Draft bill 112.

Withdrawn
  • TypeDraft bill
  • 112
  • FiledAugust 12, 2024

Summary.

The draft bill declares the use of renewable energy in public buildings and institutions in the Republic of Panama to be in the national interest, including institutions subject to special regulations. It defines renewable energy as energy obtained from inexhaustible natural sources or sources capable of regenerating naturally. The sources described include solar energy, obtained from the sun’s electromagnetic radiation, and wind energy, obtained from wind power through turbines that convert the movement of air into electricity.

Public entities that already have buildings, including public schools and hospitals, must implement a renewable energy generation system within one year after promulgation. That system must produce at least 10% of the total energy consumed each month. The requirement applies to public entities’ buildings, in addition to the examples of schools and hospitals mentioned in the bill.

Public buildings yet to be constructed, including schools and hospitals, must incorporate a renewable energy generation system that produces at least 10% of their total monthly energy consumption. The draft bill also extends the requirement to public procurement: every public construction tender for a project that needs energy to operate must include, in its tender specifications, a system capable of generating at least 10% of the total energy consumed each month. The requirement thus applies both to the planned building and to the terms of its tender.

The text creates the Clean Energy Program, known as PENLI, and attaches it to the Ministry of Housing and Land Management. The program is intended for electricity consumers who wish to incorporate renewable energy sources in their homes. State assistance will cover 25% of the purchase and installation costs needed for those homes to produce, or achieve a minimum renewable energy share of, 8% of their own monthly energy consumption. The Ministry of Housing and Land Management must include the funds needed to meet PENLI’s objective in its annual budget.

The draft bill assigns its implementing regulations to the Executive Branch (Órgano Ejecutivo) and provides that it would take effect on the day after promulgation. Its provisions concern the Ministry of Housing and Land Management and the Executive Branch, as well as public entities that manage buildings, public schools, hospitals, public construction and procurement, electricity consumers, and households interested in installing renewable energy generation systems.

What it proposes.

  • Use of renewable energy in public buildings and institutions.
  • Renewable energy generation in new buildings and public tenders.
  • State incentives for renewable energy installations in homes.

Who it would affect.

  • Public entities with buildings, including public schools and hospitals.
  • Those responsible for new public buildings and public construction tenders.
  • Electricity consumers who incorporate renewable energy sources in their homes.
  • Ministry of Housing and Land Management.

Key points.

  1. Declares the use of renewable energy in public buildings and institutions, including those subject to special regulations, to be in the national interest.Art. 1
  2. Defines renewable energy and describes solar and wind energy sources.Art. 2
  3. Requires public entities with buildings to implement, within one year after promulgation, a system that produces at least 10% of the energy consumed each month.Art. 3
  4. Requires new public buildings to have a renewable energy system that produces at least 10% of their total monthly energy consumption.Art. 4
  5. Requires the tender specifications for public construction projects that need energy to include a system capable of generating at least 10% of monthly consumption.Art. 5
  6. Creates the Clean Energy Program, PENLI, attached to the Ministry of Housing and Land Management.Art. 6
  7. Provides state assistance covering 25% of purchase and installation costs so that renewable energy accounts for at least 8% of a household’s monthly energy consumption, and requires funding to be included in the annual budget.Arts. 7-8
  8. Assigns implementing regulations to the Executive Branch and sets the effective date as the day after promulgation.Arts. 9-10