Who are the Winning Energy Companies? Panama Awards 22.6 TWh in its Tender and Redefines the Renewable Energy Map

22.6 TWh (Terawatt-hours) is a massive unit of electrical energy equal to 22.6 trillion watt-hours (2.26 × 10¹³ Wh) or 22.6 billion kilowatt-hours. It is commonly used to measure the total annual power generation or demand of small countries, large regions, or massive industrial sectors.

To put this amount of energy into perspective, 22.6 TWh is equivalent to:

• A mid-sized country’s annual electricity: Roughly equivalent to the yearly electricity consumption of entire nations like Ireland or Slovakia.

• Household power: Enough to power approximately 2.1 million typical North American homes for an entire year (assuming an average household uses about 10,715 kWh per year).

• Large-scale power plants: The yearly output of about 3 to 4 typical nuclear reactors.

Because TWh describes total energy over time rather than a single moment, it can help you evaluate massive energy allocations, such as the 22.6 TWh of clean energy recently awarded in the Panamanian electricity tenders.

Panama identified the 19 companies that will supply part of Panama’s electricity demand in the coming years. With 22,620,274 MWh awarded and prices below the reference value, between USD 33.7/MW and USD 34.4/MWh, the process consolidated the leadership of large utilities, but also opened up opportunities for specialized renewable developers and independent generators, increasing competition within the market.  The allocation sends a clear signal about the evolution of the Panamanian electricity system: AES maintains a dominant position, but the ecosystem of winning bidders shows increasing diversification among international players, regional platforms, and local companies.

As a fundamental takeaway, the bidding confirms that Panama is no longer concentrating its contracts solely with the long-standing incumbents, but is expanding the pool of suppliers capable of competing aggressively on price. Another relevant fact is the strong presence of renewables within the process. Solar and hydroelectric power capture a substantial share and consolidate a matrix where firm energy contracts no longer depend exclusively on large traditional structures, but also on more flexible and specialized corporate vehicles.

The Five Big Winners

AES Panama has emerged as the largest recipient of the contract, securing 8,035,938 MWh and solidifying its role as a key player in the national electricity system. The AES Corporation subsidiary maintains one of the country’s most robust portfolios, combining hydroelectric, thermal, solar, storage, and distribution assets. Its operations in Panama are part of a regional strategy with a presence in the Dominican Republic, Chile, Colombia, and El Salvador, enabling it to compete effectively in these types of contracts.

Avanzalia emerged as the second-largest winner with 4,810,096 MWh awarded, confirming the progress of international developers specializing in renewables within Central America. The Spanish firm has focused its growth on utility-scale solar projects in Latin America, Africa, and Europe, establishing itself as one of the most active players in the photovoltaic segment in emerging markets.

Alternegy has secured 1,031,888 MWh in awarded contracts, positioning itself among the most significant players in the process. The company has developed its business in energy infrastructure and generation, focusing on markets where long-term supply contracts allow for the monetization of renewable assets and the consolidation of a strong commercial presence.

Bontex secured 942,661 MWh, placing it among the largest bidders. Its presence demonstrates how the Panamanian market is beginning to open up to business structures with less public exposure but the capacity to compete with financially aggressive bids against traditional players.

The fifth spot is held by Energía y Servicios de Panamá (ESPEAA), with 580,072 MWh awarded, confirming the growing competitiveness of the Panamanian market. The company has established itself among the major players in the allocation, demonstrating that the process was not exclusively concentrated among traditional utilities and international developers.

Solar Energy is Gaining Ground with Specialized Developers

Solar technology has also established its own competitive bloc within the bidding process. Mercurio Solar secured 413,019 MWh, positioning itself among the most influential photovoltaic players in the process.  Meanwhile, Brillo Solar reaches 394091 MWh , although behind this company name appears Istmo Energy , a Panamanian developer focused on renewable generation and energy solutions within the local market.

Also noteworthy is Gena Solar, with 123,756 MWh awarded , the renewable energy arm of Generadora del Atlántico (GENA), a Colombian-owned company with operations in Panama since 2009. The firm expanded its photovoltaic commitment after acquiring Llano Sánchez Solar and subsequently developing the Don Félix park, complementing a portfolio that also includes thermal generation and a biogas plant in Cerro Patacón.

Further down are Caldera Energy Corp with 74815 MWh , Tecnisol IV with 50042 MWh , a Panamanian company that operates the 3 MW Ikako III solar plant in Chiriquí, Arrendadora Istmo Energy with 16481 MWh , and Deca Solar with 7239 MWh , completing the awarded photovoltaic ecosystem. As a market reading, the result leaves another message: solar energy no longer appears as a complementary player within these contracts, but as a technology with a real capacity to capture relevant blocks of supply.

The Hydroelectric Block Maintains Structural Weight

While solar power is gaining momentum, hydroelectricity continues to demonstrate strength within the Panamanian electrical system. Among the main concession holders in this sector is Hydro Caisán, with 565,747 MWh, a company linked to Panama Power Holdings and actively involved in the country’s renewable energy generation. Also noteworthy are Las Perlas Norte and Las Perlas Sur, with a consolidated total of 492,141 MWh awarded , hydroelectric assets that are now part of the portfolio managed by EnfraGen, an energy platform backed by Glenfarne.

Another relevant player is Capira Energy Park, with 402,055 MWh awarded , while Istmus Hydro Power adds 328,038 MWh , a company specializing in run-of-river hydroelectric plants in Chiriquí and also linked to the EnfraGen corporate ecosystem. The allocation also includes Hidro Boquerón with 315,979 MWh, operator of the Macano power plant; Electron Investment with 190,893 MWh ; and Hidroecológica del Teribe with 164,608 MWh , a subsidiary of the Colombian group EPM that operates the Bonyic power plant in Bocas del Toro.

The Ecosystem of Small Generators

The tender also confirms the fragmentation of Panama’s hydroelectric sector, with a significant presence of medium-sized and independent generators. These include Saltos de Francolí with 84,987 MWh, operator of the Los Planetas I project; Hidroeléctrica San Lorenzo with 47,244 MWh; Hidroibérica with 39,128 MWh; Desarrollo Eléctrico with 19,281 MWh; Hidro Panamá with 17,374 MWh; and Hidroeléctrica Bajos del Totuma with 9,186 MWh, developer of a 7 MW plant on the Chiriquí Viejo River.

This distribution highlights a characteristic of the Panamanian market: a matrix where large utilities, international developers and multiple independent generators coexist with the ability to capture contracts within competitive processes.