2025 - 1
Created by
Juan Andrés Navarro - President of Panamanian Chamber of Solar Energy
Panama Solar Energy Market
A comprehensive overview of Panama's solar energy market, highlighting growth, challenges, and opportunities for investors, industry professionals, and policy makers. Presented by the Panamanian Chamber of Solar Energy (Solar Chamber) and NSolar.
Panama's Solar Market
Created by
Juan Andrés Navarro - President of Panamanian Chamber of Solar Energy
Total Capacity
The country has 49 solar installations connected to the National Interconnected System (SIN).
143MW 695MW
New in 2024
of photovoltaic energy to the National Interconnected System (SIN)
12.4%
of Total Capacity
Share of solar energy as a percentage of Panama’s total electricity generation capacity
7.7%
of Electricity
Percentage of the country’s electricity produced by solar in 2024
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Distributed Generation Boom
Thanks to net metering regulations (in place since 2016), thousands of homes and businesses have installed solar panels to lower their electricity bills.
Created by
Juan Andrés Navarro - President of Panamanian Chamber of Solar Energy
Panama's high electricity tariffs (among the highest in Latin America) and sometimes unreliable grid service create strong economic motivation for businesses and consumers to adopt solar.
2014
Just 13 solar prosumers with .06 MW capacity
2025
Over 6,194 prosumers with 172 MW capacity
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Distributed Generation Boom
Created by
Juan Andrés Navarro - President of Panamanian Chamber of Solar Energy
Anual Installed Capacity (kW)
2025 - 4
Data provided by the Autoridad de Servicios Públicos de Panamá (ASEP). Updated in June 2025.
Number of Costumers per Province
NSolar: Setting Quality Benchmarks
Created by
Juan Andrés Navarro - President of Panamanian Chamber of Solar Energy
NSolar is a founding member of the Solar Chamber, with CEO Juan Andrés Navarro currently serving as the Chamber's President, putting the company at the forefront of industry advocacy in Panama.
Bugaba Solar Project (2015)
2.4 MW installation in Chiriquí province with 8,000 microinverters - the largest solar farm in the world at that time to use microinverter technology.
Highest Standards
Unique in Panama for voluntarily adhering to the latest U.S. National Electrical Code (NEC 2023) standards, ensuring world-class electrical safety and best practices.
NABCEP-Certified Professionals
Engineering and installation team composed of professionals certified by the North American Board of Certified Energy Practitioners - a rare credential in Latin America.
2025 - 5
2025 - 6
Created by
Juan Andrés Navarro - President of Panamanian Chamber of Solar Energy
The Solar Chamber of Panama
INDUSTRY VOICE
Established in 2016 as the national industry association bringing together Panama's solar energy companies, professionals, and stakeholders.
POLICY ADVOCACY
Works closely with government bodies like the National Energy Secretariat and ASEP to provide data, international experience, and industry feedback on proposed regulations.
EDUCATION & AWARENSS
Holds workshops to raise technical competence and engages with media to explain the benefits of solar and debunk myths.
2025 - 7
Created by
Juan Andrés Navarro - President of Panamanian Chamber of Solar Energy
Investment Opportunities
ROBUST SOLAR RESOURCE
Panama's location near the equator provides high solar irradiance year-round, translating to strong capacity factors for well-designed projects.
SUPPORTIVE INCENTIVES
Import duty exemption on solar equipment and materials, property tax exemptions, and accelerated depreciation available for renewable energy investments.
MANUFACTURING GROWTH
Several companies are advancing in building factories to manufacture solar modules in Panama because of the geographical position, incentives, and dolarization.
HIGH ELECTRICITY PRICES
Grid electricity rates average around $0.18–
$0.23 per kWh, meaning solar power can achieve grid parity and offer significant savings.
2025 - 8
Created by
Juan Andrés Navarro - President of Panamanian Chamber of Solar Energy
Permitting Challenges
Engineering Plans
Must be drawn up by a licensed engineer and submitted to the local municipality for approval.
Cost Impact: Total cost of permits and approvals for a residential solar system typically ranges from $600 to $1,200 – about 6–12% of the project cost. For small systems, permit-related expenses can amount to roughly 40% of the entire installation cost.
Fire Department Review
Plans must be reviewed by the Cuerpo de Bomberos to ensure the installation meets safety codes, often involving detailed scrutiny and additional fees.
Utility Approval
Paperwork goes to the electric utility for evaluation of the interconnection request, possible site inspection, and scheduling of bi- directional meter installation.
Sun Tax: The "Impuesto al Sol" Controversy
Industry Response
The Solar Chamber labeled the proposal a "retroceso económico, social y ambiental" (economic, social, and environmental regression).
The solar industry argues such changes would penalize customers who have invested in solar technology to save energy and fight climate change, dramatically lengthening payback periods and causing a sharp drop in new solar adoption. This goes against the Paris agreement.
Created by
Juan Andrés Navarro - President of Panamanian Chamber of Solar Energy
Proposed Changes
Eliminate solar instalation ceiling (currently 4%), keep net metering laws as they are, and add more incentives
Current System
Net metering with retail rate credits for excess energy sent to the grid, with monthly carryovers and annual true-ups.
The term "impuesto al sol" (sun tax) refers to proposed rules that would impose additional charges/taxes or reduced credits on solar prosumers – effectively penalizing those who generate their own electricity.
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CÁMARA PANAMEñA
DE ENERGÍA SOLAR
Th
Yo
For You Attention
*SOLAR
Emoresa Nacional de Energia Solar, S.A.