Israel will reverse a power cut to Gaza begun in June after the Palestinian Authority agreed to pay for its supply to the blockaded enclave, the energy ministry said Sunday.

It said Energy Minister Yuval Steinitz had ordered the supply to be restored by Monday.

A cut in PA payments to Israel to supply power on its behalf to the Gaza Strip in June reduced the amount being delivered to the coastal Palestinian territory by some 50 megawatts.

Many residents were left with around four hours of electricity per day as a result.

Restoring the 50 megawatts will return the enclave to the situation before June, when mains electricity was supplied to residents in eight-hour cycles.

Steinitz said the PA had last year cut the amount of its monthly payments from 40 million shekels (9.7 million euros, $11.6 million) to 25 million shekels.

The electricity payments have been a key issue in efforts at reconciliation between Hamas, the Islamist movement that runs Gaza, and Palestinian president Mahmud Abbas's Fatah.

The cut came as part of measures taken by Abbas to pressure Hamas after the Islamist movement created what was seen as a shadow government in the Gaza Strip.

Hamas and Fatah signed a landmark reconciliation accord in Cairo in October aiming to end their decade-long feud and hand authority in Gaza back to the PA.

However, reconciliation efforts later stalled and the rival factions missed a December deadline to transfer power in Gaza.

Security control in the territory remains a major issue, with Hamas refusing to disarm its 25,000-strong armed wing.