Panama is a strategically located country with access to the Caribbean Sea (from the north) and to the Pacific Ocean (from the south). In addition, it is ranked among the wettest countries in the world (on average it rains 2,465 mm per year), and these rains are what have allowed Today it can count on about 75% of renewable energy in its electricity generation matrix (2020), mainly hydroelectric.
Currently, It is above the average in the region in terms of the use of renewable energy for power generation (69% in the last four years, on average, versus 58% in the region). As part of its commitment to continue supporting renewable energy, Panama announced at COP26 its adherence to the “Renewables in Latin America and the Caribbean” (RELAC) initiative, proposing to maintain, at least, 70.4% the share of renewable energy by 2030.
How can we observe this country has adopted the commitment to remain a territory with a green electricity grid. For this reason, they have taken up the challenge of reducing the import and use of fossil fuels in their energy matrix. A task that requires ensuring, at the same time, energy security, affordability, and supply reliability.
The benefits of renewables are not only environmental, such as the reduction of CO₂ emissions and local pollution, but also economic. Well the ENGED (National Strategy for Distributed Generation) estimates that distributed generation will be able to contribute to the creation of more than three thousand new jobs by 2030 in the electricity generation sector.
Finally, we note that in their energy transition agenda they aim to increase the use of electricity in private vehicles, public bus transport, and motorcycles, in addition to the expansion of the metro (electric) network and passenger transport by train. Soon, we will see the progress of their projects.
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