In Panama City, on Thursday 7 July, FMO Chief Executive Officer Nanno Kleiterp and representatives of the German Development Bank (DEG) and the Central American Bank for Economic Integration (CABEI), met with members of the Panamanian Government’s High Level Commission for Barro Blanco and representatives of Genisa, the owner of the project. The purpose of this tripartite meeting, which took place in the presence of the Dutch and German ambassadors, was to discuss potential solutions, and facilitate the ongoing discussion between Genisa and the Government on the future of the project.
This tripartite meeting considered the discussion that took place last week between the Government’s High Commission for Barro Blanco and the indigenous representatives of the Ngäbe Buglé community. The meeting focused on feasible scenarios to move forward, within the bounds of the rule of law and the indigenous concerns. The three Development Finance Institutions emphasized their willingness to support a consensual agreement between the Government and Genisa.
CEO Kleiterp says: "It was important to have for the first time a tripartite meeting, which allowed the Government and Genisa to exchange feasible options for the continuation of the project. FMO and the other lenders will continue to support this process.”
The test-filling of the reservoir has been suspended since June 9th as mandated by Government. The water is flowing out of the reservoir taking into account all the necessary security precautions. Resuming of testing will depend on agreements on the dialogue table between the local communities and the government. The Barro Blanco project will generate approximately 135,000 MWh of clean and reliable energy to Panama, expected to supply 67.000 households. It generates and supports jobs in the region and avoids the import of 220.000 barrels of oil, potentially reducing up to 67,000 tons of CO2 annually. The project also brings benefits to the local communities, such as employment, access roads, and funding to implement sustainable development programs and projects aimed to address community local needs.
