The Panama Canal Authority (ACP) has announced that it will limit the traffic of ships through the canal for a year, due to the low water level caused by drought. The canal, which connects the Atlantic and Pacific oceans, is one of the most important waterways in the world.
Ilya Espino, the deputy director of the ACP, said: “We plan to keep these limits for a year unless we get heavy rains in September, October, and November that can fill up the basin and the two lakes that feed the canal.” Espino added that this measure will allow the shipping companies to better plan their transit through the canal, which enables ships to cross from one ocean to another without going around South America.
Espino said that the ACP can handle a queue of 90 ships easily, but 130 or 140 ships cause problems and delays. The ACP also expects to lose about $200 million in revenue in 2024 compared to this year.
The canal relies on rainfall to operate its locks, which are giant gates that act as water elevators, lifting or lowering ships to the level of the canal or the sea. Since 30 July, the ACP has reduced the number of ships passing through the canal daily from 40 to 32 and only allowed ships with a draft of up to 11-13 meters.
The canal is supplied with water by two artificial lakes, Alajuela and Gatun, but their level has dropped significantly due to drought. The canal is 80 km long and is used by shipping companies from different countries, mainly the US, China, and Japan. On Thursday, about 130 ships were waiting to cross the canal, compared to 90 normally. The waiting time for ships has increased from three to five days to up to 11 days, and some ships had to wait 19 days to cross the canal.
