The rule provides incentives for the construction, operation and maintenance of solar power stations or installations.
From a press release from the Government of Panama:
Law 37 of June 10, 2013 establishes incentives to encourage the diversification of the energy mix in the country, through solar generation, promoting (through the incentive scheme) the construction, operation and maintenance of solar power stations or installations.
The document, signed by President Ricardo Martinelli, in its articles adds that this law also aims to encourage the development of energy demand using solar power stations, for public access to this energy source, within a framework of rational and efficient resources, mitigating the effects of climate change and reducing dependence on oil imports for electricity generation.
Finally. Panama’s sunny coastal areas are a no-brainer for solar generation, which has almost reached cost parity with fossil fuel production. And that is before accounting for the health and environmental costs associated with fossil fuels. The need for air conditioning in Panama is perfectly matched by the output of solar generation.