and preserving the Palestinian and Arab identity of the city."
Despite the agreement it signed and in direct violation of the Interim Agreement Implementation Law, which prohibits the Palestinian Authority from engaging in political or governmental activities within Israel's borders, the PA has been operating its Jerusalem Affairs Ministry for years. The ministry collects taxes, issues permits for real estate transactions in East Jerusalem, is involved in the municipal education system, and provides payments to East Jerusalem families whose members are involved in terrorism.
Signed by Mahmoud Abbas
The compensation program for construction offenders, which Regavim is now working to thwart, was approved by Palestinian Authority President, Mahmoud Abbas. Internal PA documents reveal a structured, multi-year process designed to enable those whose homes are demolished to secure alternative housing. The Red Cross and the UN Office for the Coordination of Humanitarian Affairs (OCHA) are involved in the process, visiting sites post-demolition to evaluate damages and aid in completing forms submitted to the Palestinian Authority.
Regavim supports legislation to deduct compensation payments from PA tax revenues under a fixed mechanism and advocates for a criminal ban on PA institutions operating in the city, including private organizations, contractors, and consultants. They also call for the establishment of an inter-ministerial task force to combat this phenomenon, in collaboration with the Shin Bet, the National Security Council, the Jerusalem Municipality, the Justice Ministry and the Enforcement Authority.
Last week, the Knesset's National Security Committee discussed amendments proposed by MK Yitzhak Kroizer to the existing law. These amendments aim to impose significant penalties on PA officials operating in Jerusalem and grant the National Security Minister authority to enforce the prohibition on establishing PA, Fatah, or PLO representations in the city.
Yehuda Na'am, Jerusalem coordinator for the Regavim movement, said: "We must acknowledge that there is a battle over control of Jerusalem, and a policy of restraint and indifference is not an option. Alongside the inciting educational materials in East Jerusalem schools, it turns out that the Palestinian Authority is operating a well-oiled payment system and is daily entrenching its grip on the capital. We must wake up."
