New book shows how aid to PA ended up in Israel's pockets by David Cronin http://electronicintifada.net/content/new-book-shows-how-aid-pa-ended-israels-pockets/9951

Taghdisi-Rad examines how far from behaving in an impartial manner, donors are tailoring their aid programs to benefit Israel. She devotes particular attention to analyzing the Palestinian Reform and Development Plan Trust Fund (PRDP - TF), set up by the World Bank (187-192). Promised $7.8 billion mainly by Western governments for the 2008-10 period, it represented a “major political shift” from previous aid blueprints for the Palestinian Authority.

Whereas donors had until then nominally accepted that Israel was an occupying power and that Palestinians should be encouraged to seek independence from it, this plan advocated deeper “cooperation” between Israel and the Palestinian Authority, as well as sharp reductions in public expenditure. By stipulating that the PA cut back on its assistance to ordinary Palestinians who had trouble paying their energy bills, the authority was pressurized into buying power in bulk from the Israel Electricity Company in order to avoid service disruptions.