PowerChina Secures 530-MW Solar Project in Panama

• PowerChina has landed a game-changing contract to build a 530-MW solar park in Panama, paving the way for renewable energy cooperation and sustainable growth in the region.

Power Construction Corporation of China (PowerChina) has secured a contract to construct a 530-MW solar park in Panama, awarded by local company Sajalices Energy Co. The engineering, procurement, and construction (EPC) contract was finalized in PowerChina's regional headquarters and encompasses the design, construction, testing, and commissioning of the photovoltaic (PV) farm, which will be situated in Cermeno, Panama Oeste Province.

This project is expected to symbolize renewable energy cooperation between China and Panama, as stated by Counselor Zhou Quan of the Chinese Embassy in Panama. PowerChina aims to strengthen its foothold in the Latin American market while contributing to Panama's carbon neutrality goals and supporting regional economic development through increased clean energy supply.

How will PowerChina's solar park project impact Panama's renewable energy goals and economic development?

• Enhanced Renewable Energy Capacity: The 530-MW solar park will significantly increase Panama's renewable energy generation capacity, contributing to a more diversified energy mix that relies less on fossil fuels.
• Contribution to Carbon Neutrality: This project aligns with Panama's commitment to achieving carbon neutrality by 2050. By investing in large-scale solar energy, the country can reduce greenhouse gas emissions and mitigate the impacts of climate change.
• Job Creation: The construction and ongoing operation of the solar park will create jobs in various sectors, including engineering, construction, and maintenance, stimulating local employment opportunities and fostering skill development.
• Energy Security: By increasing the share of renewable energy in its energy portfolio, Panama can enhance its energy security, reducing its reliance on imported fossil fuels and insulating itself from price volatility on international energy markets.
• Attracting Foreign Investment: The involvement of PowerChina in such a significant renewable project may attract further foreign investment in Panama's energy sector, which can lead to additional infrastructure development and economic expansion.
• Improved Local Infrastructure: The construction of the solar park may necessitate improvements in local infrastructure, such as transportation and utilities, benefiting surrounding communities and supporting overall regional economic development.
• Promotion of Technological Advancements: The partnership with PowerChina offers Panama access to advanced solar technologies and expertise. This knowledge transfer can support innovation in local industries and foster a domestic renewable energy market.
• Sustainable Development Goals: The solar park project aligns with global Sustainable Development Goals (SDGs), particularly those related to affordable and clean energy, economic growth, and industry innovation. It positions Panama as a proactive participant in the global transition towards sustainable energy.
• Local Community Benefits: Conversations with local communities about the project's benefits can lead to initiatives that support social responsibility, including educational programs and community health initiatives funded by project revenues.
• Tourism and Green Branding: As Panama develops a reputation for commitment to renewable energy, it can enhance its appeal as a sustainable tourism destination, attracting travelers interested in eco-friendly practices.
• Policy and Regulatory Frameworks: The project could prompt the Panamanian government to develop or enhance policies and regulations that promote renewable energy development, thereby creating a conducive environment for future investments.