Panama’s key position has played a significant role in his energy policy. This sector, although broader, has two primary activities, Hydrocarbons and Electricity. Both sectors fall under the scope of the National Energy Secretariat and the Public Service Authority.
n the Hydrocarbon’s side, significant efforts have been advanced to secure special regimes from where fuel products, derivatives and alternate sources of combustion are imported, processed, stored, traded and exported. Given the high cost of operations and Panama’s priorities, these regimes are tax exempt and heavily regulated.
List of Fuel Free Zones:
- Aereopuerto Internacional de Tocumen, S.A. (Tocumen International Airport)
- Autoridad Maritima de Panama (Cristobal, Balboa)
- [PTP] Petroterminal de Panama, S.A. (Charco Azul, Chiriqui Grande)
- Petroport, S.A. (Cristobal)
- Refinería Panamá, S.A. (Bahía Las Minas)
- [APSA] Atlantic Pacific, S.A. (Rodman, Oleoduct Arraijan-Rodman)
- Decal Panama, S.A. (Taboguilla Island)
- [COASSA] Colon Oil and Services, S.A. (Coco Solo, Cristobal)
- Isla Melones Oil Terminal, Inc. (Melones Island)
The electric sector is also heavily regulated, its market rules are a reflection of a consistent stride to ensure a constant and efficient supply of electricity supply in Panama.
Our country has several hydroelectric and thermal generating power plants that not only cover local needs, but serve as an important trading commodity in the foreign market, hence the importance of electricity exportation. Panama is part of both SIEPAC (Electric Interconnection System Amongst Countries of Central America) and IPT (Interconnection between Panama and Colombia), therefore is capable to trade, import and export electricity with all the American continent.
Addressing concerns in these sectors requires highly specialised attorneys, as most regulations are proprietary of each sector. We at De Castro & Robles are proud to be in the capacity to advise on such matters.