“Renewable Energy and Energy Efficiency in
         Latin-America Forum”

     “Vision and Energy Policy 2011-2014”




                  Rome, Italy
              September 15, 2011

                                             1
Our Mission

 To establish and promote Panama´s Energy Policy:

     Guarantee Energy Security,

     Promote the rational and efficient use of energy resources.

     Take advantage of the country´s own energy natural resources and make
      sustainable use of them.

     Use energy in a sustainable way; according to the national energy
      development plan and within the economic, competitive, quality and
      environmental issues and regulations.




                                                                          2
Our Vision


Panama with an energy system, that promotes the development
  and use of renewable sources of energy, and oriented towards
  a competitive market with a social and environmental
  responsibility.




                                                             3
Pillars of the National Energy Secretariat of Panama


 Make energy services available to 95% of our population by year
  2015.

 Energy security,

 A diversified energy matrix

 Promote the use of renewable and cleaner sources of energy,

 Promote the rational and efficient use of our energy resources.

 Promote the development of the regional electricity market.

                                                                    4
Historical Maximum Demand in MW                                           Growth
                                                  (1998-2011)
     1400
                                                                                                                               1.286,46
                                                                                                                    1.222,40
     1200                                                                                                1.153,99
                                                                                              1.064,25
                                                                                   1.024,16
     1000                                                   924,96 946,28 971,34
                                                   882,86
                                     839,30 857,35
      800            754,50 777,00
            726,40

      600

      400

      200

        0




                                                                                                                                          5
source: ETESA
Gross Electricity Generation per type of power plant
                              1970-2010 (%)
100,00%

 90,00%

 80,00%

 70,00%

 60,00%

                                                                 HIDRO
 50,00%
                                                                 BUNKER
 40,00%                                                          DIESEL

 30,00%

 20,00%

 10,00%

  0,00%


                                                                          6
A Diversified Electricity Generation Mix


 732 MW in Hydroelectric power plants for the period 2010-2014.
 200 MW of wind energy for 2013
 Photovoltaic Solar Energy (2.4MW to 5MW).
 Liquid natural Gas Installations 200 MW (initially
   with potential increase up to 500MW).
 Geothermal energy ( 24 MW).
 Regional electricity Interconnections
        SIEPAC – 300MW
         ICP     - 600MW
                                                                   7
Chan 1                           Bonyic
                              223MW                            30MW

  Mendre           Pedregalito 1       Gualaca                 Pando
  20MW                20MW             25.1MW                 32.6MW

                   Pedregalito 2     Prudencia    Cochea     Monte Lirio
Paso Ancho
                     12.5MW           56.2MW      16MW        52MW
   6MW

Los Planetas       Bajo de mina         Lorena    Baitún       El Alto
   5MW              52.4 MW            35.7MW     85MW         60MW

   31 MW                    425 MW                101 MW      175 MW
   2010                       2011                 2012     2013 - 2014
               New HYDRO Electric Projects coming in Line
WIND 200MW              LNG 200MW


   2013                     2014
                                    Fuente:
  Year of start of Operations       SNE 9
WIND ENERGY

 Law 44 of April, 2011, establishes and dictates the
  norms and regulations for the construction and
  operation of wind energy power plants to be developed
  in Panama. These power plants may be integrate it to
  the National Interconnected System.

 Exclusive bidding processes for wind energy.



                                                      10
Regional Strategy
Development of the Regional Electricity Market, via
projects such as:

• SIEPAC
• ICP




                  Fuente: EPR                         11
Colombia-Panama Electricity Interconnection

 600Km of Electric transmission line, High Voltage Direct
  Current (HVDC)

 Sub stations in Cerro Matoso, Colombia and Panamá 2,
  Panamá

 Estimated Investment = $600MM

 Expected year to come in operation = 2014


                                                        12
Colombia-Panama Regional Electricity Interconnection

Environmental and Social affairs are being dealt with according to the standards set by
                                 The IDB / IFC / CAF

                                                             there is an agreement for a
                                                              detailed study of the border area
                                                              between the 2 countries, In order
                                                              to determine which right of way
                                                              should       be     subject     to
                                                              Environmental Impacts,
                                                             The right of way has been defined
                                                              with the consensus of the
                                                              Embera-Wounaan in order to get
                                                              the required approvals.




                                                                                        13
Details - ICP

 Construction of a 614 km
  Electricity Transmission Line
  (340-km in Colombia and
  274-km in Panamá), Direct
  Current (HVDC), 450-kV.

 The initial capacity of the
  line will be 300-MW in its
  first phase; expandable to
  600-MW in its 2nd phase.




                                  14
Benefits of the Regional Integration

 The SIEPAC project will contribute to our regional energy security and
  will be a determining social and economic factor by making electricity
  costs more accessible due to the economies of scale and higher
  efficiencies.

 Contributes to energy efficiency and to the environment, by
  stimulating a competitive market via the development of Regional
  Electricity Generation Power Plants.

 Facilitates the Development of the regional Telecommunications
  market

 Stimulates investments in the energy sector, due to the larger market
  to serve. It will also serve the member countries as a tool of
  negotiation. The market would be able to negotiate terms as a block
  and therefore get costs and other benefits.
                                                                      15
Program for the Rational and Efficient Use of Energy

   Norms and Legal Framework:

        Includes Labeling Energy Consumption of products,

        A software for capacity building and energy consumption data management.

        Energy Education plan

        Energy Diffusion Plan

        Creates new Norms for the Construction sector of the economy

        Promotes the use of efficient modes of transportation and less consuming car
         combustion engines




                                                                                    16
International Consultants
 For the Renewal of Panama´s Electric Market,
 For the efficient development of Wind Energy in Panama
 For the implementation of a diversified energy mix
 The IDB and The Bariloche Foundation support capacity building
  for technicians who may want to master in electricity, petroleum
  products, renewable energies, and other subjects related to
  energy.
 Development of a new career at the Technological University of
  Panama, “Efficient Management of Energy Resources"

                                                                17
Oil and Gas


 Reorganization and digitalization of all past history information
   available from previous studies that date back all the way to 1913.
 Identification of 9 potential oil blocks, dispersed thru the areas of
   Darién, the Golf of San Miguel, and Bocas del Toro among other
   places.
 Selection of the 2 most promising basins.
 By the end of 2011 and in 2012 there will be an approach to the
   international   petroleum   markets   and   players   to   begin   the
   exploration phase in the areas that have been determined to be most
   promising.

                                                                         18
Thank You!

  Juan M. Urriola T
Secretario de Energía
Tel: +507 527-9960
www.energia.gob.pa




                        19

Panama juan urriola

  • 1.
    “Renewable Energy andEnergy Efficiency in Latin-America Forum” “Vision and Energy Policy 2011-2014” Rome, Italy September 15, 2011 1
  • 2.
    Our Mission  Toestablish and promote Panama´s Energy Policy:  Guarantee Energy Security,  Promote the rational and efficient use of energy resources.  Take advantage of the country´s own energy natural resources and make sustainable use of them.  Use energy in a sustainable way; according to the national energy development plan and within the economic, competitive, quality and environmental issues and regulations. 2
  • 3.
    Our Vision Panama withan energy system, that promotes the development and use of renewable sources of energy, and oriented towards a competitive market with a social and environmental responsibility. 3
  • 4.
    Pillars of theNational Energy Secretariat of Panama  Make energy services available to 95% of our population by year 2015.  Energy security,  A diversified energy matrix  Promote the use of renewable and cleaner sources of energy,  Promote the rational and efficient use of our energy resources.  Promote the development of the regional electricity market. 4
  • 5.
    Historical Maximum Demandin MW Growth (1998-2011) 1400 1.286,46 1.222,40 1200 1.153,99 1.064,25 1.024,16 1000 924,96 946,28 971,34 882,86 839,30 857,35 800 754,50 777,00 726,40 600 400 200 0 5 source: ETESA
  • 6.
    Gross Electricity Generationper type of power plant 1970-2010 (%) 100,00% 90,00% 80,00% 70,00% 60,00% HIDRO 50,00% BUNKER 40,00% DIESEL 30,00% 20,00% 10,00% 0,00% 6
  • 7.
    A Diversified ElectricityGeneration Mix  732 MW in Hydroelectric power plants for the period 2010-2014.  200 MW of wind energy for 2013  Photovoltaic Solar Energy (2.4MW to 5MW).  Liquid natural Gas Installations 200 MW (initially with potential increase up to 500MW).  Geothermal energy ( 24 MW).  Regional electricity Interconnections SIEPAC – 300MW ICP - 600MW 7
  • 8.
    Chan 1 Bonyic 223MW 30MW Mendre Pedregalito 1 Gualaca Pando 20MW 20MW 25.1MW 32.6MW Pedregalito 2 Prudencia Cochea Monte Lirio Paso Ancho 12.5MW 56.2MW 16MW 52MW 6MW Los Planetas Bajo de mina Lorena Baitún El Alto 5MW 52.4 MW 35.7MW 85MW 60MW 31 MW 425 MW 101 MW 175 MW 2010 2011 2012 2013 - 2014 New HYDRO Electric Projects coming in Line
  • 9.
    WIND 200MW LNG 200MW 2013 2014 Fuente: Year of start of Operations SNE 9
  • 10.
    WIND ENERGY  Law44 of April, 2011, establishes and dictates the norms and regulations for the construction and operation of wind energy power plants to be developed in Panama. These power plants may be integrate it to the National Interconnected System.  Exclusive bidding processes for wind energy. 10
  • 11.
    Regional Strategy Development ofthe Regional Electricity Market, via projects such as: • SIEPAC • ICP Fuente: EPR 11
  • 12.
    Colombia-Panama Electricity Interconnection 600Km of Electric transmission line, High Voltage Direct Current (HVDC)  Sub stations in Cerro Matoso, Colombia and Panamá 2, Panamá  Estimated Investment = $600MM  Expected year to come in operation = 2014 12
  • 13.
    Colombia-Panama Regional ElectricityInterconnection Environmental and Social affairs are being dealt with according to the standards set by The IDB / IFC / CAF there is an agreement for a detailed study of the border area between the 2 countries, In order to determine which right of way should be subject to Environmental Impacts, The right of way has been defined with the consensus of the Embera-Wounaan in order to get the required approvals. 13
  • 14.
    Details - ICP Construction of a 614 km Electricity Transmission Line (340-km in Colombia and 274-km in Panamá), Direct Current (HVDC), 450-kV.  The initial capacity of the line will be 300-MW in its first phase; expandable to 600-MW in its 2nd phase. 14
  • 15.
    Benefits of theRegional Integration  The SIEPAC project will contribute to our regional energy security and will be a determining social and economic factor by making electricity costs more accessible due to the economies of scale and higher efficiencies.  Contributes to energy efficiency and to the environment, by stimulating a competitive market via the development of Regional Electricity Generation Power Plants.  Facilitates the Development of the regional Telecommunications market  Stimulates investments in the energy sector, due to the larger market to serve. It will also serve the member countries as a tool of negotiation. The market would be able to negotiate terms as a block and therefore get costs and other benefits. 15
  • 16.
    Program for theRational and Efficient Use of Energy  Norms and Legal Framework:  Includes Labeling Energy Consumption of products,  A software for capacity building and energy consumption data management.  Energy Education plan  Energy Diffusion Plan  Creates new Norms for the Construction sector of the economy  Promotes the use of efficient modes of transportation and less consuming car combustion engines 16
  • 17.
    International Consultants  Forthe Renewal of Panama´s Electric Market,  For the efficient development of Wind Energy in Panama  For the implementation of a diversified energy mix  The IDB and The Bariloche Foundation support capacity building for technicians who may want to master in electricity, petroleum products, renewable energies, and other subjects related to energy.  Development of a new career at the Technological University of Panama, “Efficient Management of Energy Resources" 17
  • 18.
    Oil and Gas Reorganization and digitalization of all past history information available from previous studies that date back all the way to 1913.  Identification of 9 potential oil blocks, dispersed thru the areas of Darién, the Golf of San Miguel, and Bocas del Toro among other places.  Selection of the 2 most promising basins.  By the end of 2011 and in 2012 there will be an approach to the international petroleum markets and players to begin the exploration phase in the areas that have been determined to be most promising. 18
  • 19.
    Thank You! Juan M. Urriola T Secretario de Energía Tel: +507 527-9960 www.energia.gob.pa 19