Energy & Utilities

Panama’s energy and utilities sector could be poised for a comeback. With a vision to turn Panama into an energy hub, the administration of Juan Carlos Varela is looking to strengthen the existing electricity and hydrocarbons market and its infrastructure, using both public and private investment. Multimillion-dollar investments in fossil fuel power generation, network infrastructure and renewables are in the pipeline over the coming five years. The electricity segment is set to undergo significant expansion in the coming years, with a 700-MW extension of the fossil fuel generation base under way. On the hydrocarbons front, various new terminals and special economic areas for oil are planned. The possibility of larger vessels crossing the canal, like LNG carriers, has also generated renewed interest. The addition of power through renewables and connectivity to networks in Central America and South America could drive Panama to become an energy hub for export in the region.

This chapter contains an interview with Rafael Pérez-Pire, General Manager, Unión Eólica Panameña.