An Israeli navy vessel guards next to a water border marks in the Mediterranean sea next to Rosh Hanikra, near Haifa at the Israel-Lebanon border, 06 June 2022. EPA
An Israeli navy vessel guards next to a water border marks in the Mediterranean sea next to Rosh Hanikra, near Haifa at the Israel-Lebanon border, 06 June 2022. EPA
An Israeli navy vessel guards next to a water border marks in the Mediterranean sea next to Rosh Hanikra, near Haifa at the Israel-Lebanon border, 06 June 2022. EPA
An Israeli navy vessel guards next to a water border marks in the Mediterranean sea next to Rosh Hanikra, near Haifa at the Israel-Lebanon border, 06 June 2022. EPA

Hezbollah: 'consequences' if Israel maintains operations in disputed maritime field


Nada Homsi
  • English
  • Arabic

Israel should stop activity in disputed maritime gasfields until it has come to a clear border agreement with Lebanon in negotiations mediated by the US, Hezbollah leader Hassan Nasrallah said on Thursday.

Nasrallah called the presence of Israel's offshore gas production vessel, operated by Energean, an “aggression against Lebanon” and called for its owners and crew to “withdraw quickly or face consequences”.

“As Lebanon is waiting for the results of the negotiations, so too does the enemy need to wait,” he said in a speech.

The arrival of the ship last week angered Lebanese leaders, who maintain the ship is sailing too close to a gasfield partially claimed by Lebanon.

The argument is over the Karish offshore gasfield, which both Lebanon and Israel claim as part of their exclusive economic zones.

Lebanon’s caretaker prime minister Najib Mikati said on Tuesday that Israel was “encroaching on Lebanon's maritime wealth and imposing a fait accompli in a disputed area”.

Indirect negotiations about the countries’ maritime borders, mediated by the US, began in 2020 and are technically continuing but have made little progress.

Lebanon's Parliament Speaker Nabih Berri, right, meets US envoy for energy affairs Amos Hochstein in Beirut last year. AP
Lebanon's Parliament Speaker Nabih Berri, right, meets US envoy for energy affairs Amos Hochstein in Beirut last year. AP

The talks stalled before the arrival of the Energean vessel, after which Lebanese President Michel Aoun and Mr Mikati called on US special envoy for energy affairs, Amos Hochstein, to restart negotiations.

During the talks, Lebanon had expanded its territorial claim by about 1,400 square kilometres — from the “Line 23” maritime demarcation to “Line 29", under which the Karish gasfield falls.

The claim, known as Decree 6433, was never officially sent to the UN with the amended territorial declaration because it was never officially signed by Mr Aoun.

In April 2021, a draft to amend the decree was sent to Mr Aoun by then-caretaker prime minister Hassan Diab, which would officially expand Lebanon’s claim to Line 29.

It is unclear why the document was never signed by Mr Aoun, despite Lebanese leaders’ contention that their claim to Line 29 was rightful.

Leila Hatoum, an adviser to Mr Diab at the time, said Mr Aoun had sent the decree back to Cabinet under the pretext that it required an official session and approval.

But Ms Hatoum said a Cabinet session to amend the decree was not a constitutional requirement.

Energy expert Laury Haytayan thinks stalling the amendment of the decree was a diplomatic tactic.

“I think this was a kind of bargaining chip in his hand — saying, ‘I can sign the decree any time but I’m not going to’, in order to keep the door open for negotiations,” Ms Haytayan said.

Lebanon should block Israel from extracting gas from a disputed offshore field, Hezbollah leader Hassan Nasrallah said. AFP
Lebanon should block Israel from extracting gas from a disputed offshore field, Hezbollah leader Hassan Nasrallah said. AFP

Nasrallah said his party would not interfere with the demarcation of the maritime border.

“That issue is with the government,” said the leader of the Iran-backed movement.

Ms Haytayan said Lebanon’s expanded claim to Line 29 is simply a “maximalist” strategy to extract better concessions out of Israel to compensate for what many experts say is Beirut's “minimalist” claim over Line 23.

Mr Hochstein has repeatedly dismissed Lebanon’s claim to Line 29, calling on the country’s leaders to adopt a unified stance on maritime demarcation.

Hezbollah will not take part in negotiations, Nasrallah said, but it would follow them closely.

“We don’t fear war,” he said of Israel’s moves on the Karish gasfield, “but we don’t want war.”

Ms Haytayan maintained that Hezbollah’s speech is a push towards the continuance of negotiations.

“They’re saying we will not let Israel enjoy its gas if we can't use our gas,” she said.

Rather than go for Line 29, which is a non-starter for negotiations, Ms Haytayan said Lebanon should hire a company to conduct an official survey of the disputed area.

Then “they should request from Energean to ensure that the Karish gasfield is not crossing Line 23 — because if it does, we can stop it.”

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The squad traveling to Brazil:

Faisal Al Ketbi, Ibrahim Al Hosani, Khalfan Humaid Balhol, Khalifa Saeed Al Suwaidi, Mubarak Basharhil, Obaid Salem Al Nuaimi, Saeed Juma Al Mazrouei, Saoud Abdulla Al Hammadi, Taleb Al Kirbi, Yahia Mansour Al Hammadi, Zayed Al Kaabi, Zayed Saif Al Mansoori, Saaid Haj Hamdou, Hamad Saeed Al Nuaimi. Coaches Roberto Lima and Alex Paz.

 

 

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Ten tax points to be aware of in 2026

1. Domestic VAT refund amendments: request your refund within five years

If a business does not apply for the refund on time, they lose their credit.

2. E-invoicing in the UAE

Businesses should continue preparing for the implementation of e-invoicing in the UAE, with 2026 a preparation and transition period ahead of phased mandatory adoption. 

3. More tax audits

Tax authorities are increasingly using data already available across multiple filings to identify audit risks. 

4. More beneficial VAT and excise tax penalty regime

Tax disputes are expected to become more frequent and more structured, with clearer administrative objection and appeal processes. The UAE has adopted a new penalty regime for VAT and excise disputes, which now mirrors the penalty regime for corporate tax.

5. Greater emphasis on statutory audit

There is a greater need for the accuracy of financial statements. The International Financial Reporting Standards standards need to be strictly adhered to and, as a result, the quality of the audits will need to increase.

6. Further transfer pricing enforcement

Transfer pricing enforcement, which refers to the practice of establishing prices for internal transactions between related entities, is expected to broaden in scope. The UAE will shortly open the possibility to negotiate advance pricing agreements, or essentially rulings for transfer pricing purposes. 

7. Limited time periods for audits

Recent amendments also introduce a default five-year limitation period for tax audits and assessments, subject to specific statutory exceptions. While the standard audit and assessment period is five years, this may be extended to up to 15 years in cases involving fraud or tax evasion. 

8. Pillar 2 implementation 

Many multinational groups will begin to feel the practical effect of the Domestic Minimum Top-Up Tax (DMTT), the UAE's implementation of the OECD’s global minimum tax under Pillar 2. While the rules apply for financial years starting on or after January 1, 2025, it is 2026 that marks the transition to an operational phase.

9. Reduced compliance obligations for imported goods and services

Businesses that apply the reverse-charge mechanism for VAT purposes in the UAE may benefit from reduced compliance obligations. 

10. Substance and CbC reporting focus

Tax authorities are expected to continue strengthening the enforcement of economic substance and Country-by-Country (CbC) reporting frameworks. In the UAE, these regimes are increasingly being used as risk-assessment tools, providing tax authorities with a comprehensive view of multinational groups’ global footprints and enabling them to assess whether profits are aligned with real economic activity. 

Contributed by Thomas Vanhee and Hend Rashwan, Aurifer

Some of Darwish's last words

"They see their tomorrows slipping out of their reach. And though it seems to them that everything outside this reality is heaven, yet they do not want to go to that heaven. They stay, because they are afflicted with hope." - Mahmoud Darwish, to attendees of the Palestine Festival of Literature, 2008

His life in brief: Born in a village near Galilee, he lived in exile for most of his life and started writing poetry after high school. He was arrested several times by Israel for what were deemed to be inciteful poems. Most of his work focused on the love and yearning for his homeland, and he was regarded the Palestinian poet of resistance. Over the course of his life, he published more than 30 poetry collections and books of prose, with his work translated into more than 20 languages. Many of his poems were set to music by Arab composers, most significantly Marcel Khalife. Darwish died on August 9, 2008 after undergoing heart surgery in the United States. He was later buried in Ramallah where a shrine was erected in his honour.

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Updated: June 10, 2022, 8:59 AM