HIGHLIGHTS
- Both Alhajuela and Gatún have been strongly affected by this year’s drought season, which lasts from January to May
- The lack of rain comes up with 3 problems: reduction of water reserves; decrease of economic activity; and risk of conflict
FULL ARTICLE
Panama Canal and its water source
About 6% of total global cargo traffic passes through the Panama Canal, mainly from the US, China, and Japan, making it one of the world’s most important shipping lanes. By 2022, an estimated 14,000 ships with 518 million tons of cargo have passed through this waterway, contributing $2.5 billion to Panama’s coffers.
For the canal to operate normally, it needs water from two artificial lakes, Alajuela and Gatún. It is estimated that they provide about 200 million liters of water for ships to be able to pass. In the Panama Canal, rainwater is the main source for ships to cross the lock, which functions like an elevator to raise the ship to a height of 26 meters above sea level to connect the adjacent waterway system with different water levels.
Alarming water shortage
Both Alhajuela and Gatún have been strongly affected by this year’s drought season, which lasts from January to May. Specifically, from March 21 to April 21, the water level in Alhajuela decreased from 69 to 62 meters, while Gatún dropped from 25.6 to 25.2 meters.
Bringing another pessimistic news, Luz de Calzadilla, director general at Panama’s meteorology and hydrology institute, said: “The El Nino climate phenomenon is likely to reduce rainfall in the final half of the year.”
Inevitable consequence
The lack of rain comes up with 3 problems: reduction of water reserves; decrease of economic activity; and risk of conflict.
Firstly, reducing water reserves will affect the activities of people living around the lake, especially activities directly related to the lake such as agriculture and fishing.
Second, business was affected because the authority had to reduce the draft marks (A.K.A submergence of the ship). This is the fifth time the Panama Canal Authority (ACP) had to limit the depth of the largest ships passing through the canal. Among the types of vessels affected are the Neo Panamax, which are the largest and pay the most fees when passing through the canal. Therefore, the volume of goods transported through the canal also slipped.
Third, shortages that lead to disparities in water supply across regions of Panama have sparked some protests.
Fearing that shipping companies might switch to other routes, Panamanian authorities are looking for alternatives to ensure the canal’s long-term operation. Jorge Quijano, a former manager of the canal, made a bold proposal: “It is important to find new sources of water, especially in light of the current climate change […] Without a new artificial lake, the current situation will soon cut off the canal’s ability to grow.”
Thao Trinh
