News & Publications
Panama Canal to Double Capacity in 2016
Since its establishment in 1914, the Panama Canal has served as the major artery for maritime shipping between the Pacific and Atlantic oceans. However, with the ever-growing demand for international trade, and the advent of larger and larger container vessels, the Panama Canal is gradually being rendered obsolete as it nears maximum capacity.
The Panama Canal Expansion—often referred to as the Third Set of Locks project—seeks to upgrade the canal to accommodate many of the larger vessels being used in the industry today, and will effectively double the canal’s original capacity when it opens in mid-2016.
What does the expansion entail?
The expansion is comprised of four major enhancements to the Panama Canal:
- Addition of a third lane and set of locks on both Atlantic and Pacific sides
- Widening and deepening of each entrance and existing channels
- Raising the maximum operational level of Gatun Lake
- Construction of water-saving basins for greater water efficiency
The Third Set of Locks project is the most significant part of the $5.25 billion dollar expansion project proposed in 2006. In July 2009, the design-build contract for construction of the new locks was awarded to Grupo Unidos por el Canal, S.A. (GUPC) for $3.2 billion, with work commencing the following month that August.
When complete, each new set of locks will consist of three chambers and eight rolling gates—sixteen gates in total—with capacity large enough to handle new-Panamax vessels [1]. Unlike the swinging gates of the original canal, the design and configuration of the new recessed rolling gates will allow for dry-dock maintenance without needing to remove gates, thus minimizing downtime for repairs and interruption to overall operations.
The Water-Saving Basins
Gatun Lake is an integral part of the water passage between the Atlantic and Pacific Oceans. It is both the source of water by which the Panama Canal operates, as well as the main supply of drinking water for Panama City, Colon, and surrounding areas. Every time a ship passes through the Panama Canal, a significant amount of water is lost as it is released from Gatun Lake, down through the locks, and ultimately out into the ocean. When there is little rainfall during dry seasons, shortfalls in Gatun Lake are common. Therefore, the Panama Canal Authority (ACP) sought to ensure this new expansion would be environmentally sustainable.
Water-saving basins have been constructed alongside each of the six new locks—three for each chamber, eighteen in total—which will recycle up to 60% of the water used during lockage. This reuse amounts to roughly 7% water saved for each new lock. Unlike the design of the original locks, in which water from Gatun Lake is drained through culverts to fill each chamber below, three-fifths of each new lock will be filled from adjacent water-saving basins. Neither system requires the use of pumps, as water is dispersed laterally—using gravity—through a series of culverts and shut-off valves.
The ACP also plans to raise the operational level of Gatun Lake by 45 centimeters (from 26.7 to 27.1 meters) to improve overall water supply and further increase the maximum allowable draft for vessels. This additional capacity will add nearly 200 million cubic meters to the water supply.
The Panama Canal Expansion is now scheduled to open in June 2016.
References
Panama Canal Authority, January 1, 2016. OP Notice to Shipping No. N-1-2016 – Vessel Requirements
[PDF file]. Section 2 – Size and Draft Limitations of Vessels.
https://www.pancanal.com/eng/op/notices/2016/N01-2016.pdf
Panama Canal Authority, January 1, 2016. OP Notice to Shipping No. N-1-2016 – Vessel Requirements
[PDF file]. Section 30 – Vessel Requirements for the New Panama Canal Locks. https://www.pancanal.com/eng/op/notices/2016/N01-2016.pdf
Panama Canal Authority, April 2014. Expansion Program Panama Canal – Expansion Program Components [PDF file]. https://www.pancanal.com/eng/expansion/rpts/components/201404.pdf
Panama Canal Authority, September 2013. Panama Canal Expansion Program – Expansion Program Components [PDF file]. https://www.pancanal.com/eng/expansion/rpts/components/components-201309.pdf
About Allyn International
Allyn International is dedicated to providing high quality, customer centric services and solutions for the global marketplace. Allyn's core products include transportation management, logistics sourcing, freight forwarding, supply chain consulting, tax management and global trade compliance. Allyn clients range from small local businesses to Fortune 500 firms. Allyn conducts business in more than 20 languages and has extensive experience in both developed and emerging markets. Highly trained experts are positioned throughout North America, Europe and Asia and Allyn regional headquarters are strategically located in Fort Myers FL USA, Shanghai P.R. CHINA and Prague, CZECH REPUBLIC.
Contributors: Mark Trowsdale