Reactivation of the Electric Interconnection Project and other news from the Summit meeting between Columbia and Panama

One of the results of the Presidential Summit held between the governments of Columbia and Panama was the reactivation of the Electric Interconnection Project between these countries. This project includes a transmission line from the Cerromatoso substation in the Province of Córdoba to the Panamá II substation. Energy transmission will take place using direct current via a 600 kilometre-long power line with a transport capacity of up to 400 MW.

The Interconnection is expected to be operational for 2018. Responsible for project execution will be the consortium Interconexión Colombia-Panamá, S.A. (ICP), comprising the Columbian company Interconexión Eléctrica, S.A. (ISA) and Panama’s Empresa de Transmisión Eléctrica S.A. (ETESA). The required investment amounts to USD 450 m and the potential energy export from Columbia to Panama has been calculated as being in the region of USD 250 m. [sam_block id=”10″ name=”Banner central 728x90px”]

The Summit represented a further opportunity to advise the Panamanian Government that Ecopetrol is still interested in undertaking exploration works in the Caribbean region of Panama. It has set up a company with Anadarko for the purpose. The Government has to give their approval to apply for a Technical Evaluation Contract from the Office of the Secretary for Energy in Panama.

Finally, the possibility of exporting natural gas from Columbia to Panama remains an open item. Talks will continue at a bilateral meeting due to take place in the near future that will involve all the parties interested in this business. The recently published Resolution 1372 of 22 July establishes the “guidelines for the creation of new natural gas markets, promoting its production and consequent export, while giving priority to the internal demand for energy resources”.