"The Al-Jazeera channel continues to incite violence around the Temple Mount", Netanyahu wrote in a Facebook post, referring to the Haram Al-Sharif compound in Jerusalem, known to Jews as the Temple Mount.
Al Jazeera has fiercely defended its reputation and says it is independent.
He said that cable broadcasters had agreed to his proposal to take the station's Arabic and English channels off the air.
The leader of Al-Jazeera has challenged israeli accusations of bias in the coverage of the events around the holy places of Jerusalem.
The israeli minister of Communications has motivated its decision by the fact that "in recent times, nearly all the countries of the region, especially Saudi Arabia, Egypt and Jordan, came to the conclusion that Al-Jazeera incites terrorism and religious extremism".
The Israeli government said it was basing its decision on a similar ban by several Sunni Arab states, amid their diplomatic rift with Qatar, which hosts and funds Al Jazeera.
The broadcaster "will follow up the subject through appropriate legal and judicial procedures", he added.
Indian women's cricket team felicitated by Sports Minister Vijay Goel
The Himachal Pradesh government has also offered the post of Deputy Superintendent of Police (DSP) to wicket-keeper Sushma Verma. Railway minister Suresh Prabhu announced that the cricketers working for the railways will get out-of-turn promotions.
"Changing the law in order to shut down a media organization for political reasons is a slippery slope", the executive secretary of Israel's Foreign Press Association, Glenys Sugarman, told the news agency Reuters.
Apart from criticism from Israel, Al Jazeera has been accused by Saudi Arabia, the United Arab Emirates, Egypt and Bahrain of supporting terrorism in the region.
Kara's announcement was praised by Israeli Prime Minister Benjamin Netanyahu who had accused the Doha-based broadcaster of inciting violence in July.
In recent months, Saudi Arabia and Jordan shut down Al Jazeera bureaus as part fo a economic campaign against Qatar.
"If this is not possible because of legal interpretation, I am going to seek to have the necessary legislation adopted to expel al-Jazeera from Israel".
New security measures imposed by Israel after two policemen were killed nearby sparked protests by Palestinians, and the Israeli government eventually removed the security apparatus, which included metal detectors.
"Our coverage of events in the palestinian territories is professional and objective, and the Israelis have acknowledged a couple of times because we are keen to present the views and their opposites", he said. A Palestinian also broke into a home in a Jewish settlement in the West Bank and stabbed four Israelis, killing three of them.