Energy and Our World

This article originally ran on Forbes.com on December 18, 2025. All rights reserved.

Daniel B. Markind is a Forbes.com energy column contributor. The views expressed in this article are not to be associated with the views of Flaster Greenberg PC.

Two years after Bolivia broke off diplomatic relations with Israel, following the Hamas attacks of October 7, 2023, the two countries recently announced with substantial fanfare that they are being restored. (Israel, Bolivia renew diplomatic relations after years of estrangement following Gaza war). The reversal was a result of recent Bolivian elections that saw rightist candidate Rodrigo Paz capture the presidency from leftist candidates who had ruled the South American country for over twenty years previously. (Source).

The restoration of relations between the two countries means that Bolivia, the country possessing the world’s largest proven reserves of lithium, which are indispensable to manufacturing modern batteries, now has a partnership with one of the world’s most dynamic and technologically innovative societies. Although the concepts of “Net Zero” and “human induced climate change” are being questioned lately even more than in the last few years, there is little doubt that renewable energy sources, such as solar and wind, will continue to play an increasing role in future energy development on a world-wide basis.

That being the case, each of Israel and Bolivia now has a valuable (and viable) strategic partner, something that neither country really had in the past. In 2023, for example, the prior leftist government of Bolivia struck a deal with China to give that nation, which already produces over 75% of the world’s lithium-ion batteries, the right to develop Bolivia’s prodigious lithium reserves, which mostly are in the Andes Mountains near the borders with Chile and Argentina. (Bolivia Gives China The Whip Hand On Renewable Energy). However, that partnership did not work from the Bolivian’s perspective, and in June of 2025, a Bolivian Court ordered suspension of all Bolivian lithium deals with both China and Russia. (Bolivia: Court orders suspension of Chinese and Russian lithium projects based on complaint filed by Indigenous groups - Business and Human Rights Centre). Emotions over the proposed deals got so heated that there were fistfights over the issue in the Bolivian Congress. (Source).

The current Bolivian move scrambles the current geopolitical climate. Some countries, like Ireland, Spain and Norway, have been vociferously anti-Israel in their public pronouncements and political actions since the start of the Gaza War. Other nations, such as Colombia, have broken off diplomatic relations altogether with the Jewish State. (Colombia Cuts Ties With Israel, Then Appoints Anti-Zionist ‘Rabbi’ - The Media Line). Now, with Russia bogged down in Ukraine, China facing economic and social disruption, Europe stagnating economically and convulsing over its migrant issue, Iran seemingly collapsing before our eyes over water and electricity shortages, and little economic or political leadership coming from the rest of the world, the merger of a technological powerhouse like Israel with a natural resource giant like Bolivia seems like a powerful combination for both of those countries.

This is especially true as energy issues increase globally and as climate issues become even more acute for the planet. Should Israeli knowhow produce dramatic efficiencies and improvements in battery technology, as some expect will occur, the world will face the choice of continuing to try to isolate the Jewish State, which would alienate mainly just the true believers among Israel’s enemies, or progressing on the climate front, which would conveniently benefit the world. It is a scenario that, at once, mortifies former climate activists like Greta Thunberg, while creating a huge political dilemma for the modern leftist power structure. As always, social and economic reality may cause major political realignment in the near future.