The granting of new licenses has been temporarily suspended in order to carry out a study to determine how the system will integrate the new plants.
The total number of licenses to build solar and wind power plants being processed by the Public Services Authority is equivalent to more than twice the current demand for energy in the country.
The tax benefits from the construction of these types of power plants, coupled with a reduction in the cost of the equipment required, are part of the reasons behind the increase in the number of licenses for such plants in Panama.
“… Unlike hydroelectric and thermal plants, which on average are built with more than 100 MW of capacity, wind and solar plants are in their majority mini stations hydro of 10 MW, in order to qualify for incentives. In light of this boom, Etesa has asked the Asep to temporarily suspend the granting of new licenses in order to carry out a study to determine how the system will integrate the new plants. ”
Prensa.com reports that “… There are 772 MW of definitive licenses granted by Asep for solar generation and 1,191 MW being processed, having been requested by different companies and societies. For photovoltaic or solar power plants, the regulator has approved 328 MW in definitive licenses and 885 MW in provisional licenses. Of the total approved projects approximately 100 MW under construction and will join the network soon. “
Source: Prensa.com
The latest EIA report shows solar to be approx 14 (fourteen) times more expensive, for combined capital and running costs, compared to gas fired. Coal and nuclear plants are approx one and half times more pricey than gas. Wind power is approx 3 (three) times more pricey than gas.
https://edmhdotme.files.wordpress.com/2015/07/screen-shot-2015-07-29-at-10-24-14.png
In other words Panama is set for even higher energy costs. The answer is to eliminate all subsidies for renewables. Then if people want to build renewable energy plants, let them compete fairly.
Alternatively, it can be said renewables simply do not work. Renewables also disfigure the landscape much more than regular fossil fuelled plants. Wind turbines are quickly killing off the bird population, especially large birds.
Greenery has become a religion, not subject to economics nr science.
Further info is available from EIA and Eurobserver as well as from this blog:
https://edmhdotme.wordpress.com/european-renewable-energy-costs-and-performance-2014/