Taba Summit The Taba Summit ( also known as " Taba Talks " , " Taba Conference " or short " Taba " ) were talks between Israel and the Palestinian Authority , held from 21 to 27 January 2001 at Taba , in the Sinai . They were peace talks aimed at enhancing the " final status " negotiations , to end the Israeli - Palestinian conflict . According to the statement issued by the negotiators at the end of the talks , they came closer to reaching a final settlement than in any previous peace talks . The talks were discontinued on 27 January 2001 as a result of the upcoming Israeli election . Background . The Taba Summit took place from 21 to 27 January 2001 at Taba , after the failed Camp David 2000 Summit between Prime Minister of Israel Ehud Barak and the Palestinian President Yasser Arafat , and against the backdrop of the Second Intifada that commenced . The parties had first negotiated at the " Bolling Air Force Base " in Washington under President Bill Clinton from 19 to 23 December 2000 . The Israelis under Foreign Minister Shlomo Ben - Ami , the Palestinian under senior negotiator Saeb Erekat , Minister Yasser Abed Rabbo and Gaza security chief Mohammed Dahlan . President Clinton presented bridging proposals ( the so - called " Clinton Parameters " ) . A summit in Sharm el - Sheikh , mediated by Egyptian President Hosni Mubarak , was planned on 28 December . As the Palestinians delayed their acceptance of the Clinton Parameters , Barak decided not to go . Positions . Israeli start positions . At the start of the Taba Summit , Israel held on three main points : The Moratinos non - paper . January 2001 , the European " Special Representative to the Middle East Process " Miguel Moratinos presented a document , known as " The Moratinos non - paper " , describing the outcome of the Taba negotiations . Although the paper has no official status , it has been acknowledged by the parties as being a relatively fair description of the outcome of the negotiations on the permanent status issues at Taba . It describes observed positions on the permanent status issues territory , Jerusalem , refugees and security , in order to find ways to come to joint positions . " At the same time it shows that there are serious gaps and differences between the two sides , which will have to be overcome in future negotiations . " Summary of the paper : Territory . The two sides agreed that in accordance with the UN Security Council Resolution 242 , the June 4 , 1967 lines would be the basis for the borders between Israel and the Palestinian state . West Bank . Both sides presented their own maps over the West Bank . The maps served as a basis for the discussion on territory and settlements . The Israeli side presented two maps , and the Palestinian side engaged on this basis . The Palestinian side presented some illustrative maps detailing its understanding of Israeli interests in the West Bank . The Israeli side stated that the Clinton proposals provide for annexation of settlement blocs , areas which only had a small number of Palestinians . The Palestinian side did not agree that the parameters included blocs , and did not accept proposals to annex blocs . The Palestinian side stated that blocs would cause significant harm to the Palestinian interests and rights , particularly to the Palestinians residing in areas Israel sought to annex . Gaza Strip . Neither side presented any maps over the Gaza Strip . It was implied that the Gaza Strip would be under total Palestinian sovereignty , but details still had to be worked out . All settlements would be evacuated . The Palestinian side claimed it could be arranged in 6 months , a timetable not agreed to by the Israeli side . Both sides agreed that there was going to be a safe passage from the north of Gaza ( Beit Hanun ) to the Hebron district , and that the West Bank and the Gaza Strip must be territorially linked . Jerusalem . Both sides accepted in principle the Clinton suggestion of having a Palestinian sovereignty over Arab neighborhoods and an Israeli sovereignty over Jewish neighborhoods in Jerusalem . Both sides favored the idea of an open city . The Israeli side accepted that Jerusalem would be the capital of the two states : " Yerushalaim " , capital of Israel and " Al - Quds " , capital of the state of Palestine . Both parties accepted the principle of respective control over each side ' s respective holy sites . Israel ' s sovereignty over the Western Wall would be recognized although there remained a dispute regarding the delineation of the area covered by the Western Wall and especially the link to what is referred to in Clinton ' s ideas as the space sacred to Judaism of which it is part . Both sides agreed that the question of " Haram al - Sharif " / Temple Mount has not been resolved . Refugees . Non - papers were exchanged which were regarded as a good basis for the talks . Both sides agreed to adopt the principles and references which could facilitate the adoption of an agreement . Both sides suggested , as a basis , that the parties should agree that a just settlement of the refugee problem in accordance with the UN Security Council Resolution 242 must lead to the implementation of UN General Assembly Resolution 194 . The Israeli side expressed its understanding that the wish to return shall be implemented within the framework of one of the following programs : A . Return and repatriation 1 . to Israel 2 . to Israeli swapped territory 3 . to the Palestinian state . B . Rehabilitation and relocation 1 . Rehabilitation in host country . 2 . Relocation to third country . Both sides agreed that UNRWA should be phased out in accordance with an agreed timetable of five years , as a targeted period . The Israeli side requested that the issue of compensation to Jewish immigrants from Arab countries be recognized , while accepting that it was not a Palestinian responsibility or a bilateral issue . The Palestinian side raised the issue of restitution of refugee property . The Israeli side rejected this . Positions mentioned in other sources . Israel wanted to keep military control over Palestinian land and airspace in states of emergency , not because of a possible future threat from Palestine , but because of possible other threats from the East . The Palestinians wanted to accept international forces only . The Palestinians could not accept Israeli annexation of Giv ' at Ze ' ev and Ma ' ale Adumim in the Jerusalem area . Israel wanted future expansion of the settlements into the West Bank . Unlike the Palestinians , Israel did not consider East Jerusalem part of the West Bank and its Israeli inhabitants settlers . End of the negotiations . Official statement . The Taba Summit officially ended with a joint statement , that included some of the following points : Reasons for impasse . The breakdown is often attributed to the political circumstances posed by Israeli elections and changeover in leadership in the United States : They had run out of political time . They couldn ' t conclude an agreement with Clinton now out of office and Barak standing for reelection in two weeks . " We made progress , substantial progress . We are closer than ever to the possibility of striking a final deal , " said Shlomo Ben - Ami , Israel ' s negotiator . Saeb Erekat , Palestinian chief negotiator , said , " My heart aches because I know we were so close . We need six more weeks to conclude the drafting of the agreement . " Sharon Government ' s negation of the talks . The following month the Likud party candidate Ariel Sharon defeated Ehud Barak in the Israeli elections and was elected as Israeli prime minister on 6 February 2001 . Sharon ’ s new government chose not to resume the high - level talks . Immediately after the elections and before the change of government a February 8 , 2001 statement published by the Israeli Ministry of Foreign Affairs stated that :