The Shiite militia has more than 80,000 rockets ready to fire at Tel Aviv and Haifa, said General Yahya Rahim Safavi, military adviser to Iran's supreme leader Ayatollah Ali Khamenei.
"Iran, with the help of Hezbollah and its friends, is capable of destroying Tel Aviv and Haifa in case of military aggression on the part of the Zionists," he said, quoted on state television.
"I don't think the Zionists would be so unintelligent as to create a military problem with Iran," the general said. "They know the strength of Iran and Hezbollah."
In a briefing to foreign journalists at the defence ministry in Tel Aviv, the official referred specifically to Hezbollah, with whom Israel fought a month-long war in 2006, and to Iran's arming of the group.
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"The Iranian threat is a tangible threat to Israel," said the official, whose country has not ruled out the use of military force to block any attempt by Tehran to produce a nuclear bomb.
Israel has opposed the efforts of world powers to strike a deal with Iran curbing its nuclear programme in return for an easing of economic sanctions, saying that Tehran cannot be trusted.