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Hydrocarbon subsector Panama is a country that does not produce hydrocarbons, and therefore its consumption comes from the import of crude and its derivatives.8 The main participants in this market are wholesale transportation and storage companies and fuel distribution/marketing companies. Currently, there are three storage, transportation and distribution companies for derivative products, and they are located in tax-free zones. They are responsible for supplying fuel and GLP marketing to companies that operate in the country. The most important is Petroterminal of Panama, a joint venture capital company that, in addition to managing the most important storage facilities in the country9 has a 131 kilometer oil pipeline that connects the Pacific and Atlantic coasts of Panama. In terms of prices, the SNE sets import equality prices for all fuels that are consumed in the country. The final price for the consumer is calculated by adding the marketing margins (transport, distributor margin and dealer margin) and tax for fuel consumption to his price. The costs of storage and transportation are not regulated. On the other hand, the SNE sets a maximum sale price to the public for gasoline and diesel, and it offers a GLP consumption subsidy.10

8 EIA statistics show that Panama does not produce or consume natural gas. 9 It can store up to 5.8 million barrels. 10 Subsidy in the prices to the final consumer of a 25-pound tank of liquid gas.

Energy Dossier Panama

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energy dossier: panama  

this dossier analyzes the energy sector in panama as it stood in 2010 and its changes over time. it describes the country's energy flow by c...

energy dossier: panama  

this dossier analyzes the energy sector in panama as it stood in 2010 and its changes over time. it describes the country's energy flow by c...

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