Panama Canal introduces new transit reservation rates

PANAMA – The Panama Canal Authority (ACP) has unveiled modifications to its Transit Reservation System rates, marking a significant update aimed at enhancing service levels and optimizing transit operations.

Starting September 1, 2024, the Panama Canal Authority will implement a new long-term slot allocation (LoTSA) method as part of its updated Transit Reservation System.

According to the ACP, this new method is designed to offer “certainty, predictability, and reliability” to shipping lines navigating the Canal.

The adjustments aim to improve the management of supply and demand while optimizing the overall transit process.

The Canal Authority explained that the changes will provide greater flexibility in interchange services and allow for quota substitution.

This includes introducing new charges intended to discourage last-minute cancellations, ensuring that vessels without pre-booked slots but already in Canal waters have alternative transit options. These updates are crucial for optimizing lane capacity and minimizing waiting times.

“These changes are necessary to create a better experience for our customers while ensuring the efficient use of the Canal’s resources,” the ACP stated in a press release.

In a separate move, the Panama Canal has increased the maximum authorized draft for vessels to 45 feet as of May 30, 2024, ahead of the initially planned date of June 15. This increase was made possible by the rising water levels in Gatun Lake, spurred by the onset of the rainy season.

The ACP brought forward this draft adjustment to accommodate the anticipated rise in transits through the Canal. Starting May 16, daily transits in the Panamax locks increased from 17 to 24, with Neopanamax locks following suit by increasing daily transits from 7 to 8 beginning June 1. This brings the total number of vessel transits per day to 32.

The Canal Authority continues to monitor weather conditions daily, adjusting operations as needed in response to the increased water inflows into the watershed.

On May 26, water levels in both Gatun and Alhajuela Lakes rose above levels recorded on the same date in 2023, reflecting the impact of the rainy season.

The ACP remains committed to adjusting its operations to accommodate these changes and ensure the Canal’s continued efficiency.

For those interested in the detailed updates to the rates and charges, the ACP has made them available on its official website. The new fare structure will officially take effect on January 1, 2025.