Tzipi Livni parties to agree to join a new coalition under Prime Minister Benjamin Netanyahu, forming the thirty-third government of Israel. According to the coalition agreement negotiated between Hatnuah and Likud, Livni was appointed justice minister, as well as chief negotiator with the Palestinian Authority. As environmental issues constituted a central plank in Hatnuah's platform, Livni required her party be given the environmental protection ministry, to which she appointed Amir Peretz. Fulfilling her constitutional duty as Justice Minister, Livni served as chairwoman of the powerful Ministerial Committee on Legislation. Given her clout and experience with Western leaders, Netanyahu unofficially charged Livni with
Tzipi Livni by Livni's decision to leave Likud and also accepted her support for the two-state solution, although it "hurt her." Livni entered politics in 1995 when she tried unsuccessfully to win a place on Likud's list to the Knesset. She was appointed as head of the government-owned corporations authority in Netanyahu's government, and oversaw the privatization of a number of companies. While in this capacity, in 1998 she was considered a prominent candidate to become director general of the Finance Ministry. Livni would later rue the decision to privatize certain companies and natural resources. As Hatnuah chairwoman in 2013, she wrote: