Mekorot National Water Co. and nT-Tao, which develops compact nuclear fusion systems, have signed a memorandum of understanding (MOU) for strategic cooperation. At its core is the examination of the establishment of a dedicated R&D center and pilot facility for testing nuclear fusion systems for essential water and wastewater infrastructure.

As part of the cooperation, Mekorot and nT-Tao will work to investigate the suitability of compact fusion systems for the operational needs of water infrastructure on a national scale, including desalination plants, wastewater treatment plants and other infrastructures that require a continuous and high-power supply without outages. The planned pilot facility is designed to enable engineering and operational testing of the technology under conditions as close as possible to a real infrastructure environment.

The collaboration between the companies connects two strategic and interdependent areas: water and energy. The most advanced water facilities, and in particular desalination and wastewater treatment facilities, consume large amounts of electricity and require particularly high operational continuity. At the same time, energy systems are dealing with increasing loads, network limitations, price volatility and sustainability challenges. Thus, identifying stable, available and secure energy sources will become one of the main challenges of national infrastructures in the coming decades.

Compact fusion systems could in the future enable continuous electricity supply at the consumption site, while reducing dependence on the central electricity grid. For water infrastructures, power cuts are not an operational option and energy costs are a key component of operating costs.

"A vital move for the economy and security"

Mekorot is one of the largest civilian electricity consumers in Israel. The company's electricity consumption constitutes some 4% of national demand, and its annual energy expenses approaching NIS 1 billion. With this in mind, cutting energy costs, reducing exposure to price volatility and ensuring stable sources of supply are key strategic goals for the company.

nT-Tao is developing a compact and modular nuclear fusion system, designed for continuous and reliable electricity supply at the consumption site for industrial and infrastructure applications. Mekorot VP engineering, planning and innovation Yossi Yaakoby said, "As Israel's national water company, Mekorot is constantly exploring technologies that can improve the reliability and efficiency of water systems. The collaboration with nT-Tao will allow us to practically examine how fusion energy can be integrated into the national infrastructure system in the future and provide a response to the growing needs of energy-intensive water and wastewater facilities."

nT-Tao cofounder and CEO Brig. Gen. (Ret.) Oded Gur Lavi added, "The events of recent weeks highlight how essential it is for the economy, security and the environment to develop secure, stable and reliable energy sources capable of meeting the modern demands of critical infrastructure. Compact nuclear fusion generators will be able to support continuous operation of energy-intensive infrastructures in the future, including water desalination, wastewater treatment, advanced industry and AI."

The MOU defines a phased cooperation between the companies. In 2026, Mekorot and nT-Tao plan to conduct feasibility studies, technology assessments and an initial business review in preparation for the establishment of the R&D center and pilot facility. At the same time, the parties will advance an initial alignment within the framework of the Strategic Design Partner model, with the aim of formulating a gradual path for the future application of the technology in essential water infrastructures.

Published by Globes, Israel business news - en.globes.co.il - on April 30, 2026.

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