Panama City, Panama – January 31, 2025 – An audit has revealed significant potential revenue losses for Panama stemming from a failure to review container movement tariffs at ports operated by Panama Ports Company (PPC). The oversight, a direct violation of a 2009 resolution, has gone unaddressed for over a decade.
The focus of the audit is the port sector of Colon, home to the Cristobal port operated by PPC. The five major Panamanian ports are strategically located near the Panama Canal.
Resolution JD No. 026-2009, published in the Official Gazette 26417 on November 30, 2009, mandated a tariff review for container movement every five years. This resolution, signed between the Panamanian state and PPC, specifically addressed the second addendum to Contract Law No. 5 of January 16, 1997. It stipulated that the $12.00 per container tariff, set in 2010, would remain in effect until December 31, 2013.
From that date forward, the resolution explicitly stated that the tariff would be reviewed and adjusted by the state every five years, based on the consumer price index (CPI), with a maximum increase of 10% per period. This means reviews should have occurred in 2013, 2018, and 2023.
However, these mandatory reviews never took place. The stagnant $12.00 rate, in place since 2010, has remained unchanged. This failure to adhere to the established review process has likely resulted in substantial lost revenue for Panama.
The issue has recently come to light amidst ongoing discussions surrounding Panama Canal operations. While the exact amount of lost revenue is yet to be determined, the audit's findings raise serious questions about oversight and compliance with established agreements. Further investigation is expected to determine the full financial impact of this oversight and to ensure future adherence to tariff review regulations.
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