News

As an example of Panama’s emergence in new technologies, Panama’s National Energy Secretariat (SNE) recently announced new regulations that will aid in the country’s development as a regional hub for green hydrogen.

The regulatory framework, which was developed in conjunction with the European Union (EU), will “boost investor confidence, streamline permitting, and support hydrogen-based maritime fuels,” according to coverage in FCW, an industry site.

Clean energy is expected to be a major growth industry for Panama’s future. Panama is creating the infrastructure for a production and export hub in new fuels, targeting 500,000 tonnes annually by 2030. The country’s unique location and logistics infrastructure offer “exceptional potential for green hydrogen export…positioning Panama as a crucial hub for sustainable maritime fuels,” the report notes.

The new regulatory framework is proposed to amend Cabinet Decree No. 36 (2003), establishing the National Hydrocarbon Policy. The framework will clarify legal conditions and streamline permitting processes for new businesses.

“This regulatory framework reinforces Panama’s role as a facilitator and distribution center for green hydrogen, leveraging our connectivity, infrastructure, and strategic location,” said Juan Manuel Urriola, Panama’s National Secretary of Energy, at an event announcing the news. “With clear rules, we strengthen our position in international trade and facilitate the development of new logistics and energy opportunities in the region.”

The collaboration with Euroclima, the EU’s climate policy initiative for Latin America and the Caribbean, ensures Panama’s regulations will align with the EU’s criteria for renewable fuels, which is “vital for securing future hydrogen exports into the European market.”

“This regulatory effort decisively contributes to transforming Panama’s energy mix, which is crucial for a nation highly vulnerable to climate change,” Izabela Matusz, EU Ambassador to Panama, stated. “The EU remains committed to supporting policies that advance Panama’s sustainability and prosperity.”

The framework will be followed by a series of consultation events, designed to educate stakeholders about the new regulations, highlight European financing mechanisms, and “explore partnerships to establish a sustainable hydrogen economy in Panama.”