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Israel advances E1 settlement project amid diplomatic rift

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2026-10-12 11:14 UTC → 2026-10-24 00:11 UTC · added ~~removed~~

Diplomatic tensions have intensified following Israeli authorities’ decision to advance the E1 settlement project. On September 16, Israel issued a new tender for 2,167 housing units, scheduled to open on October 25—two days before the Israeli parliamentary elections. This follows an August tender for 1,234 units, effectively completing the marketing of all 3,401 residential units approved for the area. Israeli Finance Minister Bezalel Smotrich has supported the plan, stating it would ‘bury’ a Palestinian state. Conversely, the Palestinian Presidency, via spokesperson Nabil Abu Rudeineh, warned that these measures represent a ‘dangerous escalation’ and a ‘flagrant violation of international law,’ specifically citing UN Security Council Resolution 2334. Abu Rudeineh argued the plan threatens Palestinian territorial unity and the possibility of an independent state with East Jerusalem as its capital. On October 4, approximately 500 former European leaders and diplomats, including former prime ministers from France, Italy, Belgium, and Sweden, issued an urgent call for the European Union to intervene. The group warned the E1 project would effectively split the West Bank and isolate East Jerusalem, undermining a two-state solution. They demanded action such as the suspension of trade provisions within the EU-Israel Association Agreement and sanctions on financial institutions contributing to the project. Following the Attorney General’s order to prevent the tender from being used as ‘prohibited election propaganda,’ the Israel Land Authority has postponed the evaluation process for the 1,234-unit tender. While bids are expected by October 19, the review committee is not scheduled to meet until at least November 19, 2026. The human rights organization Peace Now has called for the total cancellation of the tender, warning that involved companies could face international sanctions. Finance Minister Smotrich has requested that the postponement be overturned.

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