|Year:||1997 (last updated 2017)|
|Policy status:||In Force|
|Date Effective:||1997 (last updated 2017)|
|Policy Type:||Economic Instruments, Economic Instruments>Market-based instruments, Regulatory Instruments|
|Policy Target:||Multiple RE Sources, Solar, Wind, Hydropower|
|Size of Plant Targeted:||Small and Large|
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).
|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