There were no sanctions imposed by Israel on these people, Israel simply withheld monies owed in payment for the utilities used by the "palestinians". As in ALL countries, if you use electricity you have to pay for it...Israel had been supplying it but the "palestinians" hadn't been paying for it. The bill was called due.
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Russia proposes March 1 ceasefire in Syria, Western official says (Reuters)
from the article: Palestinian workers demand salaries as sanctions and cash crisis bite