PA Funds Illegal Building in Jerusalem as Part of Bid to Seize Capital 

In some instances, the PA funds the illegal construction from the outset, the report noted. 

“The State of Israel enforces the law only sporadically and fails to act systematically or strategically to counter Palestinian plans. As a result, where Israel does not assert control, the PA fills the vacuum, establishing itself as the de facto governing authority,” according to Meir Deutsch, director general of Regavim. 

“The result is the quiet but consistent loss of Israeli governance, the erosion of Israeli sovereignty, and the entrenchment of de facto Palestinian Authority sovereignty,” he added. 

According to official PA and United Nations data, at least 35 million shekels (approximately US $10.5 million) has been distributed over the past five years through this compensation mechanism, excluding additional expenses for legal support, planning and advocacy work. 

“On top of the cash payouts, the PA provides legal counsel to cover all the fees for dragging appeals against demolition through the courts for years on end,” Naomi Kahn, director of the International Division at Regavim, told JNS. 

A network of professionals, including lawyers, engineers and architects, operates through PA-affiliated organizations, offering legal representation to illegal builders in courts and planning committees. These professionals work in full coordination with the PA’s Jerusalem Affairs Ministry. 

The PA is actively supported in its efforts by the International Red Cross and UN agencies, including the Office for the Coordination of Humanitarian Affairs (OCHA). 

According to Kahn, the Red Cross visits demolition sites, assesses the damage and assists illegal builders in completing the necessary paperwork to apply for compensation. The UN provides the funding. “They choke the entire Israeli legal system with appeals, countersuits and so on,” said Kahn. 

“Instead of holding the PA accountable for its obligations under international law, the United Nations has been complicit in violating the law—not just in Judea, Samaria and Gaza, but also in Jerusalem,” Kahn added. 

“The UN and the European Union have been allowed for far too long to trample Israel’s rights, make a mockery of international law, use Arab residents of the region as pawns in their anti-Israel agenda, and fuel confrontation, conflict and death,” she continued. 

Kahn recommended that, as a first step, Israel deduct the amount the PA provides in “compensation” to illegal builders in Jerusalem from the taxes it collects on behalf of Ramallah.