Panama Canal committed to finding freshwater resources
For the last century, the Panama Canal – which transits around 14,000 vessels a year - has played a key role in world trade, enabling shippers to move more than 300 million tonnes of products per year between the Atlantic and Pacific oceans.
By reducing the distance ships need to travel to reach their destination, the canal helps to reduce fuel consumption and, in turn, GHG emissions. During its 105-year lifetime, it has helped prevent carbon emission of more than 800 million tonnes.
However, extreme weather events such as periods of flood and drought, threaten the consistent water supply that the 80km-long canal needs to operate.
According to the Panama Canal Authority (ACP), the rainfall deficit reached 27% in 2019 and the temperature of Gatun Lake, the main tributary of the Canal, increased by 1.5°C over the past decade, which caused significant loss of water by evaporation.
That has meant the canal only had three billion cubic meters of water instead of the 5.2 billion cubic meters needed for its normal operation, the ACP said in a statement.
Furthermore, the canal witnessed a $5bn expansion in 2016 which significantly increased its capacity allowing bigger ships to pass providing greater cargo carrying capacity and requiring less cargo movements, thereby reducing costs, fuel consumption and emissions. However, it put more pressure on water resources. Now, additional upgrades in the form of a third lake would be needed if it is to navigate the extreme weather that is expected as a result of climate change.
To remedy the situation, Panama is studying the possibility of finding other freshwater resources for the Canal, such as pumping or desalinating seawater, or building reservoirs, it said in a statement.
Measures to boost its sustainability also saw the canal imposing an extra surcharge on vessels which transit through its waters starting January 2020 therefore increasing the costs of shipping across gas and chemical tankers and dry bulk.
In addition, the canal has already enacted a scrubber wastewater ban, which will help conserve the watershed’s ecosystem, as well as the quality of freshwater reservoirs.