Panama: Crisis Helps Improve Channel Management

Now the lakes supplying water to the sea traffic are overflowing, manager: “We've learned how to manage transit using 25% less water”

At the beginning of 2025, the lakes that serve as water reserves and are necessary for the operation of the Panama Canal will reach their maximum filling level. The level of Lake Alhajuela is almost 77 meters, and the level of Gatún is 27 meters, so the operation of the main connecting route between the Atlantic and the Pacific oceans is regular, and with the next dry season in mind the authority that manages the route is optimistic.

The severe water crisis that affected the canal between 2023 and 2024 and reduced maritime traffic actually helped managers to optimize the management of the waterway, which is now more efficient. Currently, 36 vessels pass through the port daily, compared to 22 at the worst of the crisis, with up to 160 ships waiting.

“We have made every effort to see how to achieve our goals using 25% less water,” explained canal administrator Ricaurte Vásquez to EFE news agency. The good functioning of the canal is crucial to the Panamanian economy because “it represents 20 cents of every dollar received from the central government,” Vásquez said. The channel generated approximately $4,986 billion in revenue in 2024, up 1% from the previous year.

Actions taken during this period resulted in “cutting waiting times in half, reducing transit times by 10%, and therefore reducing carbon dioxide emissions. The crisis has taught us a lesson,” Vásquez concluded.