Israel Approves Controversial Plan to Build Thousands of New Settlements in West Bank, Dividing Territory and Opposing Palestinian Statehood

The Israeli government has given final approval to a contentious plan to construct thousands of new housing units in the occupied West Bank, effectively dividing the territory. This decision concerns the controversial E1 area east of Jerusalem, long frozen due to international opposition as it would impede the creation of a contiguous Palestinian state with East Jerusalem as its capital.

Finance Minister Bezalel Smotrich confirmed the plan’s implementation, stating that it aims to make a Palestinian state an increasingly distant possibility. He emphasized this goal in a statement, saying, “The Palestinian state is being phased out not through rhetoric, but through action.”

Smotrich presented the move as Israel’s response to recent announcements by various countries regarding their intentions to recognize a Palestinian state. The Israeli government, led by Prime Minister Benjamin Netanyahu, has consistently rejected the idea of a Palestinian state, a stance further solidified by a resolution passed by the Israeli Knesset last year.

Smotrich has persistently lobbied Netanyahu for annexation of the West Bank and the application of Israeli sovereignty over the entire territory. Israeli settlements in the West Bank are Jewish villages, towns, and cities built on land designated by the United Nations and the international community for a future Palestinian state.

The E1 settlement project, previously stalled due to strong international opposition, would link Jerusalem with the Maale Adumim settlement, making a potential Palestinian capital in East Jerusalem nearly impossible. It would also bisect the West Bank, preventing the establishment of a contiguous Palestinian state.

Last week, Smotrich announced the imminent approval of 3,401 new housing units, which he unveiled during a press conference held at the construction site. “While they talk about a Palestinian dream,” Smotrich said last Thursday, “we will continue to build a Jewish reality. This reality will permanently put an end to the idea of a Palestinian state because there will be nothing left to recognize and no one left to recognize.”

Yisrael Gantz, head of the Yesha Council, which advocates for Jewish settlements in the West Bank, the occupied Golan Heights, and Gaza, welcomed the plans. “We are taking another step towards the vision of sovereignty,” Gantz said. “We are exercising our historical right to the land of our ancestors.”

The Palestinian National Council’s presidency condemned the project, describing it as a “systematic plan to seize land, Judaize it, and impose biblical and Talmudic facts on the conflict.” Speaker Rawhi Fattouh warned that this move is part of a “policy of creeping annexation” of the West Bank, which escalates settler violence against Palestinians.

Israeli organization Ir Amim expressed concerns that Jewish settlements in E1 would permanently entrench Israel’s occupation of the West Bank, leading to an “Apartheid reality.” It also predicted a “rapid and severe deterioration” in economic and social conditions for Palestinians, resulting in increased instability and violence.

British foreign minister David Lammy expressed strong opposition to the plans, describing them as “a flagrant breach of international law.” The European Union’s foreign policy chief, Kaja Kallas, urged Israel to halt the project, stating that it further undermines the two-state solution and escalates tensions on the ground.

The US State Department did not directly condemn the plans to build new settlement housing as part of E1 but emphasized the need for stability in the West Bank. However, it reiterated its focus on ending the conflict in Gaza, freeing hostages, and delivering humanitarian assistance.

Israeli settlements in the West Bank are generally considered illegal under international law, a designation reinforced by United Nations Security Council resolution 2334 in 2016, which declared that Jewish settlements in occupied territory have “no legal validity.” Despite numerous resolutions condemning these settlements over the years, Israel’s expanding settlement enterprise has persisted, especially under the Trump administration. Following the Hamas-led October attack on Israel, the growth of settlements has significantly accelerated.

In May, Israel approved the largest expansion of Jewish settlements in the West Bank since the signing of the Oslo Accords more than 30 years ago. Critics denounced the plan as a “dangerous escalation and a challenge to international legitimacy and international law.”