Transition to carbon neutral by 2030

12 May 2021 / Panama Canal, Panama

The Panama Canal [has] launched its process of decarbonizing its operations, with aims of becoming carbon neutral by 2030…

…While the Panama Canal contributed to a reduction of more than 13 million tons of CO2 equivalent emissions in 2020 by offering a shorter route for ships in comparison to the most likely alternative routes, the waterway recognizes the importance of making its own operation carbon neutral by the end of the decade.

To kick off the transition to a greener Canal, the waterway purchased four electric vehicles as part of a pilot program that will collect data to inform the migration of the Canal’s entire fleet away from fossil fuel dependence. Part of its strategic decarbonization plan also includes tugboats and launches that use alternative fuels, the substitution of electricity production processes in favor of photovoltaic plants, the use of hydraulic energy, and ensuring that all facilities and infrastructure projects are environmentally responsible and sustainable.

The Panama Canal first began tracking its carbon footprint in 2013 to align its operations with the global objectives of reducing emissions to mitigate and adapt to climate change. Its plans to become carbon neutral were bolstered in 2017 with the launch of its Emissions Calculator, a tool that not only allows shipping lines to measure their greenhouse gas (GHG) emissions per route, but also strengthens the Canal’s analysis of the emissions produced by its own day-to-day operations.

To reduce its own impact, the Panama Canal has also taken steps to find ways to maximize its operational, and thus environmental efficiencies, whether by implementing water conservation measures or optimizing transits...

…On April 22, Earth Day, the Panama Canal also joined the Declaration of the “50 First Carbon-Neutral Organizations”, an initiative led by Panama’s Ministry of Environment to integrate national efforts to accelerate measurable climate actions.

The Canal will develop an annual greenhouse gas inventory, as well as an action plan with measurable targets to reduce emissions... …The Panama Canal’s efforts have since stretched beyond tracking to include initiatives aimed at helping and incentivizing shipping lines to minimize their environmental footprint. Through its Green Connection Environmental Recognition Program, the Canal recognizes customers who demonstrate excellent environmental stewardship, including the use of low-carbon fuels and environmentally conscious routes. As an enhancement to this program, the Panama Canal is currently analyzing, taking into account in its dynamic pricing strategy, the vessels' technology and its carbon footprint, which makes it more efficient during transit…

…Through environmental programs in its watershed, the Panama Canal has contributed to Panama's ranking as one of only three carbon negative countries in the world, meaning Panama's forests absorb more carbon from the atmosphere than the country emits…

(For information about operations in the Panama Canal, contact GAC Panama at [email protected])

Source: Extract from Panama Canal Authority Monthly Canal Operations Summary

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