Although the government has not yet reached an agreement with indigenous groups who are opposed to the dam, they have announced that the reservoir will be temporarily filled in order to carry out tests.
From a statement issued by the National Public Services Authority:
The filling up of the reservoir is temporary and for testing purposes only. The final filling up and the operation will not begin until the agreements from technical roundtables have been finalised.
178 days have now passed without progress on the hydroelectric project Barro Blanco, while the lack of government action has led to more blokades, with negative consequences for the economy of the area.
From a statement issued by from Genisa:
Barro Blanco has been in a state of paralysis for 178 days, while the urgency of closing the dam increases
Generadora del Istmo, SA reiterates the call to the Ministry of Environment (MiAmbiente) to lift as soon as possible the unilateral suspension of the construction of the Barro Blanco project, which has now been paralyzed for 178 days following a government order.
While the government insists on convincing indigenous communities to lift the blockade, the concessionaire views its investment as under threat.
EDITORIAL
Four weeks after natives and indigenous groups in the area blocked access to works on the hydroelectric project Barro Blanco, President Varela insists on dialogue - until now "deaf," - as a mechanism to resolve the conflict, which has paralyzed work for 5 months without taking measures to affirm the rule of law and legal certainty, investment, and national development plans, in this case for energy.
Suspension of the work on the hydroelectric project Barro Blanco caused by the blockades set up by locals preventing access to the site, has caused huge losses.
From a statement from Generadora del Istmo, SA (Genisa)
GENISA reiterates urgent need to end Barro Blanco Strikes
(Panama, June 24, 2015) The environmental and economic consequences of the suspension of work in Barro Blanco, caused by an illegal blockade at the entrance to the project, is worrying managers of Generadora del Istmo, S.A., who are warning that there is an urgent need to continue the works approved by the Government.
The government has been informed that its handling of the conflict goes against constitutional principles demands have been made for it to impose its authority to end the blockade of the hydroelectric project.
From a statement issued by the Chamber of Commerce, Industry and Agriculture in Panama:
CONFLICT IN BARRO BLANCO THREATENS CONSTITUTIONAL PRINCIPLES
The company Genisa is demanding that the government intervene to prevent the blockades set up by locals across the access area of the hydroelectric project Barro Blanco.
Although the government has confirmed that it will terminate the contract awarded to Genisa for the construction of the dam, blockades preventing the entry of workers and machinery are preventing the company from operating normally.
Responding to pressure from the private sector, the government has now announced that work on the dam will resume and Generadora del Istmo SA will lead the project.
After a string of contradictory results, the Panamanian government has now announced that "... 'It would not be a good message to the international community nor for the country's energy need if we suspended the project', in the words of Manuel Dominguez, Secretary of Communication of the State.
Multilateral development agencies are warning that the suspension of the hydroelectric project could affect future long term investment decisions in the country.
The decision of the government of Panama to stop execution of the Barro Blanco hydroelectric project with the original concessionaire Generadora del Istmo S.A. (Genisa), which has completed more than 90% of the work, was based on "...
It has been announced that the 28 MW hydroelectric project will not be canceled and that a new company will be sought to continue its development, in place of Generadora del Istmo.
After the company Generadora del Istmo asserted its compliance with environmental measures and requested the removal of the suspension of the project , the Panamanian government announced during the last meeting of the roundtable for the project, that it will not cancel the development of hydroelectric station Barro Blanco and that it will negotiate with the international banks who are financing the project a search for a new company to continue construction works.
The company Generadora del Istmo has given assurances that it will comply with all environmental measures and is calling for the lifting of the suspension of the construction of the 28 MW hydroelectric station.
From a statement issued by Generadora del Istmo SA (GENISA):
Genisa reports that in response to Providence AG-0001 of February 9, 2015 by the National Environmental Authority (ANAM), demonstrating that it has complied promptly with environmental measures established for the Barro Blanco Hydroelectric Project.
The National Environmental Authority has ordered the suspension of works in the Barro Blanco hydroelectric project of 28 MW, which is being run by Generadora del Istmo SA.
From a statement issued by the National Environmental Authority (ANAM):
The National Environmental Authority has announced an order for cessation of work on the hydroelectric project Barro Blanco run by Generadora del Istmo S.A.
Due to the existence of unresolved issues related to environmental management and cultural heritage the suspension of construction of the hydroelectric station Barro Blanco, in Chiriquí, has been proposed, a project which is already 95% complete and which will generate 28 MW.
The High Level Committee responsible for assessing compliance with the requirements established in the concession contract will recommend suspending the construction project because, besides environmental violations, "... there are a number of unresolved issues, for which it corresponds to the State to uphold the commitments established between the company and the community. "
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