From 2020 onwards, the fuel used by ships worldwide should not exceed 0.5% sulphur concentration, forcing transporters to consume higher priced fuels, which could become even more expensive because of increased demand.
From January 1, 2020, the concentration of sulphur in the fuel consumed by maritime transport vessels must not exceed 0.5%, a limit that until now was at 3.5%.
In the first nine months of the year, 2.8 million barrels of marine fuel were sold, 38% more than was sold in the same period in 2016.
According to figures from the Panama Maritime Authority (AMP), the sale of marine fuel during the first three quarters of 2017 increased by 38% in year-on-year terms, rising from 2 million barrels between January and September 2016 to 2.8 million barrels in the same period in 2017.
The country's ethanol producer has stopped supplying the additive to fuel distribution companies.
Extract from resolution 2188 issued by the National Secretariat of Energy and published in the official newspaper of Panama, La Gaceta:
"...Considering:
....that the company Campos de Pesé SA, the only company producing anhydrous ethanol used for blending with gasoline, has suspended sales of this product to importing companies - distributors of fuels, which creates a situation of shortage of anhydrous ethanol for blending with gasoline.
In Guatemala Grupo Tomza has launched a plan to convert gasoline engines to use propane gas, at an average cost of $1,000.
The company recently made a presentation of the project in which it will invest $90,000.
"All investments are welcome in this country, because things like this will help family economies and contribute to the environment. This plan is important because energy prices often hit Guatemalans hard," said the president, Otto Perez Molina.
Despite the promise of a cheaper and more efficient option LPG sales have fallen by 59% since 2009.
The Comptroller General of the Republic revealed that in 2013 245,000 gallons of liquefied petroleum gas (LPG ) have been sold, while in 2009, 599,000 were sold, in other words sales of the product fell by 59%.
"From 2009 to 2010 the decrease was 18.2 %, in 2011 the fall was 14.1 %, 21.1% in 2012 and finally in 2013 it reached a record percentage decline of 26.1 %, reported Laestrella.com.pa.
Despite various statements by officials, including President Martinelli, for now there is no postponement for the use of 5% ethanol blended in gasoline.
"The National Energy Secretary Vicente Prescott, said that so far the rules remain the same, the use of 5% ethanol in the fuel will come into effect from September 1."
Any company that is prepared can invest in the ethanol business in the country, now that there is no monopoly.
Effective from September 1, 91 and 95 octane gasoline must contain 5% ethanol as part of their formulas.
At the moment there is only one company who can provide ethanol, although there are no restrictions on entry to the market for local producers.
According to the congressman, Raul Hernandez, everything is ready to implement the mandatory use of ethanol in gasoline formulas on sale in the country.
A draft law proposes amending the Tax Code to set a tax of 10 cents per gallon on the fuel used by aircraft.
The project was presented to Congress by the Minister in charge of Economy and Finance, Omar Castillo, who justified the proposal by noting that since the establishment of the excise tax on fuel products, jet fuel has remained exempt from any tax.
Congress has passed a law which promotes the conversion of taxicab engines into ones that can use liquefied petroleum gas.
Taxi drivers have asked that the government finance the conversion in exchange for not receiving bonds as compensation for the increase in petroleum. The law states that the Ministry of Finance will create a trust to fund the changes.
Authorities are pushing for a pilot plan to blend ethanol in gasoline used by vehicles.
The signing of this agreement is being pushed by the Department of Sustainable Development at the Organization of American States (OAS). According to Ruben Contreras, representative of the entity, the country has a mature ethanol industry and this will also help clean up the environment.
In Central America, El Salvador has the lowest prices for regular gasoline and ranks second in the prices of special gas and diesel.
From a press release issued by the Ministry of Economy in El Salvador:
In Central America, El Salvador is positioned on top for having the lowest prices on regular gasoline, and in second place for the lowest prices on special gasoline and diesel.
Costa Rica remains the country with the highest prices of automotive fuels in the region.
Average prices of gasoline and diesel in Central America up to February 15, 2013:
Source: Hydrocarbons and Mines Directorate at the Ministry of Economy of El Salvador
In Central America, El Salvador is positioned top of the list for having the lowest prices on regular gasoline, and second for the lowest priced special gasoline and diesel.
Costa Rica and Nicaragua had the highest prices in the region for premium gasoline, regular gasoline and diesel.
According to monitoring conducted by the hydrocarbons directorates in each country, Panama has the lowest gas prices in Central America.
According to an article on Panamaamerica.com.pa, for the last week of December and early January, Costa Rica and Nicaragua had the highest prices in the region for premium and regular gasoline and diesel, and among those maintain the lowest prices, Panama topped the list.
Costa Rica, where fuels are under the state monopoly of the Costa Rican Oil Refinery (RECOPE), has become the country with the highest gas prices in Central America.
Juan Carlos Hidalgo, on his blog on Elfinancierocr.com, says the latest increase pushed up the price of better quality gasoline above $1.50, and that even President Chinchilla has made public her concern over the situation.
There are eight importers who supply more than 1,250 service stations; companies compete to attract customers with better services.
The purchase of Shell’s operations by Unopetrol, and Esso’s by Puma Energy, has spurred competition and is transforming the fuel sales market, with the opening of new retail outlets and additional service offers, such as car washing.