A fifth of Panama’s energy use from Green sources

A fifth of the energy used by Panamanians in the first three months of the year came from clean, non-polluting energy. Electricity production with wind and solar sources represented 20.9% of generation during the first quarter of 2022, according to a report from the National Energy Secretariat (SNE).

The remaining 80% of the energy came from hydroelectric plants, natural gas, bunker, and diesel.

Solar energy generated in the first quarter rebounded with higher growth compared to the same period in previous years, even 51% more than the first quarter of 2019, the report indicates.

The growth is related to a greater number of photovoltaic plants that came into operation this year, among them, the Avanzalia Panama generator, the largest solar plant in the country located in Penonomé, Coclé province, with 120 megawatts of installed capacity and 450,000 d solar panels.

“The high share of renewable energies in the first months of this year is a clear sign that the energy transition must continue to advance with more force, mainly in times where we see a market characterized by the volatility of fossil fuels,”  National Secretary of Energy, Jorge Rivera Staff.

Federico Fernández, from the Panamanian Chamber of Solar Energy, confirmed that during the summer, sun and wind have been at their maximum and achieved important participation in the generation.

 However, he considers that a lot of work still needs to be done so that green energies have greater participation in the Panamanian energy market.

“The challenge is to ensure that sun and wind maintain this higher proportion of generation throughout the year and for that, installed capacity must be increased, in which, without auctions or tenders for the network in the panorama, we are lagging behind,” he commented.

And it is that most photovoltaic plants do not have supply contracts with distributors and are subsisting thanks to the sale of energy to large customers, most companies that buy directly from the generator.

“The increase in a photovoltaic generation is good news, but insufficient to make the energy matrix much cleaner, especially since almost a thousand MW of natural gas come from it,” Fernández reflected.

“The good thing is that they will soon carry out studies to incorporate batteries into the network and that will facilitate new renewable plants. And on the other hand, the generation of solar energy installed on roofs for self-consumption continues to grow, adding clean energy to the network,” added Fernández.