Bombed Gaza power plant investor insured by US development agency

A building in Gaza destroyed by ongoing airstrikes. Photo by: Mohammed Al Baba / Oxfam / CC BY-NC-ND

The Overseas Private Investment Corp., a U.S. government agency that offers investment services to assist U.S. companies investing in developing countries, provides political risk insurance to U.S. general contractor Morganti to cover its investment in the Gaza power plant that was bombed and destroyed by Israel on Tuesday.

“The investor has notified OPIC that the facility in question has been damaged,” Charlie Stadtlander, a representative for OPIC, told Devex in a written statement. “As of this writing, no official insurance claim has been filed,” Stadtlander added.

OPIC’s coverage plan, which has been in place since 2004, is worth up to $48 million.

This is the second time the plant has been targeted and damaged since the U.S. agency began providing insurance for Morganti’s investment. Israel also bombed and damaged the plant in 2006.

At that time, Morganti “notified OPIC of damage to the power plant … did not file a claim seeking OPIC compensation,” Stadtlander told Devex.

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About the author

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    Michael Igoe

    Michael Igoe is a Senior Reporter with Devex, based in Washington, D.C. He covers U.S. foreign aid, global health, climate change, and development finance. Prior to joining Devex, Michael researched water management and climate change adaptation in post-Soviet Central Asia, where he also wrote for EurasiaNet. Michael earned his bachelor's degree from Bowdoin College, where he majored in Russian, and his master’s degree from the University of Montana, where he studied international conservation and development.