Country:Panama
Year:1997 (last updated 2017)
Policy status:In Force
Jurisdiction:National
Date Effective:1997 (last updated 2017)
Policy Type:Economic Instruments, Economic Instruments>Market-based instruments, Regulatory Instruments
Renewable Energy Policy Targets:Multiple RE Sources, Solar, Wind, Hydropower
Policy Sector:Electricity
Size of Plant Targeted:Small and Large
URL:http://www.etesa.com.pa/compras.php
Renewable Energy Description:

Energy auctions and renewable energy-specific auctions are a major policy instrument for the promotion of renewable energy in Panama. 

Law 6 of 1997 established auctions as the procurement method for distribution companies. It also established a 5% price score premium on renewable energy sources bidding in auctions.

Law 42 of 2011 established priority for biomass projects in electricity auctions.

Law 44 of 2011 established wind auctions, providing 15-year PPAs. It limited wind power contracts to 5% of projected electricity consumption, which was later relaxed by Law 18 of 2013 to a “percentage determined according to criteria of energy policy, economy, competition and system security.” The first Panama wind power auction was held in 2011 (LPI-ETESA-05-11). Resolution 1520 of 2013 recommended the realization of a wind power-specific auction for 15-year PPAs for up to 7.5% of distribution companies’ demand, leading to Panama’s second wind-power auction in 2013 (LPI-ETESA 03-13).

Law 37 of 2013 established solar power auctions. Resolution 1579 of 2013 recommended the realization of a solar-specific auction for 20-year PPAs for up to 7.5% distribution companies’ demand. This led in Panama’s first solar auction in 2014 (LPI-ETESA 03-14).

Auction

Year

Type

Solar

Wind

Hydro

LPI ETESA 02-16

2016 (published)

Energy Short term

     

LPI-ETESA 03-14

2014

Solar long-term

X

   

LPI-ETESA-01-14

2014

Hydro long-term

   

X

LPI-ETESA 03-13

2013

Wind long-term

 

X

 

LPI-ETESA-02-13

2013

Hydro (no reservoir) long-term

   

X

LPI-ETESA-07-12

2013

Hydro (no reservoir) long-term

   

X

LPI-ETESA 04-12

2012

Energy Short term

   

X

LPI-ETESA-01-12

2012

Energy long-term

   

X

LPI-ETESA-05-11

2011

Wind long-term

 

X

 
Related policies:General Electricity Framework Law 6 (“Por la cual se dicta el Marco Regulatorio e Institucional para laPrestación del Servicio Público de Electricidad” )

Last modified: Tue, 02 May 2017 16:48:51 CEST