Electricity in Panama in 2022

Panama's electricity consumption in 2022 was predominantly low-carbon, with more than three-quarters of its electricity coming from clean energy sources. Hydropower was the leading source, contributing almost 70% of the electricity. Fossil fuels still accounted for about 22% of the energy mix, with gas making up just over half of this share, at nearly 13%, while coal and solar were each around 4%, and wind close to 4% as well. The emphasis on low-carbon sources signifies Panama's commitment to reducing its carbon footprint and fostering a more sustainable energy landscape.

Suggestions

To further increase the share of low-carbon electricity, Panama can look at the strategies employed by other countries that have successfully boosted their clean energy generation. For instance, Denmark's wind energy contributes over 60% of its electricity, showing the potential for significant expansion of wind infrastructure in Panama. Similarly, solar power can be significantly scaled up by observing practices from countries like Chile and Australia, where solar energy makes up more than 20% of electricity generation. Nuclear energy provides a substantial share of electricity in countries like France and Slovakia—over 60% and 50%, respectively—which Panama could consider adopting as part of a diverse low-carbon energy strategy.

History

The history of low-carbon electricity in Panama shows a consistent emphasis on hydropower over the decades. During the late 1970s and the 1980s, there were modest increases in hydroelectric generation, with notable jumps of 0.4 TWh in 1978, 0.3 TWh in 1981, 0.6 TWh in 1984, and 0.4 TWh in 1985. The 1990s saw some fluctuations, including a decrease by 0.8 TWh in 1998, but a subsequent recovery of 1 TWh in 1999. More recently, in the 2010s, hydropower saw significant additions, with remarkable increases such as 1.3 TWh in 2012 and 1.2 TWh in 2015, despite a major drop of 2.8 TWh in 2019. The bounce back in 2020 with a rise of 2.3 TWh highlights the resilience and critical role of hydropower in Panama's energy mix. Overall, Panama's history with hydro energy underlines its potential to further diversify into other low-carbon sources like wind and solar, while also considering nuclear energy as a robust supplement.

Electricity Imports and Exports

Balance of Trade

Data Sources